Tata Sons withdraws bank licence application: RBI

The Tata Group comprises of over 1,000 companies engaged in diverse sectors and geographies, with a significant presence outside India, according to the release.

It said Tata Sons remains committed to financial inclusion and believes its existing financial services footprint uniquely positions it to provide technology excellence and access to India's hinterland.

The RBI had placed a list of 26 applicants for new bank licences in the private sector on its website on July 1. The central bank intimated two changes in the names of applicants on September 6.

The list of the remaining 25 players in the fray include Aditya Birla Nuvo, LIC Housing Finance, the Department of Posts, Reliance Capital, Bajaj Finserv, Bandhan Financial and Edelweiss Financial Services.

Among others are IDFC, IFCI, Indiabulls Housing Finance, India Infoline, INMACS Management Services, Janalakshmi Financial Services, J M Financial, L&T Finance Holdings, Magma Fincorp, Muthoot Finance, Religare Enterprises, Shriram Capital and Smart Global Ventures.

SREI Infrastructure Finance, Suryamani Financing Company, Tourism Finance Corporation of India, UAE Exchange & Financial Services and K C Land & Finance are also in the race.

The RBI had issued guidelines for licensing of new banks in the private sector on February 22 and issued clarifications in the first week of June this year.

In the past 20 years, the RBI has given licence to 12 banks in the private sector in two phases. Ten banks were given licences on the basis of guidelines issued in January 1993.

The norms were revised in January 2001 based on the experience gained from the functioning of banks and fresh applications were invited. Kotak Mahindra Bank and Yes Bank were the last two entities to get banking licences from the RBI in 2003-04.