The Netherlands-based Rabobank on Friday said it has received approval from the Reserve Bank of India (RBI) to establish banking presence in the country through a maiden branch in Mumbai.

Rabobank is present in India through a wholly owned subsidiary, Rabo India Finance (RIF), which is registered as a non-banking finance company (NBFC).

The licence will help Rabobank to substantially expand its current range of services in the Indian market.

“India is a key country for Rabobank. We are now able to offer a broader range of products and services to our Dutch, Indian and international clients,” Sipko Schat, member of the executive board of Rabobank Group said in a statement.

Rabobank’s move for the banking licence forms part its global strategy to expand business in major growth markets that have a strong food and agriculture base, it added.

Rabobank in India will be able to accept deposits and use its balance sheet to provide working capital financing to clients. The licence will also permit the bank to deal in foreign exchange, domestic fixed income products and trade finance, the statement said.

PTI