Mumbai, Jan 22 (IANS): State Bank of India (SBI), the country largest lender, said Saturday its net profit rose 14.07 percent to Rs.2,828.06 crore ($628.45 million) in the third quarter of the current fiscal, on the back of increased credit demand.

The bank's total income rose to Rs.24,726.73 crore for the quarter ended Dec 31, 2010, up 16.93 percent from Rs.21,145.40 crore during the corresponding quarter last year, SBI said in a regulatory filing with the Bombay Stock Exchange.

SBI, which controls nearly a quarter of India's bank deposits and loans along with its associates, has posted Rs.8,243.64 crore net profit during the first nine months of fiscal 2010-11 against a net profit of Rs.7,299.45 crore during the corresponding period a year ago, registering a growth of 12.93 percent.

The bank's gross advances jumped 22 percent during the period under review.

SBI's non-performing assets (NPAs) rose marginally to 3.17 percent at the end of third quarter of fiscal 2010-11 from 3.11 percent a year ago.

Share price of State Bank of India advanced 2.94 percent to Rs.2,597.95 at the Bombay Stock Exchange (BSE) Friday.