Karur Vysya Bank (KVB) recently participated in the "BFSI yatra" Investors Conference organized by ICICI Securities in Chennai, where the bank's top management team engaged with institutional investors and analysts to discuss various aspects of the bank's operations and market position.

Conference Participation

The bank's delegation at the conference included Executive Director Sankar B, Chief Financial Officer R Ramshankar, Chief Risk Officer Jatla Sivaramakrishna, and Head of Commercial Banking Group K P Muthukumar. They met with representatives from 12 prominent firms, including Bandhan AMC, Axis Asset Management, Franklin Templeton, and others.

U.S. Tariff Impact Disclosure

During the conference, Karur Vysya Bank provided insights into its exposure to U.S. tariff-impacted segments:

Strategic Portfolio Management

The bank highlighted its proactive approach to managing potential risks:

• Textile portfolio strategically reduced from 8.00% in March 2021 to 5.43% in June 2025
• Total MSME exposure to U.S. exports: 0.56% of total advances
• Exposure where U.S. exports account for over 60% of borrowers' annual turnover: 0.56% of total advances

Textile Sector Focus

Given the significance of the textile sector in the bank's portfolio:

The bank noted that the impact is primarily seen in Apparel & Home-textile exports, where its exposure is minimal at 0.11%.

Risk Management and Economic Outlook

Karur Vysya Bank emphasized its robust risk management practices:

• Focus on seasoned borrowers, diversified segments, and granularity
• Optimization of risk and reward
• Adequate provisioning for the textile segment, which has faced recent demand pressures

The bank expressed confidence in the resilience of the Indian economy, citing potential strategies to mitigate the impact of U.S. tariffs:

• Strategic shift of exports to other countries
• Increased focus on the domestic market
• Free Trade Agreements (FTAs) with the UK and other economies

As global trade dynamics continue to evolve, Karur Vysya Bank's disclosures provide valuable insights into its risk exposure and strategic positioning in the face of changing economic conditions.

Karur Vysya Bank (KVB) has announced significant developments in its operations, including branch expansion and a revision in lending rates. The bank is set to strengthen its presence in key South Indian cities while also offering more competitive interest rates to its customers.

Branch Expansion

KVB is poised to inaugurate three new branches on September 8, 2025, expanding its network in Tamil Nadu and Andhra Pradesh. The new branches will be located at:

1. Madurai - Chinthamani: No.3/139, Nedungulam Main Road, Chinthamani, Madurai – 625 009
2. Neelambur: No: 1/490, Serayampalayam Road, Neelambur, Coimbatore – 641 062
3. Vadlapudi: D.No.31-27-28/1, Nataraj Plaza, Ground Floor, Vadlapudi, Visakhapatnam – 530 046, Andhra Pradesh

This expansion demonstrates KVB's commitment to enhancing its presence in both established and emerging markets across South India.

Reduction in MCLR Rates

In a move that could benefit borrowers, Karur Vysya Bank has announced a reduction in its Marginal Cost of Funds Based Lending Rates (MCLR). The new rates will be effective from September 7, 2025. The revised MCLR structure is as follows:

The reduction in MCLR across all tenors by 10 basis points (bps) indicates the bank's effort to offer more competitive lending rates to its customers.

Investor Relations

KVB recently participated in the 'Ashwamedh-Elara India Dialogue 2025' Investors Conference organized by Elara Capital Ltd on September 3 and 4, 2025, in Mumbai. The bank's top management, including Managing Director & CEO B Ramesh Babu and Executive Director B Sankar, engaged with various institutional investors and analysts during the conference.

The bank's participation in such events underscores its commitment to maintaining transparent communication with investors and analysts, providing insights into its operations and strategies.

These developments collectively reflect Karur Vysya Bank's focus on expanding its physical presence, offering competitive rates, and maintaining strong investor relations as part of its growth strategy in the banking sector.