India – Banking

What Are the Main Banks in India?

India’s commercial banking landscape encompasses 12 public sector banks (PSBs), 21 private sector banks, 28 regional rural banks, 44 foreign banks, 12 small finance banks, and 4 payments banks (as of 2025). This breadth gives most expats a wide selection of solid options to evaluate based on their city, requirements, and preferred approach to banking.

Public sector (government-owned) banks are majority-owned by the Government of India and typically maintain the most far-reaching branch and ATM networks across both urban centres and rural communities. The most prominent include:

• State Bank of India (SBI) — The country’s single largest public sector bank, commanding a 23% share of banking assets. Website: www.sbi.co.in
• Punjab National Bank (PNB) — Among the oldest and biggest public sector institutions in the country, with a well-established legacy. Website: www.pnbindia.in
• Bank of Baroda — A sizeable public sector bank recognised for its broad domestic network and meaningful international footprint. Website: www.bankofbaroda.in
• Canara Bank — Established in Mangalore in 1906, Canara Bank has expanded to operate more than 8,500 branches and 10,000 ATMs across the country. Website: www.canarabank.com
• Union Bank of India — A prominent public sector institution whose extensive branch presence enables it to serve a wide and varied customer base throughout India. Website: www.unionbankofindia.co.in

Private sector banks are generally associated with stronger digital capabilities and a more client-oriented approach to service delivery. Operating on a commercially driven model, they tend to lead on innovation, technology adoption, and the breadth of their digital banking offerings. Key private banks include:

• HDFC Bank — India’s largest private bank, founded in 1994, with more than 5,400 branches spread across approximately 2,800 cities and towns. Website: www.hdfcbank.com
• ICICI Bank — One of the foremost private sector banks in the country with a comprehensive range of financial products. Website: www.icicibank.com
• Axis Bank — A well-established institution founded in 1993, with a network stretching to 4,000 branches and 12,000 ATMs nationwide. Website: www.axisbank.com
• Kotak Mahindra Bank — Known for its diversified financial services portfolio, spanning retail banking, investment banking, and asset management. Website: www.kotak.com
• IDFC First Bank — A fast-growing private bank with robust digital infrastructure, enjoying particular popularity among NRI and expat customers. Website: www.idfcfirstbank.com

The definitive and regularly updated register of all licensed banks in India is published by the Reserve Bank of India at www.rbi.org.in. It is advisable to verify branch locations, contact details, and current service offerings directly with each institution, as these can change over time.

Do Any Major International Banks Operate in India?

As of 2025, 44 foreign banks are operating in India through some combination of branches, wholly-owned subsidiaries (WOS), or representative offices. All foreign banks in India fall under the regulatory authority of the Reserve Bank of India (RBI). The specific operating model — whether branch or wholly-owned subsidiary — affects the supervisory framework applied, but all entities must adhere to RBI’s banking rules and prudential standards.

Well-known international banks with a retail or corporate presence in India include:

• HSBC India — HSBC India Limited functions as a wholly-owned subsidiary of The Hong Kong and Shanghai Banking Corporation, with a longstanding presence in the country offering personal banking, savings products, loans, credit cards, corporate banking, and wealth management. Website: www.hsbc.co.in
• Standard Chartered Bank — One of India’s most established foreign banks, operating around 100 branches across the country and providing a broad suite of banking services in compliance with RBI regulations. Website: www.sc.com/in
• Deutsche Bank — The German multinational banking and financial services group maintains branches in several major Indian cities, primarily catering to corporate clients and high-net-worth individuals. Website: www.db.com/india
• DBS Bank India — Singapore-headquartered DBS Bank first entered India in 1994 and has established its Indian headquarters in Mumbai, Maharashtra. Website: www.dbs.com/in
• Barclays Bank — Present in India but concentrated primarily on corporate and investment banking rather than retail customers. Website: home.barclays/india
• Citibank India — An American multinational bank that began its Indian operations in Kolkata in 1902. Note that Citibank announced in April 2021 its intention to exit consumer banking in India as part of a global strategic reorganisation, so its current retail services are limited — verify the current position directly at www.online.citibank.co.in.

The footprint of foreign bank branches in India has been contracting in recent years, with a number of international institutions shifting their focus away from retail towards institutional, corporate, and wealth management clients. Foreign banks are predominantly concentrated in metropolitan and Tier-1 cities, in contrast to domestic public and private banks which maintain extensive presence in rural and semi-urban areas. Always confirm the current status of any international bank’s retail services directly, as their offerings and presence in India can shift.

Do Banks in India Offer Accounts or Services Specifically for Expats?

Indian banks provide a range of dedicated NRI bank accounts. Eligibility to hold these accounts requires that you qualify as an NRI, Person of Indian Origin (PIO), or Overseas Citizen of India (OCI) under the prevailing provisions of the Foreign Exchange Management Act (FEMA). The three principal account categories are Non-Resident External (NRE), Non-Resident Ordinary (NRO), and Foreign Currency Non-Resident Bank — FCNR(B) — accounts.

It is worth noting that these specialised NRI account types are primarily intended for people of Indian origin who are based abroad. Foreign nationals who relocate to India to live and work there will generally open standard resident savings accounts once they have established residency and assembled the required documentation.

Below is a summary of the key NRI account types:

Interest accrued on NRE Fixed Deposits is entirely exempt from tax in India — no TDS is withheld. That said, you may still be required to declare this income in your country of residence. Interest on NRO Fixed Deposits, by contrast, is fully taxable in India, with TDS levied at 30% plus applicable surcharges and cess.

Banks such as HSBC, Citibank, Standard Chartered, and DBS serve retail customers through savings accounts, credit cards, and personal loans, and are particularly strong in trade finance, investment banking, and NRI or wealth management services. Many leading private banks — among them ICICI Bank, HDFC Bank, and Axis Bank — also operate dedicated NRI banking portals and assign relationship managers to NRI clients. Always verify current fees, minimum balance requirements, and eligibility criteria directly with the bank, as these are subject to revision.

What Are Typical Bank Opening Hours in India?

Bank branches in India broadly follow working hours established by the RBI and individual bank policies. For most public and private sector banks, standard operating hours run Monday to Friday from 10:00 to 16:00, with many branches also open on Saturdays from 10:00 to 14:00. However, the second and fourth Saturdays of every month are observed as bank holidays across the country, meaning branches remain closed on those days. Banks are also shut on Sundays and all gazetted public holidays.

There are regional differences to be aware of, particularly in states that observe their own public holidays or local commemorations. Some larger private sector bank branches in metropolitan areas may operate extended hours, especially those situated in shopping centres or busy commercial districts. Branches in smaller towns and rural locations may close earlier. It is always best to check directly with your local branch for its exact schedule.

Online and mobile banking services are available around the clock at all major banks and are well-developed across the sector. Most banks provide internet banking portals, mobile applications, and telephone banking as alternatives to visiting a branch for routine tasks such as fund transfers, utility bill payments, and account balance enquiries. Digital infrastructure is highly dependable in major cities, though connectivity may be less consistent in more remote areas.

What Do Expats Need to Know About the Banking System in India?

Deposit protection: The Deposit Insurance and Credit Guarantee Corporation (DICGC), a wholly-owned subsidiary of the RBI, safeguards depositors for amounts up to ₹5 lakh in the event that a bank collapses or is placed under moratorium, guaranteeing repayment up to the insured ceiling even in the case of liquidation. As of 2025, this ₹5 lakh ceiling covers the combined total of principal and interest across all accounts held at a single bank. In practical terms, this scheme functions similarly to the FDIC in the United States or the FSCS in the United Kingdom, although the protected sum (approximately £4,800 or $6,100 at mid-2025 exchange rates) is substantially lower than those counterparts. NRE, NRO, and FCNR deposits held at an insured Indian bank are covered by DICGC. Current coverage details can be verified at www.dicgc.org.in.

Currency controls: India operates under the Foreign Exchange Management Act (FEMA), administered by the RBI. This legislation governs the conditions under which foreign currency may be brought into, held within, and taken out of the country. Residents are generally prohibited from holding foreign currency accounts in India, which is why FCNR(B) accounts are restricted exclusively to non-residents. Large inward or outward remittances may require supporting documentation, and reporting obligations apply to significant transactions. Consult the RBI or a qualified financial adviser for guidance tailored to your specific circumstances.

KYC (Know Your Customer) requirements: India imposes stringent KYC obligations on all bank account holders. You will need to supply proof of identity and address, and in some cases additional documentation depending on your visa or residency status. This process is broadly analogous to anti-money laundering checks carried out in other jurisdictions, but the documents accepted in India can differ — foreign passports and visas are generally accepted, while establishing a local address can present a practical challenge for new arrivals.

Digital infrastructure: India’s digital banking framework is highly advanced, particularly in urban centres. The country’s Unified Payments Interface (UPI) stands as one of the world’s largest real-time payment platforms. That said, most banks may decline to open accounts for non-Indian residents who cannot provide local address verification. Confirm all requirements with the relevant bank before proceeding.

Language: Banking services at major institutions are generally available in both English and local regional languages. In metropolitan areas and large cities, branch staff will typically be in a position to assist customers in English. For authoritative and current information on banking regulations, the RBI’s official website at www.rbi.org.in is the most reliable resource.

How Do I Open a Bank Account in India as an Expat?

Opening a bank account in India demands thorough preparation of the necessary documentation. ICICI, HDFC, Axis, and several other banks now offer complete online account opening supported by video KYC, enabling you to open an NRI account entirely from overseas without travelling to India. For resident accounts, you will generally need to be physically present in India or hold a verified local address. The following is a step-by-step guide to the process:

1. Determine the right account type. If you are a foreign national moving to India to live and work, you will typically open a standard resident savings account once you hold a valid visa, work permit, and a local address. If you are of Indian origin and are based overseas or need to manage Indian financial interests from abroad, an NRE, NRO, or FCNR(B) account may be appropriate. Consult your chosen bank or a financial adviser to establish which account type suits your circumstances under current FEMA regulations.
2. Choose a bank. Research the institutions available in your city that match your requirements. Private banks such as HDFC, ICICI, and Axis tend to offer streamlined onboarding for newcomers, robust digital platforms, and English-language assistance. If you already hold accounts with HSBC or Standard Chartered in another country, those banks may offer a degree of continuity through their Indian operations.
3. Gather your documents. Documents typically required include:
   • Valid passport (original plus copies)
   • Valid visa or residence permit / work permit
   • Proof of Indian address (utility bill, rental agreement, or employer letter) or overseas address (for NRI accounts)
   • Recent passport-sized photographs
   • PAN card (Permanent Account Number) — India’s tax identification number — or Form 60 if you have not yet obtained one
   • Proof of employment or income (some banks may request this)

   Obtaining a PAN card early in your relocation is strongly advisable, as it is a prerequisite for most banking and financial transactions in India. Applications can be submitted at www.incometaxindia.gov.in or through authorised PAN service centres.

4. Apply in person, online, or via video KYC. A growing number of major banks now support video KYC verification, allowing you to complete the identification process remotely via a live video call. This is especially convenient for NRI accounts being opened prior to arrival in India. For resident accounts, you will usually be required to visit a branch in person at least once to finalise KYC verification and collect your debit card and chequebook.
5. Make the initial deposit. The majority of savings accounts require account holders to maintain a minimum average monthly balance (AMB). This varies by bank and account type — for standard savings accounts it generally falls between ₹1,000 and ₹25,000 (as of 2025), though premium and NRI accounts may carry higher thresholds. Always confirm the current minimum balance requirement with your chosen bank before proceeding, as these figures are revised from time to time.
6. Activate online and mobile banking. As soon as your account is operational, register for internet and mobile banking. These platforms will allow you to execute transfers, pay bills, and access UPI payment services. Registering your mobile number and email address with the account is essential to enable OTP (one-time password) authentication for secure transactions.
7. Obtain a PAN card if you have not already done so. A PAN card is required for tax purposes, high-value transactions, and investing in India. Without one, elevated TDS (tax deducted at source) rates may be applied to certain financial transactions.

Always consult the official website of your chosen bank or visit a branch to confirm the most current documentation requirements. The RBI’s official website at www.rbi.org.in provides definitive guidance on banking regulations applicable to both residents and non-residents.

What Banking and Payment Apps Are Widely Used in India?

The Unified Payments Interface (UPI) is a distinctive real-time payment platform launched by the National Payments Corporation of India (NPCI) in 2016. The system consolidates multiple bank accounts into a single interface and facilitates instant money transfers at any hour, every day of the year. UPI has become the dominant method of payment in India for transactions ranging from street food vendors to large retailers, and most expats residing in India will find themselves relying on it for everyday purchases.

Popular UPI-enabled apps include:

• Google Pay (GPay) — Extensively used across India for both person-to-person transfers and payments to merchants
• PhonePe — Among the highest-volume UPI platforms by transaction count in India
• Paytm — A wide-ranging fintech platform encompassing payments, digital wallets, insurance products, and investment services
• BHIM (Bharat Interface for Money) — The government-backed UPI application developed and maintained by NPCI
• Bank-specific apps — All leading banks (HDFC, ICICI, SBI, Axis, and others) offer their own mobile banking applications with built-in UPI functionality

NRIs and expats can use their international mobile number from 12 supported countries — UAE, USA, UK, Canada, Australia, Singapore, Hong Kong, Saudi Arabia, Oman, Qatar, Malaysia, and France — to configure and use UPI in conjunction with their NRE or NRO account. Directly linking overseas bank accounts to Indian UPI applications is not permitted under current RBI and FEMA regulations.

Regarding international fintech services: Wise (formerly TransferWise) is operational in India and is a popular choice for receiving and sending international transfers, though it functions primarily as a cross-border money movement tool rather than a conventional Indian bank account. Revolut has limited direct operations in India. PayPal is available in India for business use and international transactions but sees little uptake for routine domestic payments. Always verify the current regulatory standing of these services directly, as the rules governing fintech and cross-border payments evolve frequently.

In February 2023, the RBI and Press Information Bureau announced that foreign nationals and NRIs visiting India can make UPI payments via Prepaid Payment Instruments (PPIs). This means even short-stay visitors can access UPI through specially designed prepaid wallets, making it considerably easier to transact in India without holding a local bank account.

How Can Expats Manage Money Between India and Their Home Country?

Moving money across borders from India involves both practical banking decisions and important regulatory considerations under FEMA (the Foreign Exchange Management Act), which is enforced by the RBI. The account type you hold is the primary determinant of how freely you can move funds internationally.

NRE accounts permit full and unrestricted repatriation of both the principal and accrued interest abroad in foreign currency — there is no ceiling on the amount you can transfer out, since the funds originated from overseas. NRO accounts operate under tighter constraints: repatriation from NRO accounts is capped at USD 1 million per year (as of 2025), and applicable income tax must be settled on earnings before funds can be moved abroad. Always consult current RBI guidelines, as these limits are periodically reviewed.

Common methods for international transfers include:

• SWIFT wire transfers via your Indian bank — Available through all major banks; fees typically range from ₹500 to ₹2,000 per transfer (as of 2025), in addition to an exchange rate margin. Confirm current charges directly with your bank.
• Wise (TransferWise) — Favoured by many expats for its competitive exchange rates and lower overall costs compared with traditional bank transfer arrangements.
• Western Union and MoneyGram — Available but generally more expensive than bank transfers or Wise for larger sums.
• Bank-to-bank remittance services — Many Indian banks offer their own inward remittance products with attractive rates for receiving money from abroad.

Reporting requirements: India maintains reporting obligations for significant financial transactions. Under FEMA, all foreign exchange dealings must be conducted through authorised dealers — that is, banks licensed by the RBI to handle such transactions. Tax residents of India are also required to declare foreign assets and income in their Indian tax return, and any bank accounts held abroad must be disclosed. Depending on your country of origin or tax residency, you may additionally have obligations to report your Indian accounts to your home country’s tax authorities. Seek guidance from a qualified chartered accountant or tax adviser with expertise in both Indian and international tax law.

Singapore’s PayNow–UPI integration, which became operational in February 2023 and was expanded in July 2025, illustrates the growing direct interoperability between UPI and foreign payment systems, enabling instantaneous cross-border transfers without the need for intermediary currency conversions. India is progressively extending UPI’s cross-border reach to additional countries, meaning the international transfer landscape is evolving rapidly. For the most current guidance, consult the RBI at www.rbi.org.in and India’s Income Tax Department at www.incometaxindia.gov.in.

Frequently Asked Questions

Can a foreign national (non-Indian) open a bank account in India?

Yes. Foreign nationals who are residing in India on a valid visa can open a resident savings account at most major banks. You will typically be required to present your passport, visa documentation, proof of a local Indian address, and a PAN card (or Form 60 if you have not yet obtained one). Since most banks will not open accounts for non-Indian residents without local address verification, it is strongly advisable to secure a fixed address — such as through a rental agreement — before submitting your application. Requirements differ between institutions, so confirm the specifics directly with your chosen bank.

What is a PAN card and do I need one?

A PAN (Permanent Account Number) card is India’s tax identification credential, issued by the Income Tax Department. It is a prerequisite for most banking transactions, account openings, investments, and tax filings in India. As a foreign national or NRI, you can submit a PAN card application online through the Income Tax Department’s website at www.incometaxindia.gov.in or at an authorised PAN service centre. In the absence of a PAN card, banks are required to apply elevated TDS rates to interest payments and certain other financial transactions.

What is the difference between an NRE and NRO account?

An NRE (Non-Resident External) account is used to hold funds remitted from overseas. It is denominated in Indian rupees and is fully repatriable, meaning the entire balance can be transferred back out of India without restriction. Interest earned is exempt from Indian tax. An NRO (Non-Resident Ordinary) account is designed to receive income generated within India, such as rental income or dividends. It is also denominated in Indian rupees, but repatriation is capped at USD 1 million per year (as of 2025), and interest is subject to Indian taxation. The appropriate choice depends on where your funds originate and how you intend to use them.

How does India’s deposit insurance work?

The DICGC provides deposit insurance coverage of up to ₹5 lakh per depositor per bank, encompassing both principal and interest, as of 2025. Conceptually similar to the FDIC in the United States or the FSCS in the United Kingdom, the scheme protects depositors in the event of a bank failure. Crucially, if you hold multiple accounts at the same bank, all balances are aggregated for insurance purposes and total DICGC coverage will not exceed ₹5 lakh regardless of the number of accounts. Spreading larger deposits across several different banks can therefore offer greater overall protection. Visit the DICGC website at www.dicgc.org.in for the current list of insured banks.

Is UPI available to expats and foreign nationals in India?

Foreign nationals living in India who open a local bank account using a valid visa and passport are eligible to activate UPI services. The RBI announced in February 2023 that foreign nationals and NRIs visiting India can also access UPI payments through Prepaid Payment Instruments (PPIs). All UPI transactions are denominated in Indian rupees. To use UPI, you will need a UPI-enabled bank account and either a linked Indian mobile number or an eligible international number, subject to your bank’s specific policies.

Can I use Wise, Revolut, or PayPal for banking in India?

Wise is widely employed by expats for making and receiving international transfers linked to Indian bank accounts and typically offers more favourable exchange rates than conventional high-street banks. Revolut has limited direct banking presence in India and does not represent a practical option for everyday banking there. PayPal is available in India but is used primarily for international business transactions and is not widely adopted for domestic payments. Directly linking overseas bank accounts to Indian UPI applications remains prohibited under current RBI and FEMA rules, so these services are best treated as useful additions to a local Indian bank account rather than replacements for one.

Are there minimum balance requirements for bank accounts in India?

Yes. Most savings accounts in India require account holders to maintain a minimum average monthly balance (AMB). At major private sector banks, this typically falls between ₹1,000 and ₹25,000 (as of 2025), with penalty charges levied when the balance drops below the required level. Public sector banks tend to set lower or zero minimum balance thresholds for certain account types under financial inclusion initiatives. Premium and NRI accounts generally come with higher minimum balance requirements. Always verify the current requirements directly with the bank before proceeding, as these figures are updated from time to time.

Where can I get authoritative information about banking regulations in India?

The Reserve Bank of India (RBI) acts as the central bank and principal regulator for all banking activity in India. Its website at www.rbi.org.in provides official guidance covering banking regulation, foreign exchange rules under FEMA, and consumer protection measures. For queries relating to deposit insurance, visit www.dicgc.org.in. For tax-related matters, including PAN card applications, the Income Tax Department’s website at www.incometaxindia.gov.in is the appropriate resource. Always cross-reference specific fees, limits, and thresholds against official sources, as these are subject to change.