Andhra Bank of India is making its debut in the Gulf by entering into tie-ups with exchange houses in the UAE and Qatar. Impressed by the sophistication of the UAE construction industry, Andhra Pradesh is considering cooperation with the industry in these countries.

Chairman and Managing Director B. Vasanthan told Gulf News yesterday that the bank will sign an agreement with the UAE Exchange Centre to handle remittances from non-resident Indians (NRIs) to India. "We are in the final stages of discussion and by December we expect to sign the agreement."

Andhra Bank is also entering into a similar tie-up with the National Exchange Co in Doha, he said. After the agreement is signed, the two exchange houses will have arrangements for drawing drafts on Andhra Bank. This is the first time the Hyderabad bank is entering the Gulf.

"There are many NRIs in the UAE, Qatar and other Gulf countries from Andhra Pradesh and our bank can provide various services for them," he said. With total assets of Rs150 billion and a network of 1,020 branches, Andhra Bank earned a net profit of Rs1.23 billion for fiscal 1999-2000.

Vasanthan, who is leading a delegation from the construction industry in his state, said Andhra Bank's presence ensures that there will be no shortage of funds for infrastructure projects undertaken by contractors in the state.

Andhra Pradesh Chief Secretary Ramesh Chandu Sinha, who is also director-general of Hyderabad's National Academy of Construction, said the delegation is studying the UAE's construction industry and is impressed by its speed and quality.

"The sophistication of the industry and the advanced equipment used is worthy of emulation and we can think of using such equipment in India," he said.