The State Bank of India (SBI), the country’s largest lender, is setting up a new unit to provide project financing solutions for emerging industries such as artificial intelligence (AI), e-commerce, and fintech, a senior executive confirmed.
SBI’s Managing Director Ashwini Kumar Tewari stated that the bank aims to complete this initiative within a year. The new unit will be staffed with specialized professionals, and an external consultant will be appointed to assist in the process.
Expanding SBI’s Project Finance Portfolio
SBI’s project finance and structuring unit has traditionally focused on large infrastructure projects. However, with India’s growing digital economy and renewable energy sector, the bank is now expanding its focus to new-age industries that are shaping the country’s future.
The rise in government infrastructure spending, led by Prime Minister Narendra Modi’s initiatives, is expected to benefit these sectors. In the 2024 fiscal year, SBI funded 48 major projects through its project finance and structuring unit, as per its annual report.
New Unit to Be a Knowledge Hub
The upcoming unit, named “Center of Excellence for Project Financing”, will not only handle project financing but also share insights with other financial institutions, Tewari added.
With this move, SBI aims to diversify its lending portfolio and strengthen its position as a key financial partner for India’s rapidly evolving industries.
