The personal segment will consist of housing loans, consumer loans and credit card which will be launced in the first week of October. The credit card subsidiary -- a joint venture with GE Caps -- will have its central hub in Melbourne, Australia. The main hub will be handled by GE Capital Technological Information Solutions which has set up an IBM Mainframe computer in Melbourne. Verma also hinted at striking strategic alliances with banks and financial institutions in India and foreign banks abroad to prop up its business growth. "We are prepared for strategic alliances with like-minded institutions....We will exploit synergies with other institutions with which we share cultural affinity to the hilt.This is the only way to grow the size of the balance sheet and the market share," Verma said.

This marks a marked shift from the State Bank's policy of focussing on volume-driven business and bulldozing competition by the sheer strength of its size. "Yes, we have changed the tack... We are sharing the rupee sources with 14 banks which have been hawking the Indian Resurgent Bonds. This is the first step towards the new direction... We will enter into strategic alliances with banks abroad and in India to sell more and more financial products. We are already into travel-related business by picking up 15 per cent stake in Thomas Cook," Verma said.

On the personal finance business, he said the bank will break away from the practice of offering "uniform" service to all clients. "We will offer better service to those clients which are ready to pay for it. The 100 branches -- catering to the personal segment -- will offer quality technology and service," he said.