Sree Thyagaraja Co-op Bank crosses Rs 1,000cr business, aims for Scheduled Status

One of Karnataka’s fastest-growing urban cooperative banks, Bangalore’s Sree Thyagaraja Cooperative Bank has crossed a significant milestone with a business mix exceeding Rs 1,000 crore.

The bank now aims to achieve Rs 1,000 crore in deposits alone to qualify for multi-state status and pursue scheduled bank recognition. As of FY 2024–25, the deposit figure stands at Rs 624 crore.

Speaking exclusively to Indian Cooperative at the bank’s headquarters in Bangalore, the bank’s Chairman and Karnataka BJP spokesperson M R Venkatesh said, “Our bank is on a strong growth trajectory and we are making consistent efforts to scale new heights. We have been registering year-on-year growth and we are proud to announce that we have now crossed a business mix of more than Rs 1,000 crore, which is a major milestone for us.”

He added, “We are focusing on increasing deposits by introducing attractive new schemes and offering competitive interest rates to encourage depositors. Our bank is professionally managed, and we have maintained a net NPA of zero for the last 20 years. The gross NPA currently stands at 3.64 percent.”

Looking ahead, the bank has ambitious plans to expand its operations into Andhra Pradesh, Telangana, Tamil Nadu, and other southern states, with the goal of becoming a multi-state cooperative bank. It is also working towards acquiring scheduled bank status.

Notably, Venkatesh was honored with the Sahakara Ratna Award by the Karnataka State Government in 2021–22 for his contributions to the cooperative sector.

The bank is also playing its part in strengthening the urban cooperative banking ecosystem. It has contributed Rs 35 lakh towards the share capital of NUCFDC, the umbrella organization for urban cooperative banks. Of this amount, Rs 10 lakh has already been paid, and the remaining Rs 25 lakh will be released in the coming days.

However, Venkatesh expressed disappointment over certain regulatory issues. He has written several letters to the concerned authorities, seeking resolution, but to no avail. He emphasized that cooperative banks should be treated on par with nationalized and commercial banks. He strongly opposed dual control, stating it remains a major obstacle to the sector’s growth.

He further recommended increasing the gold loan limit, noting that gold-backed loans are secured and widely preferred by small borrowers. Venkatesh also urged the government to raise the borrowing limit for nominal members from Rs 1 lakh to Rs 5 lakh to better serve those with day-to-day financial needs.

In a noteworthy suggestion, he proposed full DICGC coverage on deposits of senior citizens to safeguard their savings. According to him, such a measure would significantly enhance the trust of senior citizens in cooperative banks.

The bank is also making commendable efforts in empowering women across Bangalore city.

It has launched several women-centric schemes, including group loans, under which around 1,000 women’s groups have received loans amounting to Rs 2 crore, with an impressive 97 percent recovery rate.

Another scheme supports women entrepreneurs by offering collateral-free loans of up to Rs 5 lakh based solely on their GST certificates and trade licenses. So far, 180 women have benefitted from this initiative.

To boost its loan portfolio, the bank has been organizing special loan camps. A recent camp aimed at promoting electric vehicles was highly successful.

Additionally, the bank has launched a children’s savings initiative to inculcate financial discipline at a young age. Through this effort, nearly 3,000 accounts have been opened, accumulating deposits worth Rs 10 crore.

Sree Thyagaraja Cooperative Bank’s journey reflects a blend of strong growth, social commitment, and reform-driven vision. As it eyes multi-state expansion and scheduled bank status, the bank is fast emerging as a model for modern cooperative banking in India.