State Bank of India is planning to spend Rs 500 crore (Rs 5 billion) on information technology, including computerisation of 3,000 branches in the fiscal 2003-04.

"Nearly 3,200 branches of SBI are already computerized and next year we plan to hike the number by another 3,000 branches," SBI chairman A K Purwar told newspersons after inaugurating a "Single Window System" branch in Mumbai on Friday.

The computerisation work in the remaining 3,000 odd branches would be taken up later, he said adding, the core-banking initiative of the country's largest bank was also on course.

After the whole IT system is in place, the excess staff would be utilised for marketing the bank's various products, he said.

Referring to the bank's "Ambience 2005" project whereby infrastructure in branches would be upgraded and renovated, SBI deputy managing director and corporate development officer S Santhanakrishnan said, "By March 2005, all metro branches will be upgraded under this program."

Purwar said the ambience in all SBI branches across the country would be completed by March 2006.

On SWS, the chairman said this initiative was part of the business process re-engineering exercise undertaken by the bank.

This system, which enables a customer to approach any counter in the branch for all his requirements, has initially been adopted in 122 branches.

SBI also plans to add 1,800 ATMs by March 2004 to the existing strength of 1,300 ATMs, he said.