SBI Vizag zone aims to sanction Rs 330cr advances

State Bank of India (SBI), Visakhapatnam zone, plans to sanction loans to the tune of Rs 330 crore through its newly-initiated 'loan processing centres' this fiscal.

In order to speed up the loan processing system for both personal segment products and small enterprises up to Rs 5 crore, particularly in the urban areas of Vizag, Kakinada and Rajahmundry, the bank has started a Retail Assets Central Processing Centre (RACPC) and a Small Enterprise Credit Cell (SECC) at Vizag, and Retail Assets Small Enterprise Credit Cells (RASECCs) at Kakinada and Rajahmundry.

SBI Vizag zone comprises four districts "� Visakhapatnam, Vizianagaram, Srikakulam and East Godavari.

"Due to quick decisions and processing system by these centres, we have been getting good results for the last one year. In the current year up to February 15, the bank sanctioned close to Rs 260 crore as advances through these cells," SBI Vizag zone deputy general manager, Supriyo Kumar Chaudhuri, told Business Standard, adding that the bank was aiming to sanction about Rs 330 crore as advances by the end of March through these cells.

"These advances will occupy 30-35 per cent of the total loan portfolio of the SBI Vizag zone," he said.

Chaudhuri said that initially only 14 local branches were attached to the RACPC in Vizag city with three products "� housing loans, education loans and car loans.

"At present, 32 branches have been brought under the RACPC umbrella with two more products "� mortgage loans and rent plus loans," he said, adding that the new initiative helped the bank's Vizag zone improve its market share from 17 per cent to 20 per cent in a short period.

As on date, Vizag RACPC sanctioned loans to the tune of Rs 142 crore, SECC sanctioned Rs 60 crore, while RASECCs at Rajahmundry and Kakinada sanctioned Rs 35.54 and Rs 22.40 crore respectively.

"Currently, the bank's branches have been disbursing the amounts to the customers once the special centres sanction the loans. Now, the bank is planning to bestow upon these centres the additional responsibility of disbursing loans from next fiscal," Chaudhuri said.