A

PROJECT REPORT
ON
‘A STUDY ON LOAN SERVICES IN SBI.’
AT
‘STATE BANK OF INDIA ACHALPUR CITY.’

SUBMITED TO

SAVITRIBAI PHULE PUNE

UNIVERSITY
FOR THE PARTIAL FULFILMENT OF
MASTER OF BUSINESS ADMINISTRATION (FINANCE)

SUBMITED BY
RUSHIKESH MILINDRAO RAUT
UNDER THE GUIDANCE
OF Prof. PRAJAKTA
KHULE

MODERN INSTITUTE OF BUSINESS STUDIES

NIGDI, PUNE
YEAR 2022-2023
 Progressive Education Society’s
Modern Institute of Business Studies Nigdi, Pune-44

Certificate

This is to certify that Mr Rushikesh Milindrao Raut of Master of Business

Administration have successfully completed the Summer Internship Project entitled “A Study
On Loan Services In SBI” during academic year 2022-23
This report is submitted as partial fulfillment of the requirement of degree in MBA
(Finance) as per rules of Savitribai Phule Pune University, Pune.

Director Internal Guide External Examiner

Dr. Aruna Deoskar Prof. Prajakta Khule
COMPANY CERTIFICATE
 DECLARATION

I, Rushikesh Milindrao Raut, a student at Modern Institute of Business Studies, Pune hears by
solely declare that the project titled “A Study On Loan Services in SBI.” at “State Bank of India
Achalpur City.” Is my Original work as all the information, facts and figures procedures in this
report are based on my experience and study during my summer training.

Further I also declare that I have tried my best to complete this project with utmost
sincerity, honesty and accuracy. Even then if any mistake of error is found in this, I shall
most humbly request the reader to point out those errors.

Any suggestions regarding this project will be most welcome.

Place:

Date:

Signature

(Rushikesh M. Raut)
 ACKNOWLEDGEMENT

I would like to express my deepest sense of gratitude and sincere thanks to P.E. Society’s
Modern Institute of Business Studies, Pune who have helped us in completing this task. I
express sincere thanks to our guide Prof. Prajakta Khule. Who has given their valuable
suggestions, excellent guidance, and continuous encouragement and taken keen interest in the
completion of this work. Their kind help and constant inspiration will even help us in the
future.

I wish to express my sincere gratitude to SBI Branch Manager Gajanan M. Mahore for
providing me an opportunity to do my internship and project work.
I am also thankful to my family and friends for constantly motivating me to complete the
project and providing me an environment which enhanced my knowledge.
I would also like to thank our Director Dr. Aruna Deoskar for opening doors of the
department towards the realization of the project report. I would also like to thank entire faculty
of our department for their co-operation and support.

Student Name
Rushikesh Milindrao Raut
MBA (Semester III)
FINANCE
 INDEX
Sr. Page

No. TOPIC NAME No.

1 Executive Summary 1-2

2 Introduction 3-4

3 Company Profile 5-7

4 Review Of Literature 8-10

5 Research Methodology 11

6 Data Analysis & 12-26

Interpretations
7 Findings 27

8 Conclusion 28-29

9 Suggestions 30-31

10 Bibliography 32-33

11 Annexure 34-37
 EXECUTIVE SUMMARY

Introduction

“Loans” the topic deals with the financial growth of society’s the bank will plays an
important role. Public will borrow the loans for various purpose from the banks. By
providing loans to the skilled people to build their infrastructure, so that it creates
employment opportunities.

These loans and advances granted by commercial banks to the highly beneficial to firms
and individual, companies for meeting their short term & long term financial needs for
their business.

Objectives

 To determine the extent of loans and advances granted.

 Examine the bank execution in the matter of credit.
 Analyse the loans and advances recovered.
 To study the rules governing the process of granting a loan.

Observations

From this project the deposits of the state bank of India is increasing by every
year. Many customers have no time to call customer care in order that they're no
longerable to understand about the service & functions of SBI develop product

1
Findings

In this project it is found that the sanctioning of loans and advances are
increased by the bank every year. And it is providing these loans and advances
at a low interest rates

From this project it is found that SBI advance product having the 1 st place in the
market, there is a great opportunity to compete with other Banks & to retain its
customer by fulfilling the requirement of customer in SBI advance product.
From this project the deposits of the state bank of India is increasing by
everyyear.

Suggestion

SBI need to take some steps so that customers can get their loan in time. Like
cellphone verification with the aid of client care that one customer is were given
their mortgage on time or not. It ought to be earlier than a sure date so vital steps
can be taken.

Conclusion

We also came to know about the total process of disbursing a commercial loan and
all its related aspects and the various types of loans available under the roof of SBI.
However the bank is seen to be taking lot of initiative in attracting customers,
helping hem financially and provide expert support as and when required to its
nearby business units to either setup or expand its operations.

2
 CHAPTER 1 - INTRODUCTION

1.1 NEED FOR THE STUDY

This project is mainly to know about banks granting loans and advances to the people.

Country is facing the problems of liberalization, privatization and globalization. In

order to over come these problems study of loans and advances is very crucial.

 To comprehend the difficulties and openings in the business.

 To know the prospective areas of investment for the banks in the near future.

 To know the various financial requirements of the individual and corporate

borrowers.

 To know the credit facilities bank can provide to assist business needs.

 To study the progress and trends since more and more competitors have
entered the market with many features in their services.

1.2 SCOPE OF THE STUDY

 It is about customer performance.

 This makes the bank to know current position and future plans.

 The study about various loans and advances and interest rates.

3
1.3 OBJECTIVES OF THE STUDY

 To determine the extent of loans and advances granted

 To examine the bank execution in the matter of credit

 To analyse the loans and advances recovered

 To study the rules governing the process of granting a loan

1.4 LIMITATIONS OF STUDY

 The investigation depends on the information of past 4 years only.

 The information for concentrate for the most part dependent on SBI bank only.

 As lion’s share of the clients are employees of the bank, they may be biased in
giving the data.

 The timespan of the research was limited.

4
 CHAPTER 2 - COMPANY PROFILE

Vision :-
"To be the most trusted and preferred finance service provider worldwide."

Mission :-
 We will be prompt, polite & proactive with our customers.
 We will speak the language of young India.
 We will go beyond the call of duty to make our customers feel valued
 We will be of service even in the remotest part of our country.
 We will create products and services that help our customers achieve
their goals.
 We will imbibe state of the art technology to drive excellence

The State Bank of India (SBI) is an Indian multinational, public sector banking and
financial services statutory body. It is a government corporation statutory body
headquarters in Mumbai, Maharashtra. SBI is ranked as 216th in the Fortune global
500 list of the world‟s biggest corporation of 2018. It is the largest bank in India with
a 23% market shares in assets, beside a share of one fourth of the total loan and
deposits market. The bank descends from the Bank of Calcutta, founded in 1806, via
the imperial bank of India, making it the oldest commercial bank in the Indian
subcontinent. The bank of madras merged into the other two „presidency banks‟ in
British India, the bank of Calcutta and the bank of Bombay, to form the imperial bank
of India, which in turn became the state bank of India in 1995. The government of
India took control of the imperial bank of India in 1995, with reserve bank of India
(India‟s central bank) taking a 60% stake, renaming it the State Bank of India. The
State Bank of India‟s having the very big brand name within the country it is the main
bank of India. Now, while expanding its services the SBI has also entered in the
insurance sector with name of SBI Life insurance. This is sufficient in itself that when
other banks are using the various mergers to be competitive with SBI while entering
5
into insurance sector, the SBI decided to walk alone in the very vast competitive and
risky sector of Insurance.

The State Bank of India is one of the very pre - established banks in India and is the
only bank in India which is having collision with the western union money transfer,
which is having collision with the responsibility of cash transfer worldwide in
between several countries.

The social profile of State Bank of India has also grown up in the Rewa city and the
reason behind this is the several of social schemes by the bank itself, which includes
„Clean rewa Green rewa campaign‟ in 2003, in which around 30000 plants had been
planted and conserved in the surveillance of State Bank Of India. Also the
organization of several of the events in Rewa itself which introduces the common
public to the banking system and even to the services of State Bank of India. Truly
speaking in the State bank of India is having the similar name and fame in banking
sector as LIC is having in Insurance and TATA is having in automobiles and steel in
India. The purpose of comparison is not to bring the moral down of others but it is
retrospect the leaders of their prospective fields and undoubtedly .The State Bank of
India is the market leader when it is about Banking.

The banking industry in India today comprises of 27 public sectors, 31 private banks
and 29 foreign banks. The Indian banking sector is headed for consolidation. The
presence of many regional players will see few banks emerging as global competitors.

Moreover, the likely rise in interest rates will be bank margins under pressure.
Treasury gains may within the current scenario. Bank profit in future may again be
driven by core income.

Indian banking industry in general and SBI in particular has positioned itself to take
advantage of such economic growth, India is likely to achieve. SBI is an Indian
multinational, Public Sector banking and financial services company. SBI is one of
India‟s major banks and is an industry leader in terms of size, business sector
promotion and initiatives for the progress and economic enhancement of the Indian
economy.

6
SBI is entering into many new businesses with strategic tie ups – Pension Funds,
General Insurance, Custodial Services, Private Equity, Mobile Banking, Point of Sale
Merchant Acquisition, Advisory Services, organized items and so on – every one of
these activities having a massive potential for development. SBI is moving forward
with forefront innovation and imaginative new saving money models, to strengthen its
presence and widen its client base. The bouquet of services provided by SBI includes
Personal Banking, International, Banking, Agriculture / Rural and Corporate Banking,
SME, Government Business and Domestic Treasury. SBI is a universally
acknowledged regional banking giant and has 20% market share in deposits and loans
among Indian commercial banks.

7
 CHAPTER 3 - LITERATURE REVIEW

1) Bhaskaran and Josh (2000): Presumed that the recuperation execution of co-
agent credit establishments proceeds to inadmissible which adds to the development
of NPA even after the presentation of prudential regulation. They proposed
authoritative and approach remedies to make co-agent credit establishments more
effective, beneficial and productive association tuned in to focused business
managing an account.

2) Viswanath (2001): Study of the topic, assumed “Performance land credit co-
operative design and excess contributions fault India Analyses” in a period from
1950
-1996, progress through the political action committee of the overall progress, from
2.434 billion rupees extended to 1.4201 trillions rupees, i.e. 587 times sadly, this
expansion is related to duty increment over backward.

3) Sureshchandaretal (2002): Investigation inspected connection between

administration quality and consumer loyalty in Indian financial part. These were
observed to be free however firmly related. The two builds shift altogether in
center administrations, human component, systematization of service delivery,
physical assets and social obligation.

4) Krishna (2003): Considered in their examination paper, “Execution of Regional

Rural Banks in Karnataka. An application of principal components and
Discrimination function Analysis” attempted to distinguish the critical separation
qualities of the two recognized gathering of Regional Rural banks in the condition of
Karnataka. They reasoned that the quantity of workers per branch had most extreme
separating energy to the degree of 55%, trailed by measure of borrowings (18%),
credit store proportion (14%) and pay to use proportion (13%).

8
5) Sharma and Sharma (2006): Concentrate dissected the client the experience of
urban client banking. This examination discovered that client happy with credit
offices, bank condition, routine work strategies, area, financing costs and so on.
Also, were disappointed with advance conventions and the advancement through
media.

6) Singla (2008): Underlined on budgetary administration and analysed the money

related position of sixteen banks by considering benefit, capital sufficiency,
obligation value and NPA.

7) Mishkin (2009): Analysed point out the money related transmission instruments
in corporate the financing cost channel, the swapping scale channel the benefit value
channel and the credit channel. The loan fee channel is the essential money related
transmission in the traditional micro economics model, per example, IS-LM model.
Those models hold that fiscal arrangement works through the risk side of bank
balance sheet given some level of value stickiness, an adjustment in cash.

8) SandipKhoshHazra, Dr.KailashSrivatava (2010): This examination was done to

discover the relationship between administration quality consumer loyalty and
faithfulness and duty. Seroquel is utilized and the investigation discovers that in
private banks measurements of administration quality, conformation and
dependability are huge for fulfillment of client, faithfulness and duty. The banks
taken varied in these parameters.

9) Karthikeyan K (2011): An investigation of booked business banks in india for

the time of 10 years with the reason to examine the size of NPAs, viability of NPA
administration and the view of branch supervisors in regards to administration of
NPAs. Factual procedures like compound development rates, averages, correlation
and component examination have been utilised for the study.

10) Dhanabhakyam and Kavitha (2012): Indian financial framework faces a few
troublesome difficulties. The choose open segment banks have performed will on the
wellsprings of development rate and money related proficiency amid the
examination time frame. The old private part banks and the new private segment

9
banks assume a crucial job in showcasing of new kind of stores and advances plans.

10
11) P Geetha Rani (2014): The training credit program since its inception as been
becoming both as far as number of understudies who have taken instruction advances
for seeking after advanced education and the measure of instruction advances
released. Nevertheless, these financing component of higher education don’t seem to
improve access and value in the advanced education framework as confirm from the
National Sample Survey Organization and Bank information. Given this, with
primary trust of the article is to perceive why and how to distinguish the limit
dimension of credits that should be changed over into awards; for tending to the goals
of access and value and for in a roundabout way encouraging instruction advances to
focus on the princely and special for cost recuperation. Appropriately the article
explains the justification and the component through which advance can be changed
over into grants.

11
 CHAPTER 4 - RESEARCH METHODOLOGY

Research Methodology is the systematic method to resolve a research problem

through data gathering using various techniques, providing an interpretation of data
gathered and drawing conclusions about the research data.

Primary sources:

This research has been done through making questionnaries.

Secondary Data:

It is gathered from the other than primary source, who already gathered the information
i.e. yearly reports, cost sheet etc.

Secondary data was gathered from published materials, books, websites, balance sheets
and records.

Limitations of research

 The investigation depends on the information of past 5 years only.

 The information for concentrate for the most part dependent on solitary bank.
 As lion’s share of the clients are employees of the bank, they may be biased
in giving the data.
 The time span of the research was limited.

12
 CHAPTER 5 - DATA ANALYSIS & INTERPRETATION

DATA ON LOANS

1. SBI Home Loan

Eligibility

 18 years for salaried people and 21 years for self-employed individuals and
up-to 70years
 Income of Rs.1,20,000 p.a. for salaried individuals and Rs. 2,00,000 p.a.
for self-employed people.

Purpose
 To brought an existing house or flat
 To brought or construction of new flat or house
 To renovation, repair, extension or alternation of existing flat or home
 To purchase of a flat of land for building new home
 Takeover of a current advance from other housing finance company or banks.

Documents Required

 Application form with photos.

 Identity and residential address proof
 Salary slip of last 3 months.
 Form 16.
 Salaried credit statement of last 6 months.
13
 Processing fees 0.35% of loan amount + GST.

Repayment

 Up-to 30 years maximum

 Up-to 70 old, whichever is early
 Interest rate is 11.15-14.65% p.a. on loan amount

14
 2. SBI CAR LOAN

Eligibility

 An individual having the age of 21 to 65 years.

 State or central govt. employees.
 A self employed professional having assesse of income tax.
 A person doing agricultural or allied activities.
 Whose net annual income is Rs.75000 and above,

Documents required

You need to submit below mentioned documents long with completed

application form,If you are an existing SBI account holder:

 Last 6 months bank statements

 Recent 2 passport photos
 Recent salary slip and form 16- in case of salaried persons
 In case of self-employed and individual and professionals last 2 years IT
returnsstatements

Margin

 Up to Rs.6 lakhs – 15% interest

 Above Rs.6 lakhs – 30% interest
 Processing fee 0.50% of loan amount

Repayment

 Maximum repayment is 7 years

 For old vehicles up to 7 years form the date of original purchase of the vehicle

15
 3. SBI EDUCATION LOAN

Expenses covered

 Fees for college or hostel

 Laboratory, library, examination fees
 To purchase of equipments, instruments, uniforms, books etc.
 Passage money for abroad studies and travel expenses
 Purchase of computers, laptops for completion of course
 For two-wheeler cost up-to Rs.50,000
 Other any expenses required for completion of that course or study

Loan amount

 For studies in India- maximum Rs.10 lakhs

 In abroad- maximum Rs.20 lakhs

Interest rates

 Loan up-to Rs.7.5 lakhs- 10.55% p.a. and 0.50% concession for girls students
 Above Rs.7.5 lakhs- 10.80% for 1 year

Documents Required

 Identity proof- PAN / passport / voter ID

 Residual address proof- recent copy of electricity bill/ water/ gas/telephone
bill or aadhaar card
 For abroad studies – passport must be mandatory
 Proof of admission, scholarship etc.
 Two passport size photographs

16
 Mark sheet of qualified examination
 If any previous year loan statements from other banks
 Income proof for salaried co-applicant or guarantor
 Last 6 months bank account statements (for salary accounts)

Repayments

 Repayment of loan after 1 year completion of course

 Repayment should be within 15 years from govt.

17
4. SBI PERSONAL LOAN

Advantages of personal loan

 Interest rates are low. Further, interestrates is charged based on a day by day
diminishing balance.
 Low processing fees: just 1%-2% of loan amount.
 There is no administration and hidden costs.
 Security is not required, minimal documentations is enough.
 Not required to pay any prepayment penalties. Because of this the interest
burden will reduce and by prepaying the loan can utilize the surplus funds
optimally ( if you repay the loan before 6 months the loan amount will charge
1%).
 It has the reimbursement time of as long as 4 years.

Purpose
The loan will be granted for any legitimate purpose.The advance will be allowed
for authentic reason at all. For instance for household and outside movement,
medical treatment of self or a family, meeting any monetary obligation, e.g.
marriage of son or daughter and settling instructive costs of wards, meeting the
edges for buy of advantages.

Eligibility

Resident Indian of National having ability to reimburse an advance, with the

exception of agriculturists.

Loan Amount
The individual advance point of confinement would be dictated by the salary
and reimbursement limit of the candidate. Least Rs.24,000 in metro and urban
areas and Rs.10,000 in urban and semi urban areas.
18
 Processing fees is 1% of loan amount + GST.
Maximum: 12 times Net Monthly Income (Salaried and pensioners). 10 lakhs for
overdraft

Documents required

 For salaried individuals

Form 16 & recent salary slip

For existing bank customers

Passport size photograph

For self-employed individuals & professionals

 Proof of Professional Qualification.

 Duplicate of most professional degree held
 IT returns of last two financial years
 Official address proof. It include establishment certificate/
telephone bill/ leasedeed

Interest rate: 12.15% - 15.15% of interest rate

Repayment: credit is repayable in 48 EMIs. Permitted to pay more than the EMI
on the offchance that you wish, without pulling in prepayment penalties.

Security: Nil.

19
 DATA ANALYSIS & INTERPRETATION

1) Total Loans and Advances sanctioned by the State Bank of India:

Year Loans and Advances

(Amount in crores)

2018-19 1,934,880
2019-20 2,185,877
2020-21 2,325,290

2021-22 2,449,498

Loans and Advances (Amount in crores)

3,000,000

2,500,000

2,000,000

1,500,000 Loans and Advances

(Amount in crores)
1,000,000

500,000

0
2018-192019-202020-212021-22

Interpretation:

From the year 2019-20 the loans and advances has been increased by
1.21%. In the year 2020-2021 increased by 0.61%. In year 2021-2022 increased
by 5.2%. In the above chart we can see that there's a fast growth in loans and
advances that indicates the nation financial institution of India is assisting the
economic needy human beings with the aid of imparting loans and advances at the
low price of interest.

20
2)Total Deposits of SBI:

Year Total Deposits

(Amount in crores)

2018-19 2,706,343
2019-20 2,911,386
2020-21 3,241,621
2021-22 3,681,277

Total Deposits (Amount in crores)

4,000,000
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000 Total Deposits (Amount in
500,000 crores)
0
2018-19

2019-20 2020-21 2021-22

Interpretation:

From the year 2019-20 SBI deposits are increased Rs.2706343 Cr, in the year 2020-
21 increased Rs.330235 Cr, and in the year 2021-22 it is increased Rs.439656. we
can clearly understand that the rapid growth in the SBI deposits

21
 3) RATIO ANALYSIS

3.1) CREDIT DEPOSIT RATIO: CDR= Total Loans or Credit/ Total Deposits

Year Credit/ Advances Deposits Credit Deposit

Ratio
2018-19 1,934,880 0.71
2,706,343
2019-20 2,185,877 2,911,386 0.75

2020-21 2,325,290 3,241,621 0.71

2021-22 2,449,498 3,681,277 0.66

4,000,000
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000 Credit/ Advances
Deposits
Credit Deposit Ratio

1,000,000
500,000
0

2018-19 2019-20 2020-21 2021-22

Interpretation:

The credit deposit ratio in the year 2018-19 is 0.71, 2019-20 is 0.75, 2020-21 is
o.71, 2021-22 is o.66. The average credit deposit ratio of SBI over the study period
was
0.70. It indicates that out of every 100 deposits, Rs.70 being lent and hence it is clear
that the SBI may not have enough liquidity to cover any unforeseen fund requirement.
22
3.2) DEPOSITS TO TOTAL ASSETS RATIO: DTA=Total Deposits/ Total Assets

Year Deposits Total Assets Deposits to Total

Assets Ratio

2018-19 2,706,343 3,454,752 0.78

2019-20 2,911,386 3,680,914 0.79
2020-21 3,241,621 3,951,394 0.82
2021-22 3,681,277 4,534,430 0.81

Deposits to Total Assets Ratio

Deposits to Total Assets Ratio Total Assets Deposits

0.81
2021-22 4,534,430
3,681,277
0.82
2020-21 3,951,394
3,241,621
0.79
2019-20 3,680,914
2,911,386
0.78
2018-19 3,454,752
2,706,343

Interpretation:

The average Deposit to total assets ratio of SBI during the study period was 0.80. the
maximum is 0.82 in year 2020-21 and minimum is 0.78 in the year 2018-19, 2021-22.
As this ratio establishes the extent of the bank’s assets being funded by Deposits. It is
clear that around 81% of total assets is being funded by Deposits

23
 3.3) RETURN ON EQUITY RATIO:RER= Net Income/ Equity Capital

Year Net Income Equity capital Return on Equity

Ratio
2018-19 -6,547 892.46 -7.33
2019-20 862 892.46 0.96
2020-21 14,488 892.46 16.23
2021-22 20,410 892.46 22.86

25,000

20,000

15,000

10,000
Net Income
Equity capital
Return on Equity Ratio
5,000

0
2018-19 2019-20 2020-21 2021-22
-5,000

-10,000

Interpretation:

The average returns on equity ratio of SBI during the study period have registered as
13.64. The maximum ratio was 22.86 in the year 2021-22. And in the year 2018-19 it
was fell down to -7.33 and it indicates that the return on capital is low. The SBI faced
the loss in the year 2018-19. When the return on equity is higher it will be better for
the bank otherwise it will be bad effect to the bank. The equity shareholders can’t get
better returns on their capital.
24
 4) Awareness of products and services provided by SBI

No of Customers Percentage(%)
Yes 35 70%
No 15 30%
Total No. of People 50 100%

PERCENTAGE(%)

Not aware, 30%

Aware, 70%

Interpretation:
From the above data it is clear that is 70% of the people of the Achalpur have an idea
about the products and services of SBI. And the remaining 30% of the people have not
an idea about the product of SBI. These people are typically from rural areas.

25
 5) SBI Loan Users

Different loans No. of Users Percentage(%)

Home Loan 14 35%
Car Loan 8 20%
Education Loan 12 30%
Personal Loan 4 10%
Other 2 5%
Total No. of People 40 100%

No. of Users

5%
10%
35%

Home Loan

30% Car Loan

Education Loan
Personal Loan Other

20%

Interpretation:
From the sample size of 20 people, 35% (7) of the people are using the SBI Home
loans, 20% of people using car loan, 30% of people took education loan, 10% of people
using personal loan and 5% is using other loans of SBI. Some people are took 2 types
of loans like educationloan and car loan.

26
 6) Customers prefer to pay your Loan Installments

No. of Customers Percentage (%)

Time Period

Monthly 15 30%
Quarterly 25 50%
Annually 10 20%
Total No. of 50 100%
Customers

Percentage (%)

20%
30%

50%

MonthlyQuarterlyAnnually

Interpretation:
From the above the people are pay their installments on their loan in different periods.
30% people are prefer to pay the instalment in monthly basis, 50% of the people are
like to pay the installments in quarterly and 20% of people are interested to pay in
annually.
27
 CHAPTER 6 - FINDINGS & OBSERVATIONS

 In this project it is found that the sanctioning of loans and advances are
increased by the bank every year. And it is providing these loans and
advances at a low interest rates

 From this project it is found that SBI advance product having the 1 st place in the
market, there is a great opportunity to compete with other Banks & to retain its
customer by fulfilling the requirement of customer in SBI advance product.
 From this project the deposits of the state bank of India is increasing by
everyyear.

 Approximately 25% of increase product users stated that the service of SBI in
advance product is exceptional.
 A reaction from customer care is so clean & appropriate.

 Most clients are shifted from different bank’s boost product to SBI because of
hiddencosts, high hobby rate, less reimbursement duration.
 Government employees are extra situation than personal personnel for
enhanceproduct.
 All of SBI customers are glad with the services supplied by using the financial
institution.
 Many of these clients satisfied with the low hobby price and longer repayment
length of the advance product.
 It is clear that most of the respondents were neutral and some agreed on the
statement that the employee of the bank appear neat at the reception desk.

28
 CHAPTER 7 - CONCLUSION OF STUDY

 From the analysis component it is able to be finish that the clients have an
amazing reply toward SBI increase merchandise. SBI is in 1st function having
massive wide variety of customers and offering right offerings to them. The
bank has a wide client base, so the financial institution have to concentrate on
this to preserve those customers.

 The state bank has been highly successful in its objective in opening a network
of branches in rural and semi-urban areas . From the analysis part it can be
concluded that customer has a good respond towards SBI advance products.
SBI is in first position having large number of customers providing good
services to them.

 The present research work dealt with the performance of the SBI with reference
to Ratio analysis and percentage analysis. There is a sufficient progress and
good performance up to the 2021-22 and before in 2018-19 bank is in loss. The
performance of the SBI has been analysed in detail in terms of deposit
mobilisation, loans and advances, invest position, earning and profitability
efficiency.

 In the economic year 2018-19 the SBI attributed the net loss to decrease trading
income and sizeable marketplace to marketplace losses due to hardening of
bond yields and better provision because of wage revision and enhancement
inside the gratuity ceiling.

29
 In gift situation SBI is the largest advance product issuer in India. Within
a totally short period of time the fulfillment made by using SBI is super, what a
everyday financial institution can’t expect, but it's miles being carried out
through SBI. It occurs due to employee determination closer to the
organization, quickest growing Indian economy and brand photograph.

 We also came to know about the total process of disbursing a commercial loan
and all its related aspects and the various types of loans available under the roof
of SBI. However the bank is seen to be taking lot of initiative in attracting
customers, helping them financially and provide expert support as and when
required to its nearby business units to either setup or expand its operations.

30
 CHAPTER 8 - SUGGESTION & RECOMMENDATION

 SBI need to take some steps so that customers can get their loan in time. Like
cellphone verification with the aid of client care that one customer is were
given their mortgage on time or not. It ought to be earlier than a sure date so
vital steps can be taken.

 SBI client care should extra subject about the quickest settlement of client troubles.

 SBI need to greater problem about physical verification as opposed to

cellphone verification so it'll keep away from fraud or cheating.

 Purchaser recognition software is needed in order that more people must

attract toward strengthen product.

 If there are any kind of hidden prices than that must disclose to consumer
earlier thangiving loan to them.

 SBI ought to take feedbacks of clients regarding capabilities & services.

 SBI need to awareness on Segmentation based on customer know-how

Productimparting primarily based on customer demand.

 Boost product promoting retailers should now not give any kind of wrong
informationregarding increase product.

 Before deducting or charging any financial rate SBI have to discuss with customer.

 The bank must growth the period for repayment of Loan.

 It is the duty of the bank to disclose all the cloth information regarding
31
 developproduct, like interest charged, compensation duration, different forms
of prices, etc.

 Bank should have modem looking equipments or hi-tech equipments and all
types of services should be given in a single window which will enhance
the image of the bank

32
 CHAPTER 9 - BIBLIOGRAPHY

Reference:
.

1. Economic survey 2014-2015.

2. Aburime , T.U.(2008) Determinants of bank profitability : macroeconomic

evidence

3. Adhikari.K, Barman.N & Kashyap.P (2014) Profitability of State Bank of India:

An Analysis. Pacific Business Review International. 6, (12), 91-97

4 .Arora, S. and Kaur, S. (2006) “Financial Performance of Indian Banking Sector

in Post-Reforms Era”, The Indian Journal of Commerce, Vol.59, No.1, Jan.-March

4. Annual reports of SBI in India.

5. ERINA J and LACE N (2013) Commercial banks profitability indicators ;

Empirical Evidence from Latvia . IBIMA business review (2013).

Books:

 Annual Reports of 2014 to 2022

 Central Banking in India- Bhat K.G.
 Financial management- Khan & Jain
 The evolution of the State Bank of India

33
 Web Resources:

• www.sbi.co.in
• www.onlinesbi.com
• www.economictimes.indiatimes.com
• www.rbi.com

34
 CHAPTER 10 - ANNEXURE

BALANCE SHEET

Rs in Crore FY 2018 FY 2019 FY 2020 FY 2021 FY 2022

CAPITAL &
LIABILITIES
Capital 892 892 892 892 892

Reserves &
218,236 220,021 231,115 252,983 279,196
Surplus

Deposits 2,706,343 2,911,386 3,241,621 3,681,277 4,051,534

Borrowings 362,142 403,017 314,656 417,298 426,043

Other Liabilities
167,138 145,597 163,110 181,980 229,932
& Provisions

TOTAL
3,454,752 3,680,914 3,951,394 4,534,430 4,987,597
LIABILITIE
S

Cash & Bank

Balances with
150,397 176,932 166,736 213,202 257,859
Reserve Bank
of India

Balances with
banks and
41,501 45,558 84,361 129,837 136,693
money at call &
short notice

Investments 1,060,987 967,022 1,046,955 1,351,705 1,481,445

Advances 1,934,880 2,185,877 2,325,290 2,449,498 2,733,967
Fixed Assets 39,992 39,198 38,439 38,419 37,708
Other Assets 226,994 266,328 289,614 351,769 339,925

TOTAL
3,454,752 3,680,914 3,951,394 4,534,430 4,987,597
ASSETS

35
 PROFIT AND LOSS A/C

PROFIT & LOSS 22-Mar 21-Mar 20-Mar 19-Mar 18-Mar

ACCOUNT OF
STATE BANK OF
INDIA (in Rs. Cr.)

12 months 12 months 12 months 12 months 12 months

INCOME
Interest / Discount on 171,823.73 171,429.14 179,748.84 161,640.23 141,363.17
Advances / Bills

Income from 84,877.20 79,808.09 68,204.72 74,406.16 70,337.62

Investments
Interest on Balance 4,377.91 4,317.53 2,920.41 1,179.07 2,250.00
with RBI and Other
Inter-Bank funds

Others 14,378.44 9,595.87 6,449.63 5,643.19 6,548.53

TOTAL INTEREST 275,457.29 265,150.63 257,323.59 242,868.65 220,499.32
EARNED

Other Income 40,563.91 43,496.37 45,221.48 36,774.89 44,600.69

TOTAL INCOME 316,021.20 308,647.01 302,545.07 279,643.54 265,100.00

EXPENDITURE
Interest Expended 154,749.70 154,440.63 159,238.77 154,519.78 145,645.60

Payments to and 57,561.99 50,936.00 45,714.97 41,054.71 33,178.68

Provisions for
Employees
Depreciation 3,248.59 3,317.55 3,303.81 3,212.31 2,919.47
Operating Expenses 32,586.94 28,398.67 26,154.91 25,420.72 23,845.30
(excludes Employee
Cost & Depreciation)

TOTAL OPERATING 93,397.52 82,652.22 75,173.69 69,687.74 59,943.45

EXPENSES

Provision Towards 11,427.30 10,760.88 2,803.14 491.13 673.54

Income Tax

36
Provision Towards 318.57 -3,630.23 7,510.99 954.12 -9,654.33
Deferred Tax

Other Provisions and 24,452.13 44,013.03 43,330.37 53,828.55 75,039.20

Contingencies

TOTAL PROVISIONS 36,198.00 51,143.68 53,644.50 54,573.80 66,058.41

AND
CONTINGENCIES

TOTAL 284,345.22 288,236.54 288,056.96 278,781.31 271,647.46

EXPENDITURE
NET PROFIT / LOSS 31,675.98 20,410.47 14,488.11 862.23 -6,547.45
FOR THE YEAR

NET PROFIT / LOSS 31,675.98 20,410.47 14,488.11 862.23 -6,547.45

AFTER EI & PRIOR
YEAR ITEMS

Profit / Loss Brought -3,600.84 -10,498.30 -15,226.06 -15,078.57 0.32

Forward

TOTAL PROFIT / 28,075.14 9,912.17 -737.94 -14,216.34 -12,954.83

LOSS AVAILABLE
FOR
APPROPRIATIONS

37
QUESTIONNAIRE

1. Which types of loan are provided ?

 Home Loan
 Personal Loan
 Education Loan
 Car Loan

2. How customers prefer to pay your loan installments ?

 Monthly
 Quarterly
 Yearly

3. How many customers are aware about SBI products ?

 30%
 50%
 70%
 90%

4. What is the repayment period of loan for different loan products ?

 10 years
 30 years
 50 years

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39