NEW DELHI - The Indian government Friday said state-owned bank Punjab National Bank has applied for opening branches in Pakistan and is awaiting approval from the competent authority.
“Punjab National Bank has applied for opening of two branches in Pakistan, one each in Lahore and Karachi, but these branches have not been approved by the competent authority,” Indian Minister of State for Finance Namo Narain Meena said in a written reply to the Lok Sabha, lower house of the Indian parliament.
No Indian bank has presence in Pakistan, he said. The State Bank of Pakistan (SBP) had indicated to the Reserve Bank of India last month that Muslim Commercial Bank was also interested in opening a branch in India apart from two other Pakistani banks, Meena added.  RBI has advised SBP this month that banks from Pakistan may apply as per the extant policy for the presence of foreign banks in India.