History
Co-operative Movement
The history of the co-operative movement in the district can be traced to 1909 when as a result of the enthusiasm of a few pioneers of Puttur, a rural co-operative society was registered under the Co-operative Credit Societies Act of 1909.
In 1913, the Puttur Rural Credit Society Ltd. (subsequently renamed as South Kanara Central Co-operative Bank Ltd.) was established. It has had a fairly prosperous career since its inception.
In 1923, the Labour Department of the Government of Madras first started work in South Kanara and one of its main activities was the organization and working of co-operative societies for the depressed and backward classes. All these societies were financed mainly by the Central Co-operative Bank.
In the subsequent period co-operative Societies have been started in several parts of the district and have provided increasing financial assistance to agriculturists, mainly to meet the annual expenses of cultivation and to repay old debts. Apart from other benefits a good number of deserving persons got loans at reasonable rates of interest for productive purposes. It may be said that to this movement goes, to a considerable extent, the credit of reducing the rates of interest throughout the district and rescuing many people from the clutches of professional money-lenders.
In 1907, the Madras Government appointed the Townsend Committee, which examined the progress, made by the movement and made recommendation; for its further development. Basing on this scrutiny the Government enacted a separate legislation in respect of co-operative societies and in 1932 the Madras Co-operative Societies Act and in 1934, the Madras Land Mortgage Banks Act were passed. In 1939, the Vijayaraghavachari Committee on Co-operation gave a valuable report for improving the working of the co-operative institutions. Banking has made its mark in this region. The five banks that originated here have flourished and have come to be known all over India and also abroad.
Banking in Dakshina Kannada
The district has contributed significantly to the growth of banking activities in the country. Many banks have been started here and Corporation Bank, a nationalised bank and the Karnataka Bank have their headquarters in Mangalore. The Headquarters of Syndicate Bank is in Manipal, just 70 Km from Mangalore. Canara Bank and Vijaya Bank were also started here but later shifted their head office to Bangalore.
The special feature of the banking activity of the district is that every small village has a branch of a bank and this encourages the public to involve in banking activity. All major banks have been providing round-the-clock ATM services in selected places. All nationalized and national level banks in the country have their branches in this district and their banking services are very satisfactory. These banks have been encouraging the habit of saving among the people and go out of their way to offer financial inclusion. In addition to these national level banks the district has sheltered many local banks as well as co-operative banks and co-operative societies that are involved in non-banking services.