By Bl Kochi Bureau

Copyright thehindubusinessline

Kerala Finance Minister K.N. Balagopal has called for collaboration between industry and financial institutions to channel capital into the state’s production sector.

CII can play a pivotal role in this area that would drive industrial growth and job creation in the state, the Minister said while inaugurating the Banking and NBFC Summit 2025, organised by CII in Kochi with the theme “From Kerala to the Nation – A Hand in Shaping India’s BFSI Future.”

NBFCs drive MSME growth in Kerala

The summit brought together policymakers, Banking institutions, NBFCs and financial experts to deliberate on the evolving role of Kerala’s financial ecosystem in driving national growth, innovation, and inclusion.

V.K.C. Razak, Chairman, CII Kerala & Managing Director, VKC Footwear Pvt. Ltd., emphasised the vital contribution of NBFCs in nurturing entrepreneurship. NBFCs play a crucial role in supporting regional entrepreneurs, especially MSMEs. With over 1,000 MSMEs contributing ₹100 crore to the mission, the sector continues to be a driving force for local economic growth,” he said.

George Muthoot George, Convenor, CII Kerala Banking & NBFC Panel and Deputy Managing Director, Muthoot Finance Ltd, said that banking and NBFC sectors play a vital role in India’s credit growth, with NBFCs contributing nearly 20 per cent of total lending.

CII-KPMG report highlights Kerala’s financial impact

CII, in association with KPMG in India, released a report titled “Improvisation Driving: How the Financial Services Sector in Kerala Has Grown to Make an Impact and Influence the National Narrative. The report traces the evolution of India’s financial services from a transactional utility to a driver of inclusive growth, technological innovation, and societal resilience, highlighting Kerala’s pivotal contribution in shaping this transformation.

M.P. Vijay Kumar, Executive Director and Group CFO, Sify Technologies, who called for responsible and inclusive finance, said Kerala’s gold loan companies are a classic example of turning idle assets into productive ones that generate income and employment. While several initiatives exist in MSME financing, there remains scope to enhance access to credit.

Vishnu Pillai, Financial Services Technology Leader & Office Managing Partner – Kochi, KPMG in India, spoke on the state’s digital and technological progress.

Senthil Kumar, Co-Convenor, CII Kerala Banking & NBFC Panel & Head – Credit Acceptance, South Indian Bank Ltd, shared insights on the collaborative role of CII and NBFCs in strengthening Kerala’s financial ecosystem, enhancing credit outreach, and supporting the state’s transition toward a more inclusive and technology-driven financial future.

Published on October 10, 2025