Socio-Economic Development in India- A Study of SBI & its Associate Banks

Banks have become harbingers of socio-economic development. Banks are not just storehouses of the country’s wealth but are the reservoirs of resources necessary for economic development. The State Bank of India is the biggest commercial bank in whole of Asia. SBI plays a pivotal role in the sphere of establishing an egalitarian society. For this purpose, it has amended its lending policies in such a way as to provide adequate availability of credit to neglected sectors of the economy and to those who do not have access to credit. SBI’s contribution to process of economic development is based upon social justice. The present paper deals with role played by SBI & its Associate Banks in socio-economic development of the country. The study is secondary based and analytical in nature. The time period of the study is from 2001-02 to 2009-10. Statistical and mathematical tools such as mean, standard deviation, coefficient of variation and compound annual growth rate (CAGR) are calculated. The contribution of SBI and its Associate banks is analysed on basis of its contribution in financing of agriculture, financing of small enterprises, priority sector advances, advances to weaker section. The study concludes that SBI & its Associates are actively engaged in socio-economic development of the country. SBI serves as pioneer in many areas of social welfare. Growth rate in financing of agriculture, small enterprises, priority sector advances, and weaker section is favourable.