The Cabinet Committee on Appointments has appointed a new chairman for the State Bank of India (SBI), the largest bank in the country. With a market cap exceeding INR 7,21,000 crores, SBI boasts a robust balance sheet and strong asset quality.
The former chairman, Dinesh Khara, played a crucial role in revitalising the bank’s ailing balance sheet, transforming SBI into a significantly larger retail franchise than ever before. It is now to see how his successor, Challa Sreenivasulu Setty, impacts the bank’s fate. Setty was born on September 26, 1965, in Peddapothulapadu village, Jogulamba Gadwal district, present-day Telangana. He is the son of a rural financier in what was then undivided Andhra Pradesh. He was appointed the bank’s probationary officer in 1988 and has served various departments since then.
Some of his peers mentioned, “Setty is a storehouse of knowledge and an excellent leader who will definitely take SBI to greater heights. It is a treat working with him” Further, one of the senior SBI executives working in retail operations stated, ‘You will see him frequently asking customers — especially retail — about service experience, pain points, areas of improvement and suggestions.”
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Setty acquired the chairman position in the bank when it had a strong balance sheet, with the lowest grossing NPA (non-performing asset) of 2.24. But does this mean he has a smooth ride ahead? Under vigilant regulatory oversight, no banker can easily advance. The recent RBI crackdown on both banks and non-banks regarding technology, coupled with its persistent emphasis on governance issues, demands substantial time and effort.
