The Kerala Financial Corporation (KFC) was established by the State Financial Corporations Act of 1951, passed by the Kerala Legislative Assembly, to accelerate the industrial growth of the state of Kerala. The corporation was formally founded as the Travancore Cochin Financial Corporation on 1st December 1953 and was later renamed Kerala Financial Corporation in 1956 following the state's reorganization.
KFC now has 21 branch offices with its headquarters in Thiruvananthapuram. 99.005% of the shares of the Corporation are owned by the Government of Kerala. The main objective of the Corporation is to boost industrial growth in the state by strengthening the MSME industrial sector. The Corporation has sanctioned loans to around 65,000 enterprises to date. The Kerala Financial Corporation is also recognized as one of the best-performing state financial institutions in India