SBI to set up IT firm; general insurance on agenda too

State Bank of India (SBI) will make a foray into at least two new ventures in the next fiscal, one of which will be an information technology company.

A K Purwar, chairman, SBI, said the IT to provide solutions to the banking and financial services sector.

"Besides, SBI will also venture into one more business, which could be general insurance, in the next fiscal," the chairman told mediapersons in Ahmedabad on Wednesday.

However, Purwar did not elaborate further on the nature of the IT company that is likely to be set up, stating that all these issues are presently being worked out.

"We should be able to working out details of the new projects in the next few days, after which a formal announcement will be made," the SBI chairman said.

Purwar said India's largest commercial bank also aims to be among the top ten or 15 banks in the world.

It is at present ranked 32nd. Commenting on the SBI group that comprises seven banks, Purwar said that the task of integrating the treasuries of the seven banks is currently on at the Bandra-Kurla Complex premises in Mumbai, but a Chinese Wall will continue to exist between the banking operations of all the seven group entities.

On the cheque imaging solutions pilot project where SBI is also a partner, Purwar said work on the pilot has begun in Delhi and is expected to be completed by August 2005.

"Once the pilot is over, we will implement the project first in Delhi, after which it will be duplicated elsewhere," he said.