State Bank of India (SBI) Chairman CS Setty has shared a confident outlook for the nation’s largest lender, stating that every day at the bank presents a "defining moment." Despite the Reserve Bank of India (RBI) moving the deadline for its special forex swap facility to August 31, Setty believes SBI will still hit its target of gathering $10 billion in Foreign Currency Non-Resident (Bank) deposits. These FCNR(B) deposits (foreign currency accounts for NRIs where the bank bears the exchange risk) are mostly coming from Asian markets and will provide nearly ₹95,000 crore in long-term liquidity.

Under Setty’s leadership, the bank is aiming for a credit growth (increase in lending) of 13–14% and a total balance sheet growth of 12%. This growth is supported by a strong capital base. The bank maintains a Common Equity Tier 1 (CET1) ratio (core equity capital compared to risk assets) of 12% and a Capital to Risk-weighted Assets Ratio (CRAR) of 15%. These healthy ratios were achieved through a ₹25,000 crore fundraise and the successful listing of SBI’s AMC (Asset Management Company) on the stock market.

A major focus for the Chairman has been modernizing the bank's technology through YONO 2.0. This digital banking platform was rebuilt from scratch to improve customer experience. It has already seen a massive surge, reaching 5.5 crore registrations. Setty emphasized a "Digital First" approach, noting that SBI now handles nearly one-fourth of India’s total savings and plays a vital role in supporting the national economy.

In terms of the loan portfolio, SBI is seeing rapid growth in the MSME (Micro, Small, and Medium Enterprises) sector, which is growing at 19–20%. The bank is also focusing on the "RAM" segment—Retail, Agriculture, and MSME—as these are expected to be the primary drivers of future business. While corporate lending remains a huge part of the book at 33%, the bank is also looking at new sectors like data centers and semiconductor manufacturing.

Asset quality at SBI is currently at its best level in two decades. The bank’s credit cost (the amount set aside for bad loans) is below 30 basis points (0.30%), which Setty attributes to better underwriting (the process of checking a borrower's creditworthiness) and digital risk assessment. He noted that Indian corporates are now much more disciplined with their finances than in previous years, making the entire banking system more resilient to economic shocks.

For bank officers and aspirants, the message is clear: SBI is shifting toward a high-tech, relationship-based model. The bank is moving away from relying on treasury gains (profit from trading government bonds) and is instead focusing on fee-based income and digital services. By integrating the entire ecosystem of corporate clients—including their employees and suppliers—SBI aims to maintain its dominant position while ensuring robust risk management.