Regulating Cross-Border Banking Mergers and Acquisitions in India: Balancing Competition and Consolidation
Introduction: The globalization of the banking sector has led to an increase in cross-border mergers and acquisitions (M&A) as financial institutions seek strategic opportunities beyond their home markets. In the Indian context, regulating cross-border banking M&A poses unique challenges and opportunities. This article explores the current scenario of regulating cross-border banking mergers and acquisitions in India, focusing on the delicate balance between fostering competition and allowing consolidation for the benefit of the financial ecosystem. The Landscape of Cross-Border Banking Mergers and Acquisitions: a. Globalization and Financial Integration: The liberalization of financial markets and the increasing interconnectedness of economies have fueled cross-border banking activities. Mergers and acquisitions serve as strategic moves for banks looking to expand their reach, diversify services, and capitalize on synergies. b. Strategic Objectives: Banks engage i