SBI Looks To Boost Project Finance Division With Sector Experts
The request for applications comes in the middle of an expected upturn in infrastructure financing among Indian banks.
India's largest lender is seeking to expand its project finance division through sector-specific hires. The State Bank of India has sought applications from retired bankers and experts across 25 sectors, according to an advertisement on its website.
The sectors include traditional infrastructure such as roads, airports, and ports, as well as thermal, wind, hydro, and solar power. Alongside this, the lender is also seeking experts for new-age infrastructure projects such as electric vehicles, green hydrogen, semiconductors, solar cell manufacturing, batteries, and data centres.
The engagement would be on a contractual, non-exclusive, retainership basis for a period of one year, with the bank’s discretion to roll-over annually based on a satisfactory annual review. Roll-overs will be permitted only twice.
SBI is seeking retired senior officials from public sector companies, reputed private organisations and semi-government bodies, according to a detailed brochure on its website. These officials must be able to maintain an arm's-length relationship with the company or group whose projects are being evaluated.
These officials must also have degrees from reputed engineering colleges such as the Indian Institute of Technology or Indian School of Mines.
For those seeking to apply for a consultant role in the traditional infrastructure sector, SBI has set a minimum work experience of 25 years. These officials must have held senior positions such as managing director, executive director, chief technology officer, etc.
In the case of new-age infrastructure projects, a minimum work experience of 10 years is required, SBI said in its brochure.
The lender will pay a fixed remuneration of Rs 5 lakh per annum in the case of traditional projects and a variable pay of Rs 75,000 per assignment. For the new-age projects, the fixed pay is set at Rs 7 lakh per annum and a variable pay of Rs 1.25 lakh per assignment.
The bank will expect these consultants to advise on the technical aspects, viability, and adequacy of the projects they review. Among other things, they would also advise the banks on sectoral trends, emerging risks, and mitigation strategies.
The request for applications comes in the middle of an expected upturn in infrastructure financing among Indian banks. The Reserve Bank of India last month released a draft set of guidelines proposing to tighten rules on the management of stress in project finance.
The lender is one of the largest players in the infrastructure sector. As of March 2024, SBI's corporate loan book stood at Rs 11.38 lakh crore, of which, infrastructure loans accounted for Rs 3.9 lakh crore.
