Evolution of Banking in Kerala
Formation of Travancore Bank Limited
Several banks had collapsed in the late 1930’s in Travancore, undermining public confidence in the banking system. As part of the post-war reconstruction plan, an idea come up of starting of full fledged commercial bank with the investment of, and control by the Government. It had to entrust the treasury business to the new state controlled Bank. A large scale industrialisation drive was on the cards with the availability of cheap power from the State’s first hydro-electrical project.
The situation demanded the presence of a strong bank commanding not only credibility among the public, but also the financial capacity to participate in the economic development of the land. Maharaja Chithira Thirunal, the ruler of Travancore, had the vision to set it up as a fully State-backed bank dedicated to the prosperity of the land and its people. In principle approval was accorded on 04.12.1944 and sanction for Public was given in August 1945. The Travancore Bank Limited was registered on 12.09.1945.