By January, the bank has already achieved growth rate of 42%

Slump in stock markets and real estate has worked in favour of State Bank of India (SBI), as the largest commercial bank is all set to post 45% growth in deposit base in Gujarat during the current financial year. This is against 24% growth posted by the bank in the previous fiscal and the bank has never seen such a whopping growth in the past. "Few years back, the growth in deposits in Gujarat was around 15%, while in the previous year, it increased to around 24%. But in the current fiscal, we expect it to grow by more than 45%," said chief general manager, SBI, HC Pattnaik.

According to Pattnaik, the people of Gujarat have inclination towards stock market and real estate as well. "But in last one year or so, both of them have seen a drastic correction. Moreover, they are not expected to give good returns in the near future. On the other hand, SBI offered up to 11% interest on deposits, which has attracted large number of investors," he said.

In March 2008, the total deposits of SBI and its associate bank, State Bank of Saurashtra was around Rs31,300 crore. "After merger with SBS, the total deposits of SBI stood at Rs44,640 crore as on January 31, 2009 and by the end the current fiscal, we expect further addition of Rs1,000 crore," he said, adding that the growth in deposits so far is over 42%.

New CGM vows to help industry

TCA Ranganathan, the new chief general manager (CGM) of State Bank of India (SBI) for Gujarat, is keen to help state's industry in overcoming slowdown. With special expertise in the foreign exchange dealings, he also wants to guide the units in the state to cope up with the heavy fluctuations in the exchange rates. He will take charge of SBI's operations in Gujarat from Monday. While talking to DNA Money, Ranganathan said, "SBI will continue to focus on its core activities and try its best to help the industries in the state." Ranganathan was earlier in charge of international banking division of the bank and so he wants to guide importers and exporters from the state in foreign exchange dealings. Apart from that, the bank would also give consultancy on various issues faced by the industry, he added. According to Ranganathan, Gujarat is very professional state. "Few months back, when I was in China, a delegation from Gujarat government visited the country and to my surprise, it made all presentations in Chine

se language. This indicates the professionalism of the state," he said.

Himansh Dhomse/ DNA-Daily News & Analysis Source: 3D Syndication