SBI Aims to Merge 5 Associate PSBs, Bhartiya Mahila Bank [ Current News (Concise) ]
The country’s largest lender, State Bank of India (SBI) has decided to join its five associate public sector banks (PSBs) and the Bharatiya Mahila Bank (BMB) with itself. So SBI has conversant with the Bombay Stock Exchange (BSE) that they are looking for in-principle approval for attainment from the Union Government in this regard.
- And the 5 subsidiary banks are:
- State Bank of Bikaner and Jaipur
- State Bank of Hyderabad
- State Bank of Mysore
- State Bank of Patiala
- State Bank of Travancore
- The boards of the subsidiary banks and the SBI also met independently in Mumbai to start merger talks for obtaining the businesses counting assets and liabilities besides from this.
- The merged object will upgrade SBI’s market share from 17 per cent to 22.5 - 23 per cent the country with overall business in excess of Rs. 35 lakh crore.
- Staff strength of SBI will increase by 35 - 49 per cent and it will have one-fourth of the credit and loan market in the country.
- With this merging the branch network will also upgraded by 6, 000.
- SBI alone has more than 15, 000 branches in the country currently.
- The idea of merger comes after the Union Government had announced a road map for bank association during the 2016 - 17 Union Budget.
- This was become more essential to meet the huge infrastructure funding needs of the country.
- In terms of size as no bank in the country features in it so this merger also aims to feature Indian Bank in the top 50 banks of the world.
- Published on: May 19, 2016