State Bank of India (SBI) is planning to open 400 new branches across the nation in the current financial year, as a part of SBI’s ongoing network expansion strategy. Last fiscal year, SBI launched 137 branches, including 59 in rural areas.
Despite the rise in digital transactions, SBI Chairman Dinesh Kumar Khara stressed the need for physical branches, citing that services like advisory and wealth management can only be provided through physical branches. He also revealed the bank’s intention to identify and target locations with emerging opportunities for new branches.
Khara, in conversation with media outlets, said, “Somebody asked me if 89 percent of digital and 98 percent transactions were happening outside the branch, whether the branch is required anymore. My answer is yes. It is still required because there are newer areas which are emerging.”
SBI operated 22,542 branches across India, as of March 2024. “We will be identifying locations where the opportunity exists, and in those locations, we plan to open branches,” he added.
When asked about scaling up operations, he said, “We would like to scale them up a little more, and then we will think in terms of going to the capital market for monetising our holding in these companies. But not in the current financial year.”
