SBBJ to double its business, to cross 2 lakh-crore mark in next three years

JAIPUR: Public sector lender State Bank of Bikaner & Jaipur (SBBJ) has drawn up an aggressive plan to double its business from existing 1 lakh crore in next three years.

The bank, which is entering 50th year of its existence in 2010, took 45 years to clock business of 50-k crore and then doubled up its business in next four years to strike one-lakh crore mark. It is the fourth bank among the associate banks of State Bank of India ( SBI).

State Bank of Travancore (SBT), State Bank of Patiala ( SBP) and State Bank of Hyderabad ( SBH) are the other banks which have crossed the 1-lakh-crore mark. SBBJ managing director Shiva Kumar told ET that the bank is shifting its focus on retail banking, high value credit, innovative services and forex services to attain the target.

"We are planning to enrich our retail portfolio -especially car loan and home loan - by disbursing loans for high-end cars and premium apartments. For this we will be joining hands with 200 car dealers and top 100 builders and developers across the country.

Similarly, we are also focussing on exporters and SMEs to enhance our forex business," he said. At present the portfolio of housing loan, car loan and forex stands at Rs 2,795 crore, Rs 632 crore and Rs 27,181 crore respectively. The bank is growing its business at 18.68% as of September 11, 2011 and is likely to breach 20% growth rate by the end of this fiscal.

The bank has also lined up host of web based services to bring tech savvy executives and youth into its banking fold. It is launching online loan sanction and account opening solutions linked to its official website by this month. "Any customer can log on to our website and get an online loan sanction letter on the basis of information provided in the online application form.

The approval and disbursement, however, would be subjected to physical verification by the bank's concerned branch. This will not only cut down the application process and promote paper less working but also attract time-pressed youth and executives to be customer of this 'modern' bank," Kumar said.

Apart from that, the bank is also planning a one of its kind initiative to set up a specialized branch in Jaipur to promote cross selling of banking and insurance products of its group companies. "We will sell life insurance products, general insurance, mutual fund and credit cards to our customers through this branch. It will not only improve our focus and services but also boost our income and profitability," Kumar said.

Source: Economic Times