State Bank of India The roots of the State Bank of India lie in the first decade of 19th century, when the Bank of Calcutta, later renamed the Bank of Bengal, was established on 2 June The Bank of Bengal was one of three Presidency banks, the other two being the Bank of Bombay (incorporated on 15 April 1840) and the Bank of Madras (incorporated on 1 July 1843). All three Presidency banks were incorporated as joint stock companies and were the result of the royal charters. These three banks received the exclusive right to issue paper currency till 1861 when with the Paper Currency Act, the right was taken over by the Government of India. The Presidency banks amalgamated on 27 January 1921, and the re-organised banking entity took as its name Imperial Bank of India. The Imperial Bank of India remained a joint stock company but without Government participation. Pursuant to the provisions of the State Bank of India Act of 1955, the Reserve Bank of India, which is India's central bank, acquired a controlling interest in the Imperial Bank of India. On 1 July 1955, the Imperial Bank of India became the State Bank of India. The government of India recently acquired the Reserve Bank of India's stake in SBI so as to remove any conflict of interest because the RBI is the country's banking regulatory authority.

 1 July 1955, the Imperial Bank of India became the State Bank of India. The government of India recently acquired the Reserve Bank of India's stake in SBI so as to remove any conflict of interest because the RBI is the country's banking regulatory authority.  In 1959, the government passed the State Bank of India (Subsidiary Banks) Act, which made eight state banks associates of SBI. A process of consolidation began on 13 September 2008, when the State Bank of Saurashtra merged with SBI.

ORGANISATION STRUCTURE AND MANAGEMENT The management of the State Bank vests in a Central Board of Directors which consists of:  A Chairman and a Vice-Chairman appointed by the Central Government  in consultation with the Reserve Bank of India.  Two Managing Directors appointed by the Central Board of Directors with the approval of the Central Government.  Six directors to be elected in the prescribed manner by the shareholders other than the Reserve Bank.  Eight directors to be nominated by the Central Government in consultation with the Reserve Bank of India to represent territorial and economic interests in such a manner that not less than two of them have special knowledge of the working of the cooperative institutions and of rural economy and the others have experience in commerce, industry, banking and finance;  One director to be nominated by the Central Government  One director to be nominated by the Reserve Bank; and  Two directors to be appointed to represent the officers and the staff of the  bank.

Objectives of SBI 1.To have strong commercial bank under the control and supervision of the Government. 2.To spread banking facilities in rural, semi rural and metropolitan areas by opening 400 branches within five years of its establishment 3.To help spread banking in rural areas for the purpose of encouraging and mobilising savings among the ruralists and to provide credit to them. 4.To subscribe to the debentures of State land development Banks 5.To strengthen cooperative societies, help in the establishment of licensed warehouses. 6.To provide financial assistance to small cottage and village industries. etc

Functions of SBI  Central Banking Functions  Accepts deposits  Gives Loans and advances  Invest and Borrow  Deals in Bills of exchange  Deals in Gold and silver  Deals in foreign Currencies  Acts as Agent  Business on Commission  Underwrites Issues  Capital stock of Banking Company  Hire purchase companies  Housing schemes

Working or Achievements of SBI A.Banking Trends 1.The paid up capital of SBI has been risen from Rs. 12 Crores in 1955 to Rs in March The deposits increased from Rs. 226 Crores in 1955 to Rs Crores in The overall amount of advances increased from Rs. 106 crores in 1955 to Rs crores in The investements increased from Rs. 117 crores in 1955 to Rs crores. 5.Branches of sbi increased from 497 in 1955 to 8979 in 2003.

B. SBI and Agriculture SBI And Agriculture Branch expansion Remittance Facilities Production Finance Modernisation Of Farm Practices Finance For Irrigation Help to Cooperative Banks Help to Land Development Banks

C. SBI and Industrial Finance SBI And Industrial Finance Financing Large/Medium Industries Financing Of small Scale Industries Consultancy Cell

D. Other Achievements of SBI Other Achievements Assistance to Weaker section Area development Development Of Debt market Factors and Commercial Services Merchant Banking Export Finance Development Of Backward Area