ROMPI VAISHNAVI ,DR. K MADHU BABU 03 08 Loans and advances constitute one of the most important functions of commercial banks and are the primary source of income for banking institutions In the Indian banking system the State Bank of India SBI plays a significant role in providing various loan and credit facilities to individuals businesses industries agriculture and government sectors This study focuses on analyzing the loans and advances provided by SBI their classification lending policies operational procedures risk management practices and financial performance The project examines how SBI manages its lending portfolio while balancing profitability liquidity and credit risk The study also evaluates recent banking trends between 20232025 including digital lending systems retail loan growth credit risk management and RBI regulatory guidelines affecting lending operations Primary data has been collected through discussions with bank employees and customers while secondary data has been collected from SBI annual reports RBI publications banking journals financial websites and industry reportsThe findings reveal that loans and advances significantly contribute to SBIs profitability and market leadership However effective credit appraisal recovery management and risk assessment are essential for maintaining financialstability and reducing nonperforming assets The study concludes that SBIs lending operations play a crucial role in economic development and financial inclusion Adoption of technologydriven banking systems and strong credit management practices support sustainable growth in the banking sector Copyright (c) Journal of Science Engineering Technology and Management Science. All rights reserved 2026