State Bank of India history, profile and history video
State Bank of India provides commercial banking services. The banks financial services include merchant banking, fund management, factoring, primary dealership, broking, investment banking, credit cards, life insurance and general insurance. It operates through five segments: Treasury, Corporate Banking/Wholesale Banking, Retail Banking, Insurance Business and Other Banking Business. The Treasury segment includes the entire investment portfolio and trading in foreign exchange contracts and derivative contracts. The Corporate Banking segment comprises the lending activities of corporate accounts group, mid corporate accounts group and stressed assets management group. These include providing loans and transaction services to corporate and institutional clients and further include non treasury operations of foreign offices/entities. The Retail Banking segment comprises of branches in National Banking Group, which primarily includes personal banking activities, including lending activities to corporate customers. This segment also includes agency business and ATMs. The Insurance Business segment comprises of the results of SBI Life Insurance Co. Ltd. and SBI General Insurance Co. Ltd. The Other Banking business segment focuses on the operations of all the non-banking subsidiaries and joint ventures of the group. The banks history roots back to 1806 and was founded in 1921 and is headquartered in Mumbai, India.“
“State Bank of India History
The roots of the State Bank of India lie in the first decade of the 18th century, when the Bank of Calcutta, later renamed the Bank ofBengal, was established on 2 June 1806. The Bank of Bengal was one of three Presidency banks, the other two being the Bank of Bombay(incorporated on 15 April 1840) and the Bank of Madras (incorporated on 1 July 1843). All three Presidency banks were incorporated asjoint stock companies and were the result of royal charters. These three banks received the exclusive right to issue paper currency till 1861 when, with the Paper Currency Act, the right was taken over by the Government of India. The Presidency banks amalgamated on 27 January 1921, and the re-organised banking entity took as its name Imperial Bank of India. The Imperial Bank of India remained a joint stock company but without Government participation.
Pursuant to the provisions of the State Bank of India Act of 1955, the Reserve Bank of India, which is India’s central bank, acquired a controlling interest in the Imperial Bank of India. On 1 July 1955, the Imperial Bank of India became the State Bank of India. In 2008, thegovernment of India acquired the Reserve Bank of India’s stake in SBI so as to remove any conflict of interest because the RBI is the country’s banking regulatory authority.
In 1959, the government passed the State Bank of India (Subsidiary Banks) Act, which made eight state banks associates of SBI. A process of consolidation began on 13 September 2008, when the State Bank of Saurashtra merged with SBI.
SBI has acquired local banks in rescues. The first was the Bank of Bihar (est. 1911), which SBI acquired in 1969, together with its 28 branches. The next year SBI acquired National Bank of Lahore (est. 1942), which had 24 branches. Five years later, in 1975, SBI acquired Krishnaram Baldeo Bank, which had been established in 1916 in Gwalior State, under the patronage of Maharaja Madho Rao Scindia. The bank had been the Dukan Pichadi, a small moneylender, owned by the Maharaja. The new bank’s first manager was Jall N. Broacha, a Parsi. In 1985, SBI acquired the Bank of Cochin in Kerala, which had 120 branches. SBI was the acquirer as its affiliate, the State Bank of Travancore, already had an extensive network in Kerala.
The State Bank of India and all its associate banks are identified by the same blue keyhole logo. The State Bank of India wordmark usually has one standard typeface, but also utilises other typefaces.
On October 7, 2013, Arundhati Bhattacharya became the first woman to be appointed Chairperson of the bank.”
*Information from Forbes.com and Wikipedia.org
**Video published on YouTube by “State Bank of India“