SBI to reduce associate banks' offices post merger

From April 1, the five associate banks of SBI will cease to exist as separate legal entities and merge with SBI. After the merger, SBI will shut down almost half of its associate banks branches, including head offices of three associate banks.

SBI will close down three head offices including 27 zonal offices, 81 regional offices and 11 network offices of the associate banks. SBI will take control of associate banks till April 24 by which time the integrated structure is expected to be in place.

After the merger, SBI targets to have 687 offices, including current 550 offices of SBI and 173 offices of associate banks. Along with merger and winding up of offices, SBI will also complete data merger of associate banks by end of May.

The shutdown of offices is to ensure there is no overlapping of offices in the same area and will help in removing duplicity in the controlling structure. Having control at fewer offices will ensure better efficiency in the merger process.

Also, after the merger, SBI will be ranked no. 45 in global ranking, with asset base of Rs 37 lakh crore, as against the ranking of 64 in 2015