SBI Advocates for Human Roles in AI-Driven Banking Ecosystem

State Bank of India Accelerates Technology Overhaul with Emphasis on Human Capital

MUMBAI: State Bank of India (SBI) chairman Challa Sreenivasulu Setty has emphasized the importance of investing in people, leadership, and skills in the bank's technology-led transformation journey. In the "way forward" section of the bank's FY26 annual report, released on Wednesday, Setty highlighted the critical role of human capital in the bank's transformation.

SBI is currently undergoing a sweeping technology-led overhaul across customer onboarding, operations, lending, wealth management, and digital servicing. Unlike some global banks, which are using artificial intelligence-led restructuring to cut jobs, SBI is positioning technology and workforce capability as complementary pillars of transformation.

The bank's annual report highlights its transition towards a skill-based talent management framework, alongside efforts to strengthen succession planning and prepare employees for a workplace shaped increasingly by AI-human collaboration. SBI's focus on people development is in contrast to the comments made by Standard Chartered chief executive Bill Winters, who announced plans to eliminate nearly 8,000 jobs over the next four years.

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Comparison of Job Cuts

SBI's chairman, Setty, outlined an aggressive technology roadmap for the lender, focusing on investing in technology, data analytics, artificial intelligence, cybersecurity, and digital infrastructure. The bank aims to create a more intelligent, agile, and responsive banking ecosystem.

The bank's digital transformation is already showing results, with nearly 99% of its transactions now routed through digital channels. The YONO app crossed 100 million registered users during FY26, and the bank launched YONO 2.0 with a sharper focus on hyper-personalized customer experiences.

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Setty emphasized that physical banking will remain an important pillar of the institution's strategy despite rapid digitalization. The bank aims to integrate the strength of its branch network with the speed and convenience of digital platforms, creating a truly omni-channel banking experience for customers.

SBI has also sharpened its focus on liability mobilization, SME ecosystems, climate finance, and wealth management. The bank institutionalized its ABCD (All Branches to Contribute to Deposits) framework aimed at strengthening Casa (current account and savings account) mobilisation and deposit resilience.

On sustainability, Setty said climate resilience and responsible financing will increasingly shape global finance. SBI expanded its green lending portfolio across renewable energy, electric mobility, and climate technologies during FY26 and launched Chakra, a dedicated financing and knowledge platform for climate-focused sectors.

The bank closed FY26 with a standalone net profit rising 12.88% year-on-year to ₹80,032 crore, while total business crossed ₹109 trillion. This underscores the scale at which SBI is attempting to balance technological transformation with workforce development.