SBI expects RBI nod on merger of associate banks

State Bank of India (SBI) expects to soon receive RBI’s approval for the detailed merger plan of its associate banks.

The detailed merger plan, including financial implications, HR and asset-liability issues are being vetted by the RBI, sources said, adding that the approval from the central bank is expected anytime soon.

The scheme of acquisition of all five associates along with the Report of the Expert Committee have been submitted to RBI for approval, sources said.

Upon approval, RBI will submit the scheme of acquisition as approved by it to the Government of India for approval and issue of order of acquisition.

Meanwhile, SBI has started the process of change of account number due to proposed merger of associate banks.

Earlier this year, the government cleared the proposal to merge SBI with its five associate banks -- State Bank of Bikaner and Jaipur, State Bank of Travancore, State Bank of Mysore, State Bank of Patiala, State Bank of Hyderabad -- and the new Bharatiya Mahila Bank (BMB).