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Profit earned by a branch of foreign bank in india will it come under domestic product of india ?why?
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Profit earned by a branch of foreign bank in india will it come under ...
Introduction:
When a branch of a foreign bank operates in India, the profit earned by that branch is an important aspect to consider. Understanding whether the profit earned by a branch of a foreign bank in India comes under the domestic product of India requires an examination of various factors.

Definition of Domestic Product:
Domestic product, commonly known as GDP (Gross Domestic Product), represents the total value of goods and services produced within a country's borders during a specific time period. It includes the output of both domestic and foreign-owned entities operating within the country.

Profit earned by a branch of foreign bank in India:
The profit earned by a branch of a foreign bank in India can be analyzed to determine whether it comes under India's domestic product or not.

Factors to consider:
Several factors need to be taken into account to determine whether the profit earned by a branch of a foreign bank in India is part of the domestic product or not.

1. Geographical Location:
The geographical location of the branch plays a crucial role. If the branch is physically located within the borders of India, the profit earned can be considered part of the domestic product. However, if the branch is located outside the country, the profit would not be included in the domestic product.

2. Ownership and Control:
Ownership and control of the branch are also significant factors. If the branch is owned and controlled by a foreign entity, the profit earned may be considered part of the foreign entity's income rather than the domestic product. However, if the branch is owned and controlled by an Indian entity, the profit could be considered part of the domestic product.

3. Contribution to the Indian Economy:
The contribution of the branch to the Indian economy is another important aspect. If the branch primarily serves the Indian market and contributes to the growth and development of the Indian financial sector, the profit earned by the branch could be considered part of the domestic product.

Conclusion:
In conclusion, whether the profit earned by a branch of a foreign bank in India comes under the domestic product depends on various factors such as geographical location, ownership and control, and contribution to the Indian economy. It is important to carefully analyze these factors to determine the inclusion of such profits in the domestic product.
Community Answer
Profit earned by a branch of foreign bank in india will it come under ...
Yes as it comes in domestic territory of India. 
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Profit earned by a branch of foreign bank in india will it come under domestic product of india ?why?
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