SBI to Launch New Current Accounts and Savings Accounts in FY24 to Attract Deposits
State Bank of India (SBI) is set to launch new current accounts and savings accounts in the financial year 2023-24 to attract more deposits. This move is aimed at increasing the bank’s market share in the current account and savings account (CASA) segment and to provide customers with more banking options.
The new savings accounts and current accounts are expected to cater to the needs of different customers. The bank is planning to launch a premium savings account, a salary account, and a basic savings account. Additionally, the bank is also planning to introduce a current account for startups, which will provide them with various benefits, including higher transaction limits and free internet banking.
The bank’s move to launch new savings and current accounts comes in the wake of increased competition in the market, particularly from digital banks and fintech startups. By launching new products, SBI hopes to retain existing customers and attract new ones.
Why this News is Important
Increasing market share in the current account and savings account segment is critical for banks to improve their deposit base. As a result, launching new products and services in this segment is a significant move for banks. The news that SBI is planning to launch new savings and current accounts is crucial for the following reasons:
- Improving CASA Ratio: The introduction of new savings and current accounts is aimed at increasing the bank’s market share in the current account and savings account (CASA) segment. A higher CASA ratio would help the bank reduce its cost of funds and improve profitability.
- Enhancing Customer Experience: The new savings and current accounts are expected to cater to the needs of different customers and provide them with more options. This move will enhance customer experience and help the bank retain existing customers and attract new ones.
- Beating Competition: With increased competition in the market, particularly from digital banks and fintech startups, launching new products and services is crucial for banks to stay relevant and competitive.
Historical Context
SBI is the largest bank in India in terms of assets, deposits, branches, customers, and employees. The bank was established in 1955 and has its headquarters in Mumbai. Over the years, SBI has been at the forefront of introducing new products and services to cater to the needs of its customers.
In recent years, digital banks and fintech startups have emerged as strong competitors to traditional banks. These new players have disrupted the banking industry with their innovative products and services. As a result, traditional banks like SBI have been forced to adapt to the changing market dynamics and introduce new products and services to remain competitive.
Key Takeaways from “SBI to Launch New Current Accounts and Savings Accounts in FY24 to Attract Deposits”
| S.No. | Key Takeaway |
|---|---|
| 1. | SBI is set to launch new current accounts and savings accounts in the financial year 2023-24. |
| 2. | The new savings accounts and current accounts are expected to cater to the needs of different customers. |
| 3. | SBI is planning to launch a premium savings account, a salary account, and a basic savings account. |
| 4. | The bank is also planning to introduce a current account for startups, which will provide them with various benefits. |
| 5. | The move to launch new savings and current accounts is aimed at retaining existing customers and attracting new ones, as well as increasing the bank’s market share in the current account and savings account (CASA) segment. |
Important FAQs for Students from this News
Q1. What is SBI’s plan to attract more deposits?
A: SBI is planning to launch new current accounts and savings accounts in the financial year 2023-24 to attract more deposits.
Q2. What types of savings accounts and current accounts is SBI planning to launch?
A: SBI is planning to launch a premium savings account, a salary account, a basic savings account, and a current account for startups.
Q3. Why is SBI launching new savings and current accounts?
A: SBI is launching new savings and current accounts to increase its market share in the current account and savings account segment and provide customers with more banking options.
Q4. What are the benefits of the new current account for startups?
A: The new current account for startups will provide them with various benefits, including higher transaction limits and free internet banking.
Q5. How will the new savings and current accounts enhance customer experience?
A: The new savings and current accounts are expected to cater to the needs of different customers and provide them with more options, enhancing customer experience.
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