The whole banking division of the banking leader, State Bank of India (SBI) has been reorganized under a single platform. The bank seems to take the move to keep pace with the fast growing corporate sector.
Apart from extending credit for projects, the division will also offer a range of new services including consultancy, treasury products, collection, capital market related services, factoring, custodial services and investment advisory to the clients. "With this, the SBI now offers its corporate clients an array of services on a single platform," said an official with SBI.
SBI has also assigned a separate team that consists of SBI officials to look after its wholesale banking business. The bank is giving expert guidance to the team so as to cash in on all the market opportunities. "The bank has prepared an internal platform to cash in on the business opportunities in the wholesale banking market," added the official.
The official further informed that the wholesale banking team is going to be headed by a Deputy Managing Director of the bank an there will be 35 senior officials at the senior management level.
The wholesale banking business of the bank has been reporting an average growth of 35% annually. Presently the wholesale banking has a market of 50% in the business and is contributing about 55% to the total revenue of SBI.
The SBI official informed that the bank also plans to bring its subsidiary banks into the same platform in the coming times.
Currently SBI's wholesale banking includes more than 5,000 clients from small, mid-corporate and large corporate segments.
SBI has restructured its business model in order to compete with its private and foreign peers in the industry. The banking major has also kept its lending to the corporate clients intact even when the markets were hit by the financial crisis. The official said the bank would continue lending to its corporate clients for the viable projects.
In order to expand at an advanced business platform, SBI has appointed global consultancy firm, McKinsey that has carried out various forums for SBI staff in the last one year period.