The State Bank of India (SBI), India's largest lender, plans to add around 6,500 employees as part of a broader initiative to migrate customers to digital channels, chairman C.S. Setty said on Monday at the launch of YONO 2.0, a revamped version of the bank’s digital banking app in Mumbai.As part of this effort, the bank plans to increase its employee count to 10,000, assigning roles—largely floor managers—to help onboard customers onto the revamped digital platform by 31 March 2026. Of the total, 3,500 hav ...

Digitalization and YONO 2.0 - YONO 2.0 is a significant upgrade for the State Bank of India (SBI), serving as a key anchor for digitalization with a common core for customer journeys, ensuring seamless experiences across internet banking, mobile banking, and branch channels [1][7] - SBI aims to double its YONO app user base from 10 crore to 20 crore over the next two years, necessitating significant infrastructure investment [2][7] Financial Performance and Credit Growth - SBI's chairman expressed confidence in achieving a 3% net interest margin despite the Reserve Bank of India's (RBI) 25 basis points repo rate cut to 5.25% [5][8] - Following the rate cut, SBI reduced its lending rate linked to the repo rate by 25 basis points to 7.90% effective December 15, and also lowered the Marginal Cost of Funds-Based Lending Rate (MCLR) across all tenures by 5 basis points [6][8] - The Retail, Agriculture, and MSME (RAM) segment, which constitutes 67% of SBI's total loan portfolio, crossed the Rs 25 lakh crore milestone in September, driving an overall credit growth target increase from 12% to 14% for the current fiscal year [6][8]

Core Insights - The State Bank of India (SBI) chairman CS Setty emphasized the need for simplifying the Know Your Customer (KYC) process, identifying it as a significant challenge for both banks and customers [4][1] - SBI is actively working on KYC simplification, which may involve collaboration with regulators and government entities [4][1] - The upcoming YONO 2.0 digital platform will support nearly 15 languages, aiming to enhance accessibility for various customer segments, including farmers and MSMEs [4][1] - SBI is also focusing on maintaining a strong physical presence with approximately 160,000 touchpoints across the country, ensuring services are accessible beyond digital channels [4][1]