Kaveri Grameena Bank was a Regional Rural Bank (RRB) headquartered in Mysuru, Karnataka, India. Sponsored by State Bank of India, it operated across several districts of southern Karnataka, providing banking and credit services primarily in rural and semi-urban areas. The bank ceased to exist as an independent entity following the consolidation of regional rural banks in Karnataka.
| Type | Regional Rural Bank (RRB) |
|---|---|
| Status | Former; merged into a successor RRB |
| Headquarters | Mysuru, Karnataka, India |
| Sponsor bank | State Bank of India |
| Area of operation | Districts of southern Karnataka |
| Country | India |
Regional Rural Banks were established in India under the Regional Rural Banks Act, 1976 to provide institutional credit to small and marginal farmers, agricultural labourers, artisans, and small entrepreneurs in rural areas. Each RRB is jointly owned by the Government of India, the concerned State Government, and a sponsor commercial bank, in the shareholding ratio of 50:15:35. The Reserve Bank of India regulates RRBs while the National Bank for Agriculture and Rural Development (NABARD) supervises them.
Kaveri Grameena Bank was formed through the amalgamation of earlier RRBs operating in the Mysuru region of Karnataka, in line with the Government of India's policy of consolidating smaller rural banks into financially stronger units. With Mysuru as its base, the bank's branch network extended across districts in the Cauvery (Kaveri) basin region of southern Karnataka, from which it drew its name.
As a sponsored entity of State Bank of India, the bank offered savings and current accounts, fixed deposits, agricultural loans, Kisan Credit Cards, self-help group financing, micro, small and medium enterprise (MSME) loans, and government-sponsored scheme disbursements. Like other RRBs, it played a role in financial inclusion programmes such as the Pradhan Mantri Jan Dhan Yojana and direct benefit transfers.
As part of the Government of India's continuing exercise to consolidate Regional Rural Banks state-wise — implemented in successive phases by the Ministry of Finance — the RRBs operating in Karnataka were merged into a single state-level entity. Kaveri Grameena Bank was amalgamated with the other Karnataka-based RRB to form a unified rural bank for the state, after which Kaveri Grameena Bank ceased to function as a separate institution.
During its years of operation, Kaveri Grameena Bank was an important channel of formal credit in the agrarian economy of southern Karnataka, particularly serving farmers in the Cauvery basin engaged in paddy, sugarcane, and horticultural cultivation. Its branch network supported priority sector lending targets and the delivery of subsidised credit and welfare benefits in rural areas.