From Financial Inclusion to Digital Disruption : What's Next for Small Finance Banks
- Feb 10
- 2 min read
Episode 3 of CXO Strategy Exchange with Mr. Baskar Babu Ramachandran, CEO, Suryoday Small Finance Bank and Mr. Cyrus Daruwala
In this edition of CXO Strategy Exchange, Baskar Babu Ramachandran, MD & CEO of Suryoday Small Finance Bank, shares how one of India’s most distinctive financial institutions is redefining inclusion at scale.
Founded as a microfinance institution in 2009 and transitioning to a licensed bank in 2017, Suryoday represents a new generation of banks built for India’s aspirational, underserved households. Its growth has been anchored in three core pillars: trust-led relationships, small-ticket “sachet” financial products, and a sharp understanding of customer behaviour in a blended physical-digital environment.
Key Themes from the Conversation
Inclusion, Reimagined
Suryoday’s shift from MFI to full-stack bank enabled it to offer not just credit, but savings and broader financial participation = a structural move that changes long-term customer outcomes.
Phygital Banking at Scale
With digital rails like UPI transforming daily transactions, the bank operates across four distinct customer segments spanning digital-first to branch-led interactions. The operating model is designed to serve each with equal relevance.
Technology as a Trust Multiplier
Through its partnership with Kyndryl, Suryoday has focused on “sweating the technology” building resilient, scalable infrastructure that supports rapid growth while maintaining reliability in a high-trust business.
AI with a Clear Roadmap
Rather than experimentation for its own sake, the bank follows a structured three-phase AI strategy:
Service automation and efficiency
Democratizing expertise across teams
Personalization for every account holder
The Next Growth Curve
The ambition is bold - moving from serving 1% to 5% of Indian households and evolving from transaction processing to becoming a meaningful financial partner and wealth enabler for the mass market.
This episode offers a ground-level view of how banking innovation looks beyond metros, where inclusion, infrastructure, and intelligence converge to shape India’s next financial chapter.
