In his message to shareholders, MD & CEO Ajith Kumar KK said the bank will also emphasise growth in CASA deposits, gold loans, product innovation, and liability franchise building, alongside branch expansion and employee upskilling.

Dhanlaxmi Bank plans to step up its focus on retail and MSME (micro, small and medium enterprise) segments to mitigate the impact of corporate investment slowdown and to boost interest revenue.

“Looking ahead, we will continue to focus on expanding our market share in CASA (Current and Savings Accounts), retail loans, MSME and gold loans, product innovation and building a strong liability franchise....We are focusing on enhancing productivity, investing more in technology and leveraging on it, branch expansion and upskilling of employees. Investing in human resources and developing their core competencies will be a key growth driver as we move forward,” said Ajith Kumar KK, Managing Director & CEO, in a communication to shareholders.

Of the total advances of ₹12,482 crore as of June-end 2025, retail advances accounted for 74 per cent of the total, and the balance was corporate advances.

Bank plans more branches in Tier 2 and Tier 3 cities

Kumar noted that in the next two years, the Thrissur-headquartered bank plans to add more branches in Tier 2 and Tier 3 locations, subject to regulatory approvals. Currently, it has 261 branches.

As part of its way forward strategy, the bank is eyeing more corporate relationships for a strong CASA ratio. CASA deposits accounted for 28.21 per cent of total deposits of ₹16,570 crore as of June-end 2025 against 31.19 per cent as of June-end 2024.

Digital banking transactions rise

In its latest annual report, the bank said it is seeking business growth through digital channels and leveraging fintech opportunities. The share of digital banking transactions rose to 89.70 per cent as of June-end 2025, compared to 81.21 per cent as of June-end 2024.

“The focus on digital transformation has paid off with a notable increase in online transactions. Our digital transformation agenda continues to remain as a key priority. The retail and MSME segments have driven the credit growth. We could also ensure strict regulatory compliance with a robust risk management framework,” said Kumar.

Published on September 8, 2025