RBI Approves Vijay Anandh as City Union Bank CEO

The Reserve Bank of India has approved the appointment of R Vijay Anandh as the next Managing Director and Chief Executive Officer of City Union Bank, marking a leadership transition at one of India’s oldest private sector lenders. The appointment comes at a time when banks are under heightened regulatory and operational scrutiny amid evolving financial conditions.

Regulatory Approval and Tenure Details

In an exchange filing, City Union Bank stated that the approval was conveyed by the Reserve Bank of India through a letter dated February 9, 2026. Vijay Anandh will assume charge as MD and CEO for a period of three years with effect from May 1, 2026. The appointment will be subject to the approval of the bank’s shareholders, in line with regulatory norms governing senior management appointments in private sector banks.

Remuneration and Terms of Appointment

According to the RBI’s approval letter, the remuneration for Vijay Anandh has been fixed at ₹2.50 crore per annum, inclusive of perquisites. The compensation structure is entirely fixed pay, reflecting the regulator’s continued emphasis on prudent executive compensation practices in the banking sector. City Union Bank disclosed the remuneration details as part of its statutory filing to ensure transparency for investors and stakeholders.

Professional Background of Vijay Anandh

Vijay Anandh brings over 28 years of experience in the banking industry, with expertise spanning risk management, portfolio analysis, credit appraisal, and retail banking operations. Before joining City Union Bank, he served as Business and Collections Head for retail asset products at RBL Bank, where he worked closely with the executive director and managing director. He joined City Union Bank as Executive President in 2023 and was elevated to the role of Executive Director in 2024.

Important Facts for Exams

• The Reserve Bank of India approves appointments of MDs and CEOs of private sector banks.
• City Union Bank is one of the oldest private sector banks headquartered in Tamil Nadu.
• Executive compensation in banks is closely regulated to align with risk governance.
• MD and CEO appointments in banks require subsequent shareholder approval.

Leadership Transition at City Union Bank

The appointment follows the completion of the tenure of N Kamakodi, who has served as MD and CEO of City Union Bank since May 2011. His current term concludes on April 30, 2026. The succession plan underscores continuity in leadership, with the bank opting for an internal candidate to steer its next phase of growth under regulatory oversight and changing market dynamics.