Challa Sreenivasulu Setty

The central government has approved the appointment of Challa Sreenivasulu Setty as new Chairman and Rana Ashutosh Kumar Singh as Managing Director of the State Bank of India (SBI) as the current Chairman, Dinesh Kumar Khara, is set to retire on August 28.

According to a notification by the Department of Personnel & Training, the Appointments Committee of the Cabinet (ACC) on August 6 approved the proposal of the Department of Financial Services for the appointment of Challa Sreenivasulu Setty as chairman of SBI. The ACC has approved the appointment of Mr. Setty, 59, the current Managing Director (MD) of SBI as the new Chairman of the country’s biggest lender, for a period of three years, effective from the date he assumes office, on or after August 28, 2024.

The government order states, “The Appointments Committee of the Cabinet (ACC) has approved the proposal of the Department of Financial Services for the appointment of Shri Challa Sreenivasulu Setty (DOB: 26.09.1965), Managing Director (MD), State Bank of India (SBI) as Chairman, SBI for a period of three (03) years w.e.f. the date of assumption of charge of the office, on or after 28.08.2024.”

Rana Ashutosh Kumar Singh to take over as MD

Additionally, Rana Ashutosh Kumar Singh, the current Deputy Managing Director (DMD) of SBI, has been appointed as the new Managing Director. His appointment will take effect from the date he assumes office.

The government order read, “The Appointments Committee of the Cabinet (ACC) has approved the proposal of the Department of Financial Services for appointment of Shri Rana Ashutosh Kumar Singh, Deputy Managing Director (DMD), State Bank of India (SBI) as Managing Director (MD) in SBI with effect from the date of assumption of office.”

According to SBI, Challa Sreenivasulu Setty joined the Board of SBI as Managing Director in January 2020 and currently oversees International Banking, Global Markets, and Technology wings of the Bank. He has previously headed the Retail & Digital Banking vertical and various task forces/committees formed by the Government of India.

Mr. Setty holds a Bachelor of Science in Agriculture and is a Certified Associate of the Indian Institute of Bankers. He began his career with SBI in 1988 as a Probationary Officer. Over his three-decade-long career, he has gained rich experience in corporate credit, retail, digital, and international banking, as well as banking in developed markets

Mr..Setty has also held key positions within SBI, including Deputy Managing Director – Stressed Assets Resolution Group, Chief General Manager, and General Manager in the Corporate Accounts Group, Deputy General Manager in the Mid-Corporate Group, and Vice President & Head (Syndications) at SBI’s New York Branch.

State Bank of India (SBI) Managing Director (R&DB), Challa Sreenivasulu Setty. File.
| Photo Credit: NAGARA GOPAL

Government appointment selection panel FSIB on June 29 selected senior-most managing director Challa Sreenivasulu Setty for the position of Chairman of country’s largest lender State Bank of India (SBI).

Mr. Setty, who was appointed managing director in January 2020, currently looks after International Banking, Global Markets and Technology verticals.

He will succeed Dinesh Kumar Khara, who will be superannuating on August 28, when he turns 63, the upper age limit for the position of SBI Chairman.

Financial Services Institutions Bureau (FSIB), the headhunter for directors of state-owned banks and financial institutions, interviewed three candidates on June 29, 2024 for the position.

“Keeping in view their performance in the interface, their overall experience and the extant parameters, the Bureau recommends Challa Sreenivasulu Setty for the position of Chairman in SBI,” FSIB said in a statement.

As per the convention, the chairman is appointed from a pool of serving managing directors of SBI. Usually, senior-most managing director becomes chairman of the bank.

The final decision on FSIB recommendation would be taken by the Appointments Committee of the Cabinet headed by Prime Minister Narendra Modi.

Mr. Setty, who also headed various task forces/committees formed by the Government of India, had earlier looked after the retail and digital banking portfolio of the bank.

A Bachelor of Science in Agriculture and also, a Certified Associate of Indian Institute of Bankers, he started his career with SBI in 1988 as a Probationary Officer.

Across a career spanning over three decades, he has rich experience in corporate credit, retail, digital and international banking and banking in developed markets.

Mr. Setty has held key assignments in State Bank of India, including Deputy Managing Director – Stressed Assets Resolution Group, Chief General Manager and General Manager in Corporate Accounts Group, Deputy General Manager in Commercial Branch, Indore and VP & Head (Syndications) in SBI, New York Branch.

FSIB is headed by Bhanu Pratap Sharma, former secretary of Department of Personnel and Training (DoPT).

The members of the government-appointed selection panel are Financial Services Secretary, Department of Public Enterprises Secretary and an RBI Deputy Governor.

Other members of the headhunter are Animesh Chauhan, former chairman and MD of erstwhile Oriental Bank of Commerce, RBI’s ex-executive director Deepak Singhal, and Shailendra Bhandari, former MD of erstwhile ING Vysya Bank.