SBI Launches CHAKRA Centre of Excellence to Finance Eight Key Sunrise Sectors
In a significant move to bolster India's economic transformation, the State Bank of India (SBI) has officially launched CHAKRA – the Centre of Excellence (CoE) dedicated to financing eight critical sunrise sectors. This strategic initiative aims to channel capital into domains that are poised to drive the nation's sustainable and technology-led future.
Comprehensive Coverage of Emerging Industries
The CHAKRA CoE will focus on providing specialized financial solutions for a diverse range of high-growth sectors. The eight identified sunrise domains include:
- Renewable Energy
- Advanced Cell Chemistry and Battery Storage
- Data Centre Infrastructure
- Smart Infrastructure
- Electric Mobility
- Green Hydrogen
- Semiconductors
- Decarbonisation Technologies
These sectors collectively represent the forefront of India's industrial evolution and are expected to require capital investment of approximately Rs 100 lakh crore over the next five years.
Strategic Vision and Institutional Capability Building
C S Setty, Chairman of SBI, emphasized that India's growth trajectory in the coming decades will be anchored in innovation, sustainability, and advanced manufacturing. Through CHAKRA, SBI is strengthening its institutional capability to understand these emerging sectors, design specialized financing solutions, and partner with the broader ecosystem to enable projects that meaningfully contribute to the nation's development journey.
The lender will focus on enabling these capital-intensive sectors by:
- Directing capital flows responsibly
- Strengthening risk assessment capabilities
- Developing innovative financing structures aligned with evolving business models and policy priorities
Collaborative Approach and International Partnerships
CHAKRA will facilitate structured engagement with various stakeholders including development finance institutions, multilateral agencies, banks, NBFCs, industry bodies, corporates, start-ups, academia, and policy think-tanks. SBI has already signed Memoranda of Understanding (MoUs) with nearly 21 financing institutions for this initiative.
As part of these agreements, project finance teams from these entities will be stationed at SBI CHAKRA, contributing to capacity building and co-financing arrangements. Notably, Japanese banks MUFG and Sumitomo Mitsui Banking Corporation have emerged as major partners who will bring foreign capital and expertise to the table.
Addressing Capital Needs and Risk Diversification
Setty highlighted that many of these sunrise sectors already have industries investing their own equity. As these enterprises scale up, they require substantial debt capital. During this critical growth phase, SBI aims to facilitate both Indian and international debt capital infusion.
Speaking at the launch event, M Nagaraju, Secretary of the Department of Financial Services, urged state-run lenders to focus on two to three sunrise sectors rather than concentrating on just one domain. This approach, he emphasized, would help in diversifying risks while maximizing impact across multiple growth areas.
Building on Previous Successes
The CHAKRA initiative builds upon SBI's earlier successful establishment of the Centre of Excellence for Micro, Small, and Medium Enterprises (MSMEs) at the State Bank Academy. This demonstrates the bank's continued commitment to developing specialized financial ecosystems for different segments of the economy.
Through CHAKRA, SBI aims to build strong capabilities, support innovation-focused enterprises, and improve the flow of capital to sectors that are driving India's sustainable and technology-led future. The initiative represents a comprehensive approach to financing the nation's next phase of industrial development while addressing both domestic and international capital requirements.
