July 1 marks a historic milestone in India’s financial landscape as the State Bank of India (SBI) celebrates its 70th anniversary. Established in 1955, SBI is more than a banking institution—it’s a symbol of India’s economic journey and a trusted partner in national development. From financing small farmers to funding global corporations, SBI’s reach spans both geography and generations.
From the Presidency Banks to SBI: A Two-Century Evolution
- The roots of SBI date back to 1806, with the founding of the Bank of Calcutta, followed by the Bank of Bombay (1840) and Bank of Madras (1843).
- These merged in 1921 to form the Imperial Bank of India.
- After independence, in line with the First Five-Year Plan’s emphasis on rural development, the Imperial Bank was nationalised on July 1, 1955 through the State Bank of India Act.
- This move laid the foundation for India’s largest public sector bank.
Reaching the Heart of India: SBI’s Rural Expansion
- To expand its rural footprint, SBI brought eight associate banks under its umbrella in 1959, enhancing its reach in semi-urban and remote areas.
- Over time, it merged other entities such as the Bank of Bihar, National Bank of Lahore, and Bank of Cochin.
- In 2017, SBI completed a major consolidation by merging its remaining five associate banks and Bharatiya Mahila Bank, creating a unified and stronger institution.
SBI Today: A Global Financial Powerhouse
- Headquartered in Mumbai, SBI is now a Fortune 500 company with an asset base of over ₹61 trillion as of October 2024.
- It serves 50+ crore customers through 22,500+ branches, 63,580 ATMs, and nearly 83,000 business correspondent outlets.
- SBI has also established an international footprint with 241 offices in 29 countries, aiding global trade and supporting the Indian diaspora.
A Record-Breaking FY25 Performance
- In FY25, SBI posted a net profit of ₹70,901 crore, a 16% increase over FY24.
- It achieved an operating profit of ₹1.10 lakh crore, crossing the ₹1 lakh crore mark for the first time—an indication of solid growth and efficient operations.
SBI on the Stock Market: A Journey of Trust and Growth
- SBI entered the stock exchanges in 1997, and its share has since reflected India’s economic cycles.
- Backed by strong earnings, digital transformation, and a dominant role in both retail and corporate banking, SBI has remained a favourite among investors.
- Its expanding ecosystem includes SBI Life Insurance, SBI General Insurance, SBI Mutual Fund, and SBI Card, making it a diversified financial conglomerate.
Banking on Innovation: YONO and Beyond
- SBI is not just about legacy—it’s a leader in digital innovation too.
- Its YONO platform revolutionised mobile banking, and the bank has actively supported startups, financial inclusion, and fintech collaborations to stay relevant in the digital age.