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Indian banks export deposits at record pace - BIS
Basel, Mar 08: India had its biggest net outflow of bank deposits in the third quarter of 2003 since the Bank for International Settlements (BIS) began collecting the data in the late 1970s, the BIS said on Sunday.
Basel, Mar 08: India had its biggest net outflow of bank deposits in the third quarter of 2003 since the Bank for International Settlements (BIS) began collecting the data in the late 1970s, the BIS said on Sunday.
Indian banks deposited a record of around $6.8 billion abroad in the July-September period, mostly to banks in the United States, the BIS said in its quarterly report.
At the same time, foreign banks pumped about $3.4 billion into India, giving a record net outflow of $3.5 billion.
Lending to India has risen steadily since the last quarter of 2002, while bank deposits flowing out of India have risen steadily since the first quarter of 2003, the BIS numbers show.
Countries in the oil exporters' cartel OPEC continued to repatriate funds from abroad at a rapid pace in the third quarter but not as rapidly as in the preceding quarter.
OPEC nations repatriated $9.1 billion dollars in the three-month period, down from $11.2 billion in the previous quarter but still much more than $1.1 billion in the quarter a year earlier.
The data backs anecdotal evidence that Arab investors are pulling out of financial centres such as the United States and Britain. Private banking operations in the Gulf, which cater for rich clients, report rapid growth of assets.
Reporting anomalies of participating central banks prevented the BIS from breaking comprehensive country-by-country data out of the OPEC aggregate statistics.
The Organisation of Petroleum Exporting Countries comprises Algeria, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, Venezuela and the United Arab Emirates.
The BIS also said that Latin America experienced its sixth consecutive quarterly outflow in the third quarter of 2003, due both to reduced lending to non-bank borrowers and to increased deposits placed outside the region.
Claims on Latin America, which includes a large lending component, continued to decline for the ninth consecutive quarter but at a slower pace, at 5.2 percent, than in the previous quarter, at 7.2 percent, the BIS said.
Latin American liabilities, or deposits placed by Latin American banks outside of the region, rose by $8.2 billion, the BIS said.
The BIS, based in Basel, Switzerland, is a central bank to the world's central banks.
Bureau Report
At the same time, foreign banks pumped about $3.4 billion into India, giving a record net outflow of $3.5 billion.
Lending to India has risen steadily since the last quarter of 2002, while bank deposits flowing out of India have risen steadily since the first quarter of 2003, the BIS numbers show.
Countries in the oil exporters' cartel OPEC continued to repatriate funds from abroad at a rapid pace in the third quarter but not as rapidly as in the preceding quarter.
OPEC nations repatriated $9.1 billion dollars in the three-month period, down from $11.2 billion in the previous quarter but still much more than $1.1 billion in the quarter a year earlier.
The data backs anecdotal evidence that Arab investors are pulling out of financial centres such as the United States and Britain. Private banking operations in the Gulf, which cater for rich clients, report rapid growth of assets.
Reporting anomalies of participating central banks prevented the BIS from breaking comprehensive country-by-country data out of the OPEC aggregate statistics.
The Organisation of Petroleum Exporting Countries comprises Algeria, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, Venezuela and the United Arab Emirates.
The BIS also said that Latin America experienced its sixth consecutive quarterly outflow in the third quarter of 2003, due both to reduced lending to non-bank borrowers and to increased deposits placed outside the region.
Claims on Latin America, which includes a large lending component, continued to decline for the ninth consecutive quarter but at a slower pace, at 5.2 percent, than in the previous quarter, at 7.2 percent, the BIS said.
Latin American liabilities, or deposits placed by Latin American banks outside of the region, rose by $8.2 billion, the BIS said.
The BIS, based in Basel, Switzerland, is a central bank to the world's central banks.
Bureau Report