Hyderabad, Apr 26: The merger process of State Bank of India's subsidiary banks with itself is awaiting Central government approval, a senior banking official said.

"The merger process has not slowed down but awaiting the Centre's approval", State Bank of Hyderabad (SBH) Chairman and Managing Director Amitabha Guha told reporters here on Friday.

Announcing the annual results ending March 31, 2008, Guha said SBH has recorded a business of Rs 88,665.46 crore during FY 2008, against Rs 71,000 crore during 2007 and the net profit was recorded at Rs 556.99 crore in 2008 as against Rs 505.50 crore.

Bank's total deposit grew by 22.78 per cent and advances by 26.060 per cent.

Highlighting the plans for the 2008-09, Guha said the Bank aims at a growth of 25 per cent in deposits and 30 per cent in advances and also 30 per cent increase in operating profit.

He projected the net profit higher than Rs 765 crore and gross NPAs to be less than 0.75 per cent of total advances.

Referring to performance of last quarter ending March 31, 2008, Guha said net profit for Q4 of FY08 stood at Rs 186.23 crore is lower vis a vis for Q4 of 2007 at Rs 199.54 crore on account of the provisions to the tune of Rs 23 crore made during Q4 of FY08 towards employee wage revision and sick leave.

He said the advances grew by Rs 2,682 crore during Q4 of FY08 as compared to Rs 1,181 crore during fourth quarter of FY07.