Tamilnad Mercantile Bank, a private sector bank based in Tuticorin, is on track to complete its digital transformation program within the current financial year. The bank had allocated ₹150 crore last year to implement various technology-driven upgrades, including the development of Oracle Human Capital Management software, Oracle CX-Customer Relationship Management software, and Vendor Management software. The bank is also revamping its internet banking platform and has partnered with IT major Infosys to achieve this.
The bank’s MD and CEO, Salee S Nair, stated that the new internet banking platform will offer over 70 services, allowing customers to satisfy their branch-related requirements online. The bank has also designed a sophisticated net banking platform to enhance digital banking experiences for both retail and corporate clients. The ongoing projects, including website and mobile banking revamps, are expected to be completed in a phased manner within the current financial year.
The bank recently declared its financial performance for the April-June 2025 quarter, registering a 6.27% growth in net profit to ₹305 crore. The reduction in provisions led to the growth in net profit during the June quarter. The bank’s total income rose to ₹1,617 crore during the quarter, compared to ₹1,515 crore in the corresponding quarter of the previous financial year.
Nair noted that the bank is expected to reap the benefits from various initiatives it has taken, including expansion of its branch network, upgrading technology, and focusing on the MSME sector and gold loan portfolio. The bank aims to achieve a growth in deposits of over 10% year-on-year and a growth in advances of close to 15%. The bank’s CASA (Current Account, Savings Account) growth has turned positive, with a growth of 4.51% in the April-June 2025 quarter. Nair expressed confidence that the initiatives taken by the bank will bear fruit and lead to accelerated growth in deposits in the second half of the financial year. The bank hopes to close the financial year with better numbers, driven by the growth in deposits and advances.