SBI’s new chief Setty wants his bank to grow into the ‘Best Bank’ in India

State Bank of India’s new Chairman Challa Sreenivasulu Setty believes in finding a firm foothold before taking the next step, even as he wants his Bank to grow into the “Best Bank” in the country.

Recollecting lessons from his school days in his village in Andhra Pradesh, Setty, who took charge of India’s largest Bank on Wednesday, noted that when the academic year began with the monsoon rains, the first lesson for the new students wasn’t from a text book, but a practical one imparted by senior students or many times by the teachers themselves.

“...Our initial, unforgettable lesson was to master the art of walking on the slippery bunds bordering the muddy fields without skidding or losing balance. We were told to... find a firm foothold before taking the next step. This simple yet crucial technique ensured we could make our way safely, step by cautious step...”

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“This early, rustic lesson has stayed with me till now, much like the foundational experiences I have had at SBI... Today, as I embark on this new voyage as your Chairman, I realise that I am not the same person i was when i started. Nor is our Bank. We have both grown, adapted and transformed,” he said in a communication to his colleagues.

Setty took charge from Dinesh Kumar Khara, who helmed the India’s largest Bank from October 7, 2020 to August 27, 2024.

Recognising the contributions of his predecessors, who with help from all employees laid a strong foundation for the Bank, Setty said the Bank now proudly serves over 50 crore customers and has market leadership posiiton across products. Further, the Bank has achieved 1 per cent return on assets on arguably the largest balance sheet in the country.

SBI’s new chief emphasised that: “It is now our turn to build on this foundation, to grow SBI into the “Best Bank” in the country. We have to strive to become the most valued financial institution, increase our net profit to reach new milestones, reinforce our image as the Banker to every Indian, touching lives all-around, achieve service excellence, strategic leadership and be an employer of choice.”

Setty joined the Board of SBI as Managing Director in January 2020 and headed Retail & Digital Banking vertical from year 2020 till 2022 and International Banking, Global Markets & Technology portfolio of the Bank thereafter. He has also been heading various task forces/committees formed by the Government of India

In his last quarterly financial results meet on August 3, Khara said the Bank’s cumulative net profit in the last four years, at ₹1.63 lakh crore, is more than what it earned in the last 64 years.

“When I assumed office (in October 2020), our annual profit was “about ₹14,000 crore. Now, the quarterly profit is ₹17,000 crore.

“Sharp focus in terms of quality of advances.... shoring up of other income. These are some of the factors that helped us,” Khara had said.