Question

which of the following is not the benefit arisen out of this sbi merger deal?

1)pan India presence
2)more credit outflow into productive investments
3) reduction in capital adequacy ratio
4)increase in market share​

Answer 1

Answer:

option 1

Explanation:

I hope it will help you

Answer 2

Option 1) Pan India presence

Pan India presence is not the benefit arisen out of this sbi merger deal

• Any new technology introduced by SBI will be uniformly accessible to all clients, including those of the Bank's affiliates and subsidiaries. Shares of SBI will report impressive profits on stock exchanges together with those of its subsidiaries.
• SBI wants to combine with itself five of its subsidiaries: the Bharatiya Mahila Bank, State Bank of Bikaner & Jaipur, State Bank of Hyderabad, State Bank of Mysore, State Bank of Patiala, and State Bank of Travancore.
• The size of the newly combined SBI is a cause for concern because this merger has made SBI such a large company that it now runs the risk of being Too Big To Fail. Any failure of such an institution could result in issue.
• Greater financial sturdiness results from mergers and acquisitions for both parties engaged in the deal. Increased economic clout can result in more market share, increased customer sway, and diminished competition danger. Larger businesses are typically more difficult to compete with
• SBI anticipated that the combination would promote synergies, cut down on duplication, and free up resources. Together, they made up over 20% of SBI's deposits (Rs. 27.06 lakh crore as of March) and about 15% of its total loans (Rs. 20.44 lakh crore).

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