Experts said this is one way for Asian banks to fast track their growth strategy in new markets.

Asian banks have been fast to acquire businesses of European banks when they are up for sale. This included deals such as the sale of the private banking business of Dutch lender ING to Singapore's OCBC Bank, and Malaysia's CIMB purchase of RBS' Asia-Pacific securities operations.

Experts expect more of such deals in the coming months as more European banks are expected to divest their assets to raise capital as the European debt crisis deepens.

Mr Kenneth Ng, who is the head of research at CIMB Securities, said: "We believe what we are seeing now is the rise of the Asian banks. As more and more Western banks try to conserve capital and pull out of Asia, Asian banks will certainly take over some of those assets if they are worth the money."

Analysts said such acquisitions will help Asian banks gain new market share and accelerate their growth. For instance, the acquisition trail may give Asian banks a foothold in competitive businesses like syndicated loans in OECD countries.

They added that the commercial banking franchises of the European banks would be among those that will interest the big Asian banks most.

UOB Kay Hian Research's associate director, Mr Jonathan Koh, said: "Primarily, the local banks would be interested in commercial banking. Beyond that, I think wealth management and private banking would be of interest because there is a lot of wealth creation in Asia."

Some experts said the Asian banks would be better off if they focus on acquiring just the Asian businesses of the European banks, adding that their expertise in Asia would help ensure a smoother business transition.

Mr Mark Young, who is the head of Asia Pacific Financial Institutions at Fitch Ratings, said: "The Europeans are withdrawing from the region because of issues in their home market. It is natural for them to focus on home market rather than markets that are far away. With them withdrawing, it does provide those banks which have traditional strengths such as strong liquidity, to be able step into those areas."

Among the assets that the European lenders may be selling could be in Greater China, ASEAN and even within South Asia.

Still, analysts said those assets in China will be among those that will be hotly contested.

TODAY