Chennai: State Bank of India (SBI) has disbursed housing loans of nearly Rs 1,922 crore in the first half of the current fiscal and expects to disburse another Rs 2,500 crore in the second half, says SBI managing director (national banking group) P N Venkatachalam.

Incremental retail advances were of the order of Rs 2,567 crore in the first half, he says. “SBI is now focussing on speed of delivery, apart from offering cheaper loans, as it has become alive to customer needs.”

About customer complaints that existing borrowers on floating rates are not getting the full benefit offered to newer borrowers, Venkatachalam says the bank is aware of the problem. “A reduction in the prime lending rate will benefit all borrowers, and this may happen if there is a rate cut in the credit policy.”

But he says SBI has to strike a balance between the customer needs and its own affordability. “If the bank were to pass on the full benefits of lower rates to all its existing borrowers, it would have to take a very great hit on margins.”