In an exclusive interaction with Express Computer, Sony A, CIO of South Indian Bank, shares his vision for the future of banking — one where technology and trust coexist, and where physical and digital worlds blend seamlessly.
“Our vision is to build a digital twin for the bank, creating a seamless experience across physical and digital worlds,” says Sony A.
This concept of a digital twin lies at the heart of South Indian Bank’s ongoing transformation journey. It’s not merely about adopting technology, but about redefining the bank’s identity in an era where customer behavior, regulation, and risk are continuously evolving through digital innovation.
A Four-Pillar Digital Transformation Framework
At the core of this transformation is a well-defined four-pillar strategy: Indulge, Nudge, Purge, and Forge.
- Indulge – Ensuring every customer journey, from account opening to loan servicing, is fully digital.
- Nudge – Supporting customers who are new to digital banking through relationship managers and on-ground agents.
- Purge – Streamlining operations by eliminating redundant manual processes using RPA, Intelligent Process Automation (IPA), and AI-driven re-engineering.
- Forge – Expanding collaboration with fintechs and NBFCs through API-driven partnerships.
“We’ve built close to ₹1,400 crore in assets through our fintech partnerships in the past nine months,” notes Sony, highlighting how collaboration has become a key growth driver.
Redefining the Bank with a Digital Twin
While the term digital twin is more common in industries like manufacturing or smart cities, South Indian Bank is reinterpreting it for financial services. With 98.5% of all transactions now digital, the bank’s goal is to build a virtual identity that mirrors its physical operations, catering to a generation that may never visit a branch.
This vision goes beyond technology — it’s about creating a bank that evolves with customers, driven by data, insights, and trust.
A Calibrated Approach to Cloud Adoption
Instead of rushing to the cloud, South Indian Bank has adopted a measured, compliance-first strategy aligned with RBI guidelines.
Its three-pronged approach includes:
- Partner Cloud Enablement – Allowing fintech and NBFC partners to operate on cloud infrastructure within the bank’s InfoSec framework.
- Selective Adoption – Using cloud for non-critical workloads like analytics and diagnostics.
- Value-Driven Migration – Moving workloads only when there’s clear cost or performance benefit.
“Our philosophy has been to calibrate, not accelerate,” Sony says — a strategy that has helped the bank avoid unnecessary cloud costs.
Bridging Urban and Rural Digitisation
Rooted deeply in southern India, South Indian Bank focuses on inclusive growth by enhancing digital adoption in both urban and rural markets.
“Rural doesn’t mean digitally backward anymore,” Sony affirms.
The bank leverages digital partnerships to expand reach efficiently while strengthening its presence in regions with strong brand recall.
Collaboration at the Core of New Banking Models
Embracing the idea that collaboration is the new competition, South Indian Bank has built a strong partner ecosystem:
- On the liability side: Fintech integrations enable customers to open “Quick FDs” digitally within minutes.
- On the asset side: Digital journeys with loan service providers (LSPs) support personal loans and co-lending with NBFCs.
“Our quick personal loan platform is fully automated — from lead to disbursement — without human intervention,” Sony explains.
Responsible and Explainable AI
As AI becomes central to decision-making, South Indian Bank prioritizes explainability, fairness, and compliance. The bank follows a two-tier validation process — internal audits and third-party validations — to ensure transparency and trust in AI-led decisions.
“Decisioning AI must be explainable, but detection AI can remain opaque to ensure security,” Sony clarifies.
Resilience and the Rise of Agentic AI
For Sony, resilience is not about perfection but preparedness. The bank designs systems assuming failure can happen — focusing on reducing downtime and maintaining operational continuity.
Looking ahead, agentic AI will play a pivotal role. These next-generation AI systems go beyond chatbots, capable of understanding context, authenticating users, and completing tasks autonomously. Yet, human empathy remains irreplaceable.
“Technology can’t replicate empathy,” Sony says, reinforcing the balance between automation and human connection.
Future-Ready, Rooted in Trust
What truly sets South Indian Bank apart is not just its technology stack but the philosophy behind it — a commitment to calibrated cloud adoption, explainable AI, and inclusive digitisation.
“We’re packaging our digital capabilities not just to keep up, but to be future-ready,” concludes Sony.
South Indian Bank’s journey reflects the essence of a modern Indian bank — one that honors its legacy, embraces innovation, and builds confidently for the digital generations ahead.“
