• Dr. Mallikarjun

The cooperative banking sector in India plays a critical role in advancing financial inclusion, supporting agricultural credit delivery, and strengthening rural economies. At the state level, cooperative apex banks serve as the top-tier institutions, linking district central cooperative banks (DCCBs) and primary agricultural credit societies (PACS) with wider financial markets. Within this framework, the Karnataka State Co-operative Apex Bank Limited (KSCAB), established in 1915, has evolved into a key institution for promoting rural development and sustaining the cooperative credit structure in Karnataka. This study undertakes a performance evaluation of KSCAB using secondary data over a five-year period, focusing on financial indicators, growth patterns, and operational efficiency. The methodology employs trend analysis and ratio analysis, with emphasis on profitability, liquidity, efficiency, and asset quality ratios. Key parameters such as the Cash–Deposit Ratio, Investment–Deposit Ratio, and Credit–Deposit Ratio were analyzed to assess the Bank’s capacity to mobilize resources, manage liquidity, and deploy funds effectively. The findings reveal a steady increase in deposits, reflecting customer confidence and the Bank’s ability to mobilize resources. However, the Credit–Deposit Ratio consistently exceeded 100% from 2014–15 onward, peaking at 146.32% in 2016–17, suggesting aggressive credit expansion beyond deposits and reliance on external borrowings. Liquidity indicators such as the Cash–Deposit and Investment–Deposit Ratios fluctuated sharply, particularly during the demonetization period of 2016, indicating inconsistent liquidity management. While these trends highlight the Bank’s efficiency in credit creation, they also expose risks related to liquidity and asset quality due to potential growth in non-performing assets (NPAs). The study concludes that KSCAB remains a cornerstone of Karnataka’s cooperative banking network, contributing significantly to agricultural finance and rural development. Nonetheless, its long-term sustainability depends on strengthening deposit mobilization, maintaining a balanced approach to liquidity and profitability, and reinforcing governance and credit risk management mechanisms. By addressing these challenges and adopting modern banking technologies, the Bank can enhance its competitiveness and continue to fulfill its mandate of inclusive finance and cooperative sector strengthening.

Karnataka State Co-operative Apex Bank, cooperative banking, performance evaluation, ratio analysis, financial trends; asset quality

"Performance Evaluation of Karnataka State Co-operative Apex Bank Limited: A Ratio Analysis", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.12, Issue 9, page no.f340-f348, September-2025, Available :http://www.jetir.org/papers/JETIR2509544.pdf

"Performance Evaluation of Karnataka State Co-operative Apex Bank Limited: A Ratio Analysis", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.12, Issue 9, page no. ppf340-f348, September-2025, Available at : http://www.jetir.org/papers/JETIR2509544.pdf