On the occasion of its 69th foundation day (1st July 2024), the State Bank of India (SBI) announced 11 new initiatives to enhance the banking experience for its customers and widen the bank’s accessibility. These initiatives span digital advancements, improved customer services, and specialized products for different segments.
Background:
i.SBI annually celebrates its Foundation Day on July 1.
ii.The Origin of SBI dates back to the establishment of the Bank of Calcutta on June 2, 1806. It was rebranded as the Bank of Bengal in 1809.
- This was the first joint-stock bank in British India, sponsored by the Government of Bengal.
iii.1921, the Bank of Bengal, Bank of Bombay (1840) and the Bank of Madras (1843) were merged to form the Imperial Bank of India.
iv.On 1 July 1955, as the premier commercial bank in the India, the Imperial Bank was nationalised to create the State Bank of India(SBI).
- With the passing of the State Bank of India (Subsidiary Banks) Act in 1959, 8 former state-associated banks became its subsidiaries.
List of 11 Initiatives launched by SBI
1.UPI Tap-and-Pay:
SBI has launched the UPI Tap-and-Pay feature on the BHIM( Bharat Interface for Money) SBI Pay app, which uses Near Field Communication (NFC) technology for swift and effortless digital payments.
- Transactions under Rs 500 can be completed without a PIN using Unified Payments Interface (UPI) Lite.
- Transactions above Rs 500 require a UPI PIN for enhanced security.
2.YONO Business and Corporate Internet Banking for Small Businesses:
To support startups, small businesses, and partnership firms with two partners and limited staff, SBI has simplified role management in its YONO(You Only Need One) Business and Corporate Internet Banking products, eliminating the need for multiple mandatory role holders. This feature facilitates per transaction up to Rs 50 lakhs with quicker transfers up to Rs 25,000 per transaction with daily limit of Rs. 5 lakhs.
3.Automated Intimation for Loan Applications:
SBI now provides automated email and Short Message Service (SMS) notifications for home loan applicants, updating them at various stages of their loan processing to enhance customer convenience and satisfaction.
4.SBI Surya Ghar Loan:
It is a fully digital process for loans aimed at installing solar rooftops under the Government of India’s PM (Pradhan Mantri) Surya Ghar Scheme, offering loans for up to 10 KW capacity. The process is managed on SBI’s digital platform, covering everything from registration to loan disbursement.
- Agricultural Centralized Processing Cells (Agri CPCs)
SBI has established 35 new Agri CPCs to streamline agricultural loan processing and mitigate risks. These cells are expected to significantly expand SBI’s market presence in high-value agricultural credit products.
- Electronic Dealer Financing Scheme (e-DFS)
Under Project Pratham, SBI introduced a revamped e-DFS scheme providing standalone loans up to Rs 5 crore. Piloted on June 8, 2024, across 8 SCF CPCs in a controlled user group (CUG), it aims to cover approximately 87% of the existing e-DFS portfolio.
- This initiative aims to reduce turnaround times for onboarding and renewals, thus improving efficiency in dealer financing.
- SBI General Arogya Advanced Plan
SBI General Insurance has launched the Arogya Advanced plan with stable premiums across specific age groups. This initiative ensures predictable health insurance costs, enhancing the affordability and accessibility of healthcare.
- Opening of 2ndGlobal NRI Centre in Patiala
To better serve its NRI (Non-Resident Indian) clients, SBI’s Chairman Dinesh Kumar Khara inaugurated its second Global NRI Centre (GNC) in Patiala, Punjab.
- These centres offer specialized services to NRI customers, underscoring SBI’s commitment to the Indian diaspora.
- Its 1st GNC is in Ernakulam, Kerala.
- Revamped High Court Branches
SBI has redesigned its High Court branches to better cater to the legal community. These branches offer tailored financial solutions, enhancing services specifically for legal professionals.
- Expanded Customer Contact Centres
SBI opened two new contact centres in Gurugram, Haryana and Bengaluru, Karnataka with plans to establish additional centres in Navi Mumbai, Maharashtra and Kolkata, West Bengal. These centres aim to improve borrower engagement and provide prompt assistance in loan management.
- SMECC Model for Medium Loans
The introduction of the Medium Loans AMT (ML AMT) under Small Medium Enterprises City Credit (SMECC) focuses on enhancing the efficiency and growth of medium-sized loan portfolios. This initiative aims to streamline processes and improve customer satisfaction for loans ranging from Rs 50 lakhs to Rs 2 crore.
Recent Related News:
i.SBI has entered into a five-year agreement with HCLSoftware, the software business unit of HCLTech, to digitally transform its customer interaction framework by utilising the HCL Unica platform.
ii.SBI and Standard Chartered Bank India carried out the Credit Default Swap
(CDS) trade worth Rs 25 crore. This marks the 1st CDS transaction since the Reserve Bank of India. RBI issued revised CDS guidelines in 2022.
About State Bank of India (SBI):
Chairman– Dinesh Kumar Khara
Headquarters– Mumbai, Maharashtra
Establishment– 1 July 1955
Tagline– Pure Banking, Nothing Else
