Bank of India is looking to acquire a small bank in Indonesia and expects to open branches in Antwerp (Belgium) and Shenzen (China) soon to expand its business.

BoI has looked at one-two banks in Indonesia for acquisition and discussions are on, chairman and managing director M Venugopalan told reporters after launching an international gold credit card on Wednesday.

Veugopalan did not give details of possible acquisitions in Indonesia but said it has sufficient resources to fund the transaction.

State Bank of India is looking to acquire a small or medium size bank in Asia and Africa.

It is cost effective to acquire bank with four to five branches to establish presence due to their ready network and banking licence than open branches with heavy capital base required under regulatory norms, Venugopalan said.

Asked about reports on BoI looking to acquire a domestic bank, he said: "We are not averse to mergers and acquisitions (M&A) but there is nothing specific as of now."

This would be decided on the basis of size and strength in specific business area and geographical region, he added.

On opening braches abroad, the CMD said Reserve Bank of India's approvals are in the process for branches in Shenzen in China and Antewerp.

The bank also plans to open subsidiaries in Canada, Tanzania, a branch in Bangladesh and representative office in Myanmar, he added.