Categories: Banking

SBI launched e-Bank Guarantee facility in association with NeSL

State Bank of India (SBI) has launched e-Bank Guarantee (e-BG) facility in association with National e-Governance Services Limited (NeSL). India’s largest lender said this facility will bring about a revolutionary change in the banking ecosystem, where bank guarantee is frequently used in large volumes. By using the NeSL’s platform, the bank customers and other beneficiaries will instantly get an e-Bank Guarantee without additional verification.

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About the National e-Governance Services Limited (NeSL)

NeSL’s Digital Document Execution (DDE) platform, which provides e-Stamp and e-Sign functions, will facilitate the e-Bank Guarantee process. Beneficiaries will instantly receive an e-Bank Guarantee on NeSL’s platform without further verification. Currently, the bank issues these guarantees with physical stamping and wet signatures. The introduction of e-BG will replace this function with e-stamping and e-signature.

What is an Electronic Bank Guarantee?

According to NeSL, an Electronic Bank Guarantee (e-BG) eliminates the physical documentation usually associated with issuance of BG. It reduces the turn-around time of the BG issuance and delivery to the beneficiary from an industry average of 3-4 working days to a few minutes. The digital steps in an e-BG include BG application, preview and confirm, paperless e-stamping, e-signing, hosting of the final electronic BG on the NeSL portal and intimation of final BG to the beneficiary. The beneficiary can view the final digital BG on the NeSL portal immediately on issuance. Such an e-BG eliminates the need for a separate authentication from the BG issuing Bank.

Important takeaways for all competitive exams:

State Bank of India Chairperson: Dinesh Kumar Khara;
State Bank of India Founded: 1 July 1955;
State Bank of India Managing directors: Praveen Kumar Gupta;
State Bank of India Headquarters: Mumbai.

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Sumit Arora

As a team lead and current affairs writer at Adda247, I am responsible for researching and producing engaging, informative content designed to assist candidates in preparing for national and state-level competitive government exams. I specialize in crafting insightful articles that keep aspirants updated on the latest trends and developments in current affairs. With a strong emphasis on educational excellence, my goal is to equip readers with the knowledge and confidence needed to excel in their exams. Through well-researched and thoughtfully written content, I strive to guide and support candidates on their journey to success.