Tamilnad Mercantile Bank has revised its Repo Linked Lending Rate (RLLR) to 8.50%, effective October 8, 2026. The new rate represents a 25 basis points increase from the previous rate of 8.25%.

This adjustment applies to all loans linked to the bank's repo rate benchmark. The change was disclosed in a filing to the stock exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Rate revision details

The following table outlines the specific changes to the bank's lending rate structure:

Regulatory compliance

The notification was signed by Swapnil Yelgaonkar, Company Secretary and Compliance Officer, on October 7, 2026. The bank informed both the National Stock Exchange of India and BSE Limited of the revision to ensure transparency for borrowers and investors.

Impact on borrowers

Customers with existing floating rate loans tied to the RLLR will see their interest obligations adjust in line with the new benchmark. This move aligns the bank's pricing with current monetary policy conditions and cost of funds considerations.

Tamilnad Mercantile Bank has announced changes to its board composition following orders from the Reserve Bank of India (RBI). The central bank appointed R. Kannan as an Additional Director and extended the tenure of C.S. Ram Kumar for a further period of two years.

The appointments and extensions are effective from October 4, 2026, through October 3, 2028, or until further orders, whichever is earlier. These actions were taken under sub-section (1) of Section 36 AB of the Banking Regulation Act, 1949. The intimation was filed with stock exchanges on October 1, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Appointment details

The RBI order Ref.No.CO.HGG.DOR.No.S5255/08.55.001/2026-27 appointed R. Kannan, General Manager (Retired), Reserve Bank of India, as an Additional Director. He replaces Visvanathan Srinivasan, General Manager (Retired), Reserve Bank of India, who ceases to be a director effective October 4, 2026.

Kannan holds a postgraduate degree in Commerce (M.Com) and is a Certified Associate of the Indian Institute of Bankers (CAIIB). He brings over 36 years of experience with the RBI, having last served in the Department of Supervision.

Tenure extension

Concurrently, the RBI order Ref.No.CO.HGG.DOR.No.S5245/08.55.001/2026-27 extended the tenure of C.S. Ram Kumar, General Manager (Retired), Reserve Bank of India, as an Additional Director for another two years. Ram Kumar possesses more than 32 years of experience in central banking, with expertise in supervising non-banking financial companies, payment systems, and foreign exchange operations.

Committee memberships

Both directors will serve on key board committees, ensuring continuity in oversight functions:

• Audit Committee of the Board
• Special Committee of the Board for Monitoring and Follow-up of Cases of Frauds
• Risk Management Committee of the Board

The bank confirmed that neither Kannan nor Ram Kumar has any relationship with existing directors or key managerial personnel. They are also not debarred from holding office by any SEBI order.