Union Bank Of India To Withdraw From Antwerp Diamond Market
State-owned Union Bank of India (UBI) has decided to shut its four-year-old Antwerp branch owing to a lack of business from the diamond district, several media outlets have reported.
Bloomberg quoted UBI chief executive officer Rajkiran Rai Gundyadka as saying that the Antwerp branch would be closed within a year as it didn’t generate “the expected amount of business, particularly from the diamond sector,” Gundyadka said. “The viability of the branch isn’t established.”
The opening of UBI’s Antwerp branch in June 2014 was hailed by the diamond industry. At the time, it was reported that a fifth of the bank’s $200 million loan book would go towards diamonds in its first year of operations.