Citigroup (C) has partnered with Axis Bank to finance non-resident Indians investing in foreign-currency deposits with the Indian lender, Bloomberg News reported Monday, citing unnamed people familiar with the matter.

Axis Bank is providing standby letters of credit to support financing that Citigroup extends through its offshore operations, allowing investors to leverage their deposited funds, according to the report.

The arrangement gives foreign banks a way to participate in the growing deposit market without having an Indian retail-banking presence.

Citigroup and Axis Bank did not immediately respond to MT Newswires' request for comment.

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