Mangaluru-based Karnataka Bank Ltd. (KBL), set up in February 1924 by a group of professionals from diverse fields with an intent to serve the underprivileged, turns 100 on Sunday.
A bank that had a modest origin a quarter century ahead of Indian Independence has not just stood the test of time but has been playing a dominant role in the country’s financial inclusion initiatives especially focused on serving the underserved and underprivileged, including agriculture, small businesses, and individuals, Karnataka Bank MD and CEO Srikrishnan H. told The Hindu.
“It is certainly a rare feat for a small bank that stood the test of time and is now hitting century. How many financial institutions do we have in our country that are turning 100 and standing tall? It is a proud moment for us,’‘ he said.
According to Mr. Srikrishnan, all 99 years, the bank posted profits and 96 of the 99 years it declared dividends, except in 2021 due to COVID-19 pandemic, and twice in 1970s when the bank constructed its headquarters in Mangaluru, which required a large capital outlay.
“It is a simple bank, but a great brand. The bank has no promoter or no influential shareholder. It has been taking good care of the interests of all its shareholders right from inception. Currently, we have 2,44,000 shareholders and a markcap of close to ₹10,000 crore,’‘ he added.
On the way ahead, he said: “We have a three-pronged strategy to fuel our next level of growth, We will significantly grow our customer base from the existing 13 million, grow our businesses, and emerge as a pan India brand.” Therefore, at 100, the bank was starting all over again with more vigour and zeal to reach out to newer customer segments, said the MD.
Apart from having an intensive reach in home State Karnataka, KBL has 50 branches each in Maharashtra, Telangana, Andhra Pradesh, and Tamil Nadu. It also has a significant presence in Delhi/NCR region, Gujarat, Punjab, Madhya Pradesh, Uttar Pradesh, and in the east and western parts of the country.
The bank has a mandate to cross ₹100,000 crore in gross advances by March 2026, up from ₹70,000 crore currently, and it also targets a business turnover of ₹200,000 crore by March 2026, up from ₹165,000 crore at present, Mr. Srikrishnan said.
Centenary building, two museums to open today
Karnataka Bank will open a centenary building and two different museums on its head office premise at Mahaveera Circle, Kankanady, Mangaluru, on Sunday. The museum will depict the 100-year journey of the bank between February 1924 and February 2024 and display rare photographs, documents, details of the founders, and early customers etc. Meanwhile, a digital museum will give a virtual tour into banking in the next 100 years. The bank has invested ₹50 crore to construct the centenary building and museums.
