"SBI should continue as Malayalees’ bank of choice": Bhuvaneshwari A.

Bhuvaneshwari’s journey with the State Bank of India started when she joined the bank as a probationary officer in September 1994. A native of Tamil Nadu, Bhuvaneshwari has held a range of positions including Branch Manager, Regional Manager and Zonal Manager in locations such as Rajasthan, Delhi and Chennai. She has also been the General Manager (Redesign Studio) at the corporate office of the bank in Mumbai. In July 2023, she was appointed Chief General Manager, State Bank of India, Thiruvananthapuram Circle.

Her goal is clear – to ensure that SBI continues to be the preferred banking choice for Malayalees for all their needs.

Here’s an excerpt from an exclusive interview with Dhanam. 

What are the initiatives that SBI has introduced recently and plans to implement in its operations in Kerala?
State Bank of India has 17 Circles across the country, and Kerala and Lakshadweep come under the Thiruvananthapuram Circle. The banking sector faces constant changes and challenges. In the past, customers visited branches regularly for services, but now, most financial transactions are conducted digitally. Banking professionals have transitioned from being merely service providers for financial transactions to playing the role of advisors, offering comprehensive financial guidance to each customer. Employees have been equipped for this new role through skill development initiatives.

Kerala has a large expatriate community. There are specialised branches that provide unique services for NRIs. Similarly, each branch has systems in place to closely interact with the expatriate community and offers specialised banking products tailored for them. To strengthen our relationship with NRI customers, we organize events such as music nights, and during their visits to the homeland, we ensure that the branches have a festive atmosphere, making their visits enjoyable.

This state is home to several non-banking financial companies (NBFCs) some of which have a strong presence across the country. SBI is striving to make significant progress in priority sector lending by partnering with these institutions. The bank is also providing funds to NBFCs. Additionally, technology partnerships have been established to facilitate the distribution of loans to the priority sector.

The CASA (Current Account and Savings Account) ratio has been declining nationally. Is this trend visible in Kerala? Would it be possible to return to those high CASA ratios again?

Kerala has a relatively high level of financial literacy and even ordinary investors tend to invest in assets that offer higher returns. This is even part of our investment awareness programmes. While investments have shifted towards mutual funds, it does not mean the role of banks is diminishing. Bank accounts have a part to play in buying and selling of funds. Moreover, people generally keep money in bank accounts for emergency needs, and this tendency is likely to continue. However, it will be challenging for CASA ratios to return to the same levels as before, especially in terms of savings accounts. But it might still be possible for current accounts.

What are the trends you are witnessing in loan disbursal in Kerala?

Kerala is witnessing significant growth primarily in the distribution of agriculture and SME loans. SBI holds an undisputed leadership in the personal and home loan sectors. There has also been a substantial increase in gold loans for agricultural purposes. Additionally, loans provided to Kudumbashree self-help groups are on the rise, with around four lakh Kudumbashree units across the state. The loans allocated to them are being utilized very effectively. SBI actively collaborates with Kudumbashree melas as well. Personally, I have great respect for the Kudumbashree movement and its various networks.

SBI is the leader in the banking sector. Our goal is to ensure that Malayalees continue to approach SBI for all their needs without looking elsewhere. That is the role I want SBI to maintain too. 

How is SBI supporting Micro, Small, and Medium Enterprises (MSME) in Kerala?

There are several loan products envisioned by the central government for the MSME sector, including Mudra loans. We are working to ensure that these are made available to deserving individuals quickly. Previously, only 50 branches were designated solely for SME loans, while other branches offered loans up to ₹50 lakh.

Now, the number of SME branches has increased. Additionally, loans up to ₹5 crore are now provided through the ‘Straight Through Process’ (automated). What used to take several days for completion can now be done in just a few hours. Whether a customer is eligible for the loan or not can be communicated immediately. This process was started in April of this year, and I believe it will lead to significant changes.

The banking sector is now considered to be a high-stress environment these days. With a shortage of staff and the need to engage in the marketing of various financial products, doesn't this create more pressure on employees?

Do you still expect to receive only the traditional banking services from your bank? Probably not. You need life insurance, you are looking for health insurance, and you want guidance for investing in mutual funds. You want the bank’s support for IPO investments too. The requirements are many. If your bank does not meet these demands, you will approach another that caters to your needs. So, it is natural for banks to transform their branches into financial supermarkets. 

I do not feel that this situation creates any additional mental stress for employees. Moreover, no financial products are sold incorrectly through any SBI branch. Our back-office team contacts customers who have purchased products like insurance to ensure they have received the product that matches their needs. Additionally, customers have the option to return the product within a month if they are not satisfied. What SBI aims for is a long-term relationship with the customer, not short-term gains.

For employees, skill development has become an ongoing process. As things are rapidly changing, continuous training in technology and other areas is necessary to keep up. This is certainly challenging. To help reduce employees’ mental stress, the bank has implemented several programmes, including open communication with trainers. 

With online financial frauds becoming rampant, what precautionary measures is SBI taking?

We have a Pro-active Risk Management (PRM) wing that is operational 24x7. When an unusual transaction happens from an account, we immediately start monitoring it closely. In certain cases, we contact the customer directly and make inquiries. PRM is a system designed to prevent financial fraud, credit card fraud, internet banking scams, and other banking-related frauds.

How would you describe your leadership style?

My leadership style is not about forcing team members to work. Instead, it’s about inspiring them by setting exciting goals and leading them towards bigger ambitions. Gaining the trust of the team members is the most important thing. I spend a lot of my time and energy on that. The key is to inspire the team to dream big and to guide them towards those goals. This approach has been working very well in Kerala. Once you earn the trust of the team, they will work together as one. No individual can achieve everything alone. The team is what matters.

What opportunities do you see in Kerala?

Kerala is an extremely beautiful place, endowed with everything. The key is to recognize the opportunities hidden in every sector. There are excellent infrastructural facilities like Infopark, Technopark, and Vizhinjam Port. In the micro and small sectors, we have organizations like Kudumbashree. There are also opportunities in the plantation sector. Meaningful discussions can be had with government forums as well. In my opinion, there are opportunities in every field here.”

What advice do you have for young professionals entering the banking sector?

Whatever job you do, always strive to bring some sort of value addition to it. Even if you feel a sense of monotony sitting at the cash counter counting money, try to bring qualitative improvement to that work. This is essential for progressing in any professional sector.

Secondly, skill development is crucial. With major changes happening in areas like artificial intelligence, you must constantly work on improving your skills. You should quickly adapt to changes and be able to adjust to any situation swiftly.