The State Bank of India (SBI) on Friday said it will merge corporate finance branches of associate banks with parent branch and prepare detailed plan to rationalise retail banking network.
R Sriram, managing director (corporate banking), said the corporate finance branches of associates banks will be merged into parent branch as 60 to 70 per cent accounts are common and can have one relationship manager.
As for retail branch network of SBI group spread over the country, he said it would prepare detailed plan taking in account strengths of each bank. At present SBI group has about 22,000 branches, out of which SBI has 16,800 units, Sriram told reporters after SBI incked pact with Flipkart.
The five associate banks of SBI have Indian market share around 5.30 per cent in deposits and 5.33 per cent in advances at end of March 2016. Their net profit was Rs 1, 368.7 crore at end of March 2016.
These five associate banks are - State Bank of Patiala, State Bank of Mysore, State Bank of Hyderabad, State Bank of Jaipur and Bikaner and State Bank of Mysore.
Meanwhile, SBI formed an alliance with e-commerce player FlipKart to offer banks' customer a pre-approved EMI facility for purchases. SBI will provide overdraft facility to its pre-qualified customers for transacting on FlipKart. SBI one million pre-screened customers will benefit from arrangement, Rajnish Kumar, MD ( National Banking group) said.
FlipKart said this program is targetted for pushing sale of high value items like (I-phone) on electronic platform.
