Our digital transactions have reached 67 pc now: president of the SBI
The country’s largest lender, the State Bank of India, has seen a noticeable increase in the number of transactions made on its multiple digital channels, the percentage rising from 60% in the pre-pandemic period to 67% today, the president said. Dinesh Khara.
The increase in the number of digital transactions at the bank was largely due to the resumption of e-commerce during the pandemic-induced lockdown, which restricted movement, he said.
When e-commerce has grown, it is actually the digital channels that we offer that have gained in popularity and acceptability. This is one of the reasons our digital transactions have reached 67% now.
I think that’s a phenomenal number, considering that we’re a bank that serves all kinds of customers – digitally savvy and non-digitally savvy, Khara told PTI in an interaction.
He said the ecosystem, such as the 24-hour availability of the Real-Time Gross Settlement System (RTGS) and National Electronic Funds Transfer (NEFT), which was recently established, has also helped the bank to step up its digital transactions.
I think part (the higher digital transactions) is coming from the ecosystem and part has come from the bank’s own efforts, he noted.
The lender’s digital lending platform – Yono (You Only Need One App) – has seen significant growth in the current fiscal year.
At present, there are 35 million registered users of Yono and the bank opens more than 35,000-40,000 savings accounts per day using the mobile app, he said. .
In the current fiscal year, around 16,000 crore of pre-approved personal loan (PAPL) rupees has been disbursed to 12.82 lakh customers through Yono, Khara said.
While 59,000 crore of auto loans totaling around 4,000 crore rupees has been sanctioned, the bank could generate 15,000 home loan leads worth 4,000 crore rupees with the help of Yono, he said. he adds.
The platform also helps distribute the products of the bank’s subsidiaries, including SBI Life Insurance, SBI General Insurance and SBI Card and SBI Mutual Fund.
So far in this fiscal year, nearly 25 lakh of personal accident insurance policies and seven lakh of life insurance policies have been issued using the Yono platform, Khara said. .
As more and more users come and use it (Yono), we only make sure that it becomes all the more robust as it is able to handle and generate more volumes and create value to the bank, while improving the experience. of our customers, he says.
The bank is constantly increasing the infrastructure required to support an increasing number of transactions through all of its digital channels, he said.
Khara said the bank’s top priority is ensuring the safety of customers using its digital channels and has significantly increased its capabilities to deal with any type of cyber fraud.
We made sure that the firewalls are strong enough and that there should be adequate protection both at the endpoint level and at the server level, he said, adding that the bank was continuing to review. levels of protection to ensure that all channels and networks remain protected.
According to Kiran Shetty, CEO and regional manager for India and South Asia at SWIFT, who was also part of the interaction, as the COVID-19 pandemic has accelerated digital transactions and payments, it has also The need for remote working conditions, which resulted in banks and financial institutions further stepping up their security infrastructure as cyber threats continued to grow. The Society for Worldwide Interbank Financial Telecommunication (SWIFT) is a network that enables financial institutions to send and receive information about financial transactions in a secure environment.
At SWIFT, we actively support the global financial community in the fight against cyber attacks by fostering a more secure financial ecosystem, said Shetty.
He said SWIFT’s solutions such as the Payment Control System allow banks to mitigate fraud attacks by monitoring transactions in real time and detecting these potentially high-risk transactions, alerting teams and, combined with the ability to block payments and transactions, prevent cybercrime.
Shetty said SWIFT also operates a customer security program that its members must follow. There are 31 principles to protect the environment in which the SWIFT infrastructure operates.
Khara said SWIFT’s products have added transparency for clients, both in terms of tracking the status of various payments and transaction costs.
He said that in the future, digitization is more likely a default option, as the bank serves a variety of customers in different geographies, but physical branches will remain.
It is not an “one or the other” situation. Physical and digital will coexist. Our strategy is going to be phygital, concludes Khara.