State Bank of India (SBI): About SBI, History, SBI Branches, ATMs, Subsidiaries, Government Shareholding
State Bank of India (SBI) is a leading Indian bank and financial services company, headquartered in Mumbai. With a history of over 200 years, SBI is known as the most trusted bank in India, serving generations of Indians.
SBI Branches, ATMs
SBI is the largest bank in India, with assets worth over Rs. 61 trillion. It serves over 500 million customers through more than 22,500 branches, 63,580 ATMs, and 82,900 business outlets. The bank focuses on innovation and putting customers first, guided by values like Service, Transparency, Ethics, Politeness, and Sustainability.
SBI also runs several successful subsidiaries, such as SBI General Insurance, SBI Life Insurance, SBI Mutual Fund, and SBI Card. The bank has a global presence, with 241 offices in 29 countries.
History of State Bank of India
The origins of the State Bank of India (SBI) trace back to 1806 with the founding of the Bank of Calcutta, which was later renamed the Bank of Bengal. The Bank of Bengal was one of the three Presidency banks, alongside the Bank of Bombay (established in 1840) and the Bank of Madras (established in 1843). These banks were incorporated as joint-stock companies through royal charters, and they had the exclusive right to issue paper currency until 1861 when the Government of India took over this right with the Paper Currency Act.
On January 27, 1921, the three Presidency banks merged to form the Imperial Bank of India, a joint-stock company with no government involvement. However, in 1955, under the State Bank of India Act, the Reserve Bank of India (RBI) took control of the Imperial Bank of India. The Imperial Bank was renamed the State Bank of India (SBI) on July 1, 1955. In 2008, the Government of India acquired the RBI’s stake in SBI to eliminate any conflicts of interest, as the RBI is the country’s banking regulator.
In 1959, the State Bank of India (Subsidiary Banks) Act was passed, and SBI took over eight banks that had been part of princely states, expanding its reach into rural India. In 1963, SBI merged the State Bank of Jaipur and the State Bank of Bikaner.
Over the years, SBI has continued to acquire smaller banks. Notable acquisitions include the Bank of Bihar in 1969, the National Bank of Lahore in 1970, Krishnaram Baldeo Bank in 1975, and the Bank of Cochin in 1985.
SBI Logo Design
The SBI logo, designed by the National Institute of Design in 1971, was created by Shekhar Kamat, with Mahendra Patel designing the logotype in 14 Indian languages.
Merger with Associate Banks
In August 2008, State Bank of Saurashtra merged with SBI, reducing the number of associate banks. The merger process continued with the integration of the State Bank of Indore in 2009, adding 470 branches to SBI’s network. This merger brought SBI’s total assets close to ₹10 lakh crore.
Government Shareholding in SBI
| Shareholders | Shareholding |
|---|---|
| Promoters: Government of India | 56.92% |
| FIIs/GDRs/OCBs/NRIs | 12.35% |
| Banks & Insurance Companies | 11.78% |
| Mutual Funds & UTI | 11.96% |
| Others | 6.37% |
| Total | 100.0% |
Former Associate Banks of State Bank of India
State Bank of India (SBI) took control of seven regional banks in 1960, which were previously part of former Indian princely states. These banks were renamed by prefixing them with “State Bank of,” and included:
- State Bank of Bikaner and Jaipur (SBBJ)
- State Bank of Hyderabad (SBH)
- State Bank of Indore (SBN)
- State Bank of Mysore (SBM)
- State Bank of Patiala (SBP)
- State Bank of Saurashtra (SBS)
- State Bank of Travancore (SBT)
All of these banks adopted the same logo as SBI, a blue keyhole design, said to have been inspired by Kankaria Lake in Ahmedabad. The SBI wordmark often appeared with a standard typeface, though other variations were also used.
Efforts to merge these associate banks into SBI began in 2008, with State Bank of Saurashtra (SBS) merging in September of that year, followed by State Bank of Indore (SBN) in the next year.
On 15 June 2016, the Union Cabinet approved the in-principle merger of the five remaining associate banks—State Bank of Bikaner and Jaipur, State Bank of Hyderabad, State Bank of Mysore, State Bank of Patiala, State Bank of Travancore—as well as the Bharatiya Mahila Bank, with SBI. The merger plan had already been approved by the SBI board on 17 May 2016.
The Union Cabinet officially approved the merger on 15 February 2017, and the merger took effect on 1 April 2017. While analysts predicted some initial challenges due to differences in pension liabilities and accounting for bad loans, the merger significantly expanded SBI’s operations.
