SBI's Strategy Amid Deposit Competition and Digital Expansion

SBI's new chairman, C S Setty, discusses the ongoing competition for deposits and SBI's strategy moving forward. Despite pressures, the bank will not enter a rate war, but will focus on customer service and its extensive network. Initiatives like YONO 2.0 and new digital tools aim to bolster growth.

SBI chairman C S Setty has acknowledged ongoing pressures to enhance deposits in the banking sector. However, Setty emphasized that the bank will not engage in a 'rate war' and will instead focus on superior customer service and its vast network to drive deposit growth.

Speaking at the Global Fintech Fest, Setty forecasted a credit growth of 14-16% for FY25, buoyed by an anticipated deposit growth of 8-10%. He highlighted the bank's robust balance sheet as a key strength.

SBI is also preparing to launch the YONO 2.0 app in November, initially as a closed user group before a broader release. Additionally, the bank aims to derive 90% of retail unsecured loans via digital channels. Setty also introduced new offerings, including the MTS RuPay NCMC prepaid card, a one view mobile app, and an advanced SBI FASTag design.

(With inputs from agencies.)