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Source: The Hindu BusinessLine

The Hindu BusinessLine
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Appointments & Movements
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2 min
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31 Aug
Published
Appointments & Movements
2 min read· The Hindu BusinessLine

Despite digital banking, branches continue to play key role: Karur Vysya Bank MD

Karur Vysya Bank has recently opened sixteen new branches across multiple states in India. The bank's leadership believes physical locations remain vital despite the rapid rise of digital banking services.

Karur Vysya Bank (KVB) has reached a new milestone by opening 16 new branches in a single day. This expansion covers several states in Southern India and the Delhi NCR region. With these new additions, the bank's total network now stands at 919 branches across the country. This move shows that the bank is serious about growing its physical presence alongside its mobile apps.

The new branches are spread across five different regions. Tamil Nadu received six new branches, while Andhra Pradesh got five. Telangana saw three new openings, and one branch each was opened in Karnataka and the Delhi NCR area. These locations include busy spots like Gachibowli in Telangana and Udyog Vihar in Gurugram. The bank held a special ceremony where Managing Director Ramesh Babu B inaugurated the Gachibowli branch in person, while the others were opened through a video conference.

KVB's management believes that physical branches are still very important for Indian customers. Even though many people use apps for small daily tasks, the bank says that branches are needed for deep relationships. This is especially true for MSME (Micro, Small, and Medium Enterprises), retail, and agricultural customers who often need face-to-face advice and personalized service. The bank wants to offer a mix of both digital speed and human touch.

The bank is following a clear strategy to grow in all types of markets. They are opening offices in big cities (metropolitan), small towns (semi-urban), and villages (rural). By being present in these diverse areas, the bank can attract different types of depositors and borrowers. This physical growth acts as a support system for their growing digital banking network, making sure no customer is left behind.

The numbers show that KVB is in a strong position to grow. As of June 30, 2026, the bank's total business reached ₹2,27,267 crore. This includes deposits (money kept by customers) of ₹1,22,587 crore and advances (loans given out) of ₹1,04,680 crore. The bank also recently celebrated its highest-ever quarterly net profit of ₹756 crore. These strong financial results give the bank the confidence to invest in more buildings and staff.

For bank officers and aspirants, this news is a sign that branch banking is not dying. While KVB has a strong mobile app called 'KVB DLite' that offers 150 different services, the need for physical staff remains high. The bank aims to provide 'phygital' banking—a mix of physical and digital services. This approach helps the bank stay close to its customers while staying modern.

Looking ahead, KVB will likely continue to strengthen its digital tools while monitoring the performance of these new branches. For banking professionals, this highlights the importance of being skilled in both technology and traditional relationship management. As the bank nears the 1,000-branch mark, it will continue to focus on retail, MSME, and agricultural sectors to drive its next phase of growth.

Source: The Hindu BusinessLine