Beijing, March 17 (PTI): India's largest commercial lender, State Bank of India (SBI), on Friday became the first Indian bank to get a license for offering foreign currency services to Chinese customers.

"We have just received the second license from the Chinese authorities," Chief Executive Officer of SBI-Shanghai Branch, T C A Ranganathan, said in a telephonic interview from Shanghai.

According to Chinese banking regulations, SBI, Shanghai, could earlier offer banking services only to foreigners or foreign enterprises in foreign currency.

"We have reached yet another milestone in operations in the world's fastest growing economy. This is a major milestone for us," he said.

"Now we are in a position to offer a range of services to Chinese customers as well," Ranganathan said, expressing full confidence in tapping the galloping bilateral trade and mutual investments between India and China.

The second licence will allow the bank to offer foreign currency loans, credit advise, project funding, letter of credit, foreign currency guarantees, he said.

He said SBI-Shanghai will now double its capital in China to 200 million yuan (approximately USD 25 million) and add more personnel to increasingly reach Chinese customers, who are keen to do business with India.

"We will steadily introduce all the instruments in foreign currency trading," Ranganathan said.