Bhavnagar, Gujarat, Sep 19 (UNI) Reaffirming its commitment towards the people of Saurashtra region and Gujarat, the State Bank of India today held a meeting of its Central Board of Directors' here.
The meeting venue had a special significance as State Bank of Saurashtra, which recently merged with SBI had its Corporate Headquarters here.
SBI Chairman O P Bhatt, Union Secretary (financial services) Arun Ramanathan and Members of the Board of Directors and senior officers of State Bank of India were given a warm welcome on their visit to the Administrative office of SBI here.
Representatives of the Officers' Association and Employees Union profusely welcomed the merger and pledged their commitment towards whole-heartedly working for making SBI the Number One Bank in the country.
State Bank of Saurashtra was a wholly owned subsidiary of State Bank of India and functioned as an Associate Bank of State Bank of India for over four decades. SBS was one of the seven State owned banks taken within the SBI fold under the State Bank of India (Subsidiary Banks') Act-1959. Merger of SBS with SBI is aimed at consolidating the strengths of the State Bank Group to meet the challenges of increased competition.
The merger would benefit both the customers and employees of erstwhile SBS as there would be a much wider scope for increasing the reach of the Banks products to the customers through a large network of branches -- 10,494 branches of SBI and 461 branches of erstwhile SBS. Improved business presence of SBI would result in optimisation of resources, availing economies of scale and tapping the synergies of SBI and SBS operations, which will lead to rendering of speedier and better service to the customers.
On an enhanced capital base, higher credit exposure ceilings of SBI will apply to erstwhile SBS customers so that it will be possible to meet the credit requirement of individual borrowers without resorting to multiple banking arrangements.
SBS will add 400 branches and business of Rs 19,609 crore to Ahmedabad Circle of SBI. As a result, the Circle business will improve from Rs 35,741 crore to Rs 55,350 crore (55 per cent) and its total number of branches will increase from 554 to 954.
UNI VK RN AG1310