Challa Sreenivasulu Setty to become new chairman of SBI; FSIB recommends him as successor of Khara

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

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.

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.

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.