Tamilnad Mercantile Bank (TMB) is targeting a significant increase in its deposit growth, aiming to double its current growth levels, said its MD & CEO Salee S. Nair, while addressing the 102nd Annual General Meeting.

In the chairman’s speech, he said that they are committed to accelerate the growth through collaboration, excellent customer service, compliance and risk management.

“We also aim to scale our banking system and optimise our capital allocation through careful compliance with regulatory frameworks by embarking on digital transformation. Our goal is to create a more agile, customer-centric bank, enhancing services while safeguarding financial stability,” he said.

He also highlighted the banks continued focus on growth and transformation by laying out a comprehensive plan for expansion and digitalisation to drive future growth.

Bank officials said by the end of current fiscal, TMB was aiming for 7% growth in deposits and 15% in advances over FY24. In Q1, the bank had deposits of ₹49,188 crore and advances of ₹40,853 crore.

TMB plans to open 40 new branches across various regions by expanding its footprint beyond Tamil Nadu, with a special focus on the MSME sector, retail growth and digital banking services.

To strengthen the MSME portfolio, the bank has hired a global consultant. In addition, eight MSME hubs have been established, with plans to introduce one hub in each of the 12 regional offices.

The Bank will continue to protect its net interest margin at 4%, with initiatives in place to optimise capital allocation and enhanced operational efficiency, he said.

On Friday, Vincent Menachery Devassy took charge as new Executive Director with a commitment to drive operational excellence of the Bank.