The principal crops of the Alappuzha district are paddy and coconut. Paddy cultivation is centered around kuttanad belt . It is only in kuttanad where paddy is being cultivated in the fields lying up to 2.5 meters below sea level. Reclaimed land which is unique in kuttanad region with a network of canals and rivers surrounded by cultivated land popularly known as PADASEKHARAMS. For cultivation in those padasekharams, land has to be reclaimed every year which is a master piece of private entrepreneurs undertaken by adventurous farmers with splendor resources and crude techniques. In the earlier days, Such land reclamations are undertaken with private finance. In pre monetized kuttanad reclamation and other agricultural activities were completely under the barter system, in which farmers received loans from private moneylenders in terms of paddy and paid back their loans also in terms of paddy . After that, the Tamil Brahmins ( Moncombu Brahmins) penetrated into kuttanad belt who came as mere traders gradually became the money lenders of region.In the absence of regulated banking activities, the kuttanad farmers had to bank on the moncombu Brahmins and had the stories of exploitation. Eventhough the money lending activities of tamil Brahmins disappeared, the economy of alleppey began to bank on certain local organizations controlled by NSS and SNDP etc stepped into the economical activites as part of their social reform programmes.
During the twenties of 20th century, there was a general awakening among various communities for social and political equality. Most of the communities have resorted to various measures for improving the conditions of its members. To solve the problems of coconut farming, a peculiar system known as Kettuthengu came into vogue. The genesis of co-operative movement in the region can actually traced back to the above scheme. Thus the vacuum due to the disappearance of moncombu Brahmins was filled by social organizations. This system is in vogue till the immediate past in many of the rural areas of the district
The co-operative banking system of Travancore can be traced back to 1914. In 1914, the then Maharaja of Travancore, his highness The Moolam Thirunal Ramavarma, by his proclamation introduced the “Travancore Co-operative Societies Regulation Act”. Under the Act, the first cooperative society in travancore- The Trivandrum Central Cooperative Bank - was registered in the year 1915. Later, in 1943, the Trivandrum central Co-operative bank was converted into the ‘Travancore Central Cooperative Bank’ with a federal character, for the entire Travancore State. In 1949, the Travancore and Cochin state were integrated and thereby Travancore Cochin State was formed. At that time Travancore Co-operative Societies Act 1914 was applicable to the Travancore state and Cochin Co-operative Societies Act 1913 was applicable to Cochin State. In order to integrate the co-operative laws the Travancore Cochin Co-operative Societies Act 1951 came into force with effect from 01.09.1952 . This was applicable to the entire Travancore, Cochin state and old Acts were replaced. Then the Travancore central Co-opearative Bank was reorganized as a state co-operative Bank for Travancore cochin state in 1954. After the formation of Kerala State in 1956, State Co-operative Bank for Travancore cochin state was transformed to Kerala State Co-operative Bank to cater the needs of farmers and cultivators in various parts of the state. Then Branches of Kerala state were opened in Trivandrum, Kollam and Alappuzha in 1957.
The Second Five-Year Plan (1956-1961), emphasized “building up a cooperative sector as part of a scheme of planned development” as being one of the central aims of National Policy. Co-operative Movement in the country was received a boost during this period and formation of District Central Co-operative Banks were envisaged. Subsequently Alleppey Branch of Kerala State Co-operative Bank converted to Alleppey District Co-operative Bank Ltd No.4310 which was registered under Kerala Co-operative Societies Act X of 1952 with effect from 31.07.1959 and started functioning from 01.09.1959 with its headquarters at alappuzha. Area of operation of the bank was confined to Alappuzha District Only. 180 primary co-operative societies and 6 individuals were members of the Bank. At its inception, bank had share capital of 1.67 lakhs, deposit of Rs.53000 and loan from apex bank of Rs.11.27 lakhs . Thus the initial working capital of the bank was 13.47 lakhs. The establishment of Alappuzha district Co-operative bank was a great step towards financing of advances to needy cultivators at low interest rate. Agricultural loans are channeled through affiliated primary co-operatives in the district which was a real achievement of the bank.
Now, As per the financial statements as on 31.03.2016, Alappuzha District Co-operative Bank has grown up with a total business of Rs.4140.54 crores comprising of Deposits of Rs.2684.63 crores and advances of Rs.1455.91 crores. Bank has flourished with network of fully computerized 55 branches which are functioning in every nook and corner of the district. Membership and share capital of the bank has raised to 1189 numbers and 100.68 crores respectively. As per Lead Bank Statistics, ADCB plays a vital role in Banking scenario of the district with third position in market share ( 10.74% of total banking business). Bank’s CD ratio is 54.23%. Bank has also transformed its mode of service to the tune of technological development in the banking sector and also to face challenges from other banks functioning in the district. ADCB now working with most sophisticated technological atmosphere by implementing Core Banking , Any Branch Banking, RTGS/ NEFT Facility, Cheque Truncation System, SMS Alert system, ADCB RUPAY Card etc. Any Account holder of the bank can make cashless payments by using ADCB RUPAY Card. Bank provides loans to members and non-members. New loan schemes are designed to cater the different needs of ordinary people in the district. As a middle layer of the co-operative credit structure in the district, bank takes steps to strengthen the working of Primary co-operatives in the district.