SBI to launch its own version of digital only bank

State Bank of India is now planning to overtake the state-run lenders and launch branch-less banking called SBI Digi Bank. This is something similar to what Citi or DBS have done elsewhere in the world. It will have a financial superstore, a market place, and end-to-end digitisation for all products and services.

With this, India’s largest lender will be rubbing shoulders the likes of Europe's M-Bank and Canada's Tangerine Bank.

SBI prepares to launch its own version of Digital only bank in the next 3-6 months.

"We are working on a digital-only bank where no individual will be visible to the customer and all transactions will be done with the help of apps, internet banking and mobile banking. It will be an omni-channel, omni-device digital bank which will be available to both new and existing customers," a banker told ET.

The digital-only bank, which will be device-agnostic, will use the Aadhar infrastructure for not only on-board customers but also provide them services online.

"So there will not be any paper, we will onboard customers online using e-KYC and all services will be provided digitally. Completely zero assisted modes may not be possible initially, so there could be couple of our people who will help customers in our InTouch branches,” the banker further added.

SBI InTouch is the bank's state-of-the-art Digital Branch which facilitates instant opening of accounts, printing and issue of personalised debit card, and expert advice on investment through videoconference.

The Digi Bank will also offer a market place under which the lender will send offers to customers based on their profiles. Customers availing products from the bank's market place will get higher discounts compared to those being offered on ecommerce websites.

The bank also plans to deploy software robotics in its back office to increase efficiency. SBI also plans to redeploy branch workforce on ground to sell its products.

"Going forward, you will see that we will have less branch staff and more sales staff," an official told ET.