SBI focusses on retail banking for growth
Singur (West Bengal), Oct 25: State Bank of India (SBI) is focussing on retail banking for growth, Managing Director Yogesh Agarwal said today.
The retail banking is showing the maximum growth and has huge potential. The bank is looking at more growth in the segment, Mr Agarwal, who came to inaugurate a branch near the site of the proposed small car project by Tata Motors here, said.
The country's largest bank is aiming at 20 per cent growth in deposits and 25 per cent growth in advances in the current fiscal over the corresponding period last fiscal, he said.
SBI is also looking at ending the year with less than 2 per cent gross NPA and less than one per cent net NPA levels, he said.
He said the Bank already has 9,000 branches of its own and 5,000 branches of the associate banks.
The Bank would expand its branch network in areas which were showing potential for growth, he said.
He said SBI is keen to expand operations in Singapore and China and have intiated talks with the respective governments.
Following the approval from the respective governments, the RBI's nod is also required for opening branches or representative offices in foreign countries, he said.
He said SBI is comfortably placed with 12 per cent capital adequacy ratio (CAR) as against the Basel II requirements of 9 per cent.
SBI's Deputy Managing Director U S Roy said Bengal circle is expected to contribute an additional business of Rs 10,000-12,000 crore by the end of the current fiscal over Rs 35,000 crore business clocked till now.
Mr Roy said the Singur branch is the 785th branch in the Bengal circle and confirms to the rural focus the bank had been following through the years.
To give an extra emphasis to the rural credit initiative the bank has appointed 100 special recovery officers, he said.
The Singur branch was opened within one month of obtaining the licence for setting up the branch.