When the scarcity of foodgrains was intensely high in 1960s, the government employees and former alappuzha district collector Mr kaleeshwaran raised this bank to provide rice and other grocery items to government employees at subsidized rates. Thereafter the goverment officials and teachers in Ambalapuzha taluk started renting money from the District Coperative Bank aswellas recieving investment from the bank members too and run chitti to take up many activities including mavelistore.

The bank looks at its continuity and growth...our bank also succeeded in meeting a number of financial and social needs of the government employees , making them their deadliest financial companion. The institute has become a special grade bank with a share capital of 2 crore, Rs 84 crore of investment , Rs 54 crore loan standby, and 86 crore operating cost and divident of 25% for members.Having 8662 A- class members our bank run a branch in Neerkunnam and a Neethi medical store in vandanam