An Offshore Banking Unit (OBU) of a bank is a deemed foreign branch of the parent bank situated within India, and shall undertake International Banking business involving foreign currency denominated assets and liabilities. The Reserve Bank of India has given permission to certain select Banks in India, fulfilling certain criteria, to set up OBUs in “ Special Economic Zones” (SEZ), for facilitating exports from India

The OBU of PNB is situated at Santacruz Electronics Export Promotion Zone (SEEPZ) in Mumbai (Bombay), the financial capital of India, and is a Deemed Foreign Branch of PNB, although located within the country.
PNB is one of the premier banking institutions of India with a glorious history of 108 years (estd. in 1895), and is one of the top Public Sector Banks in India, owned predominantly by the Govt. Of India. PNB is listed on the Bombay Stock Exchange and other major Stock Exchanges of the country. The total assets of PNB as at 31 March 2003 were in excess of US$ 19 billion and the total business figures as on 31 March 2003 were US$ 33 billion.