The importance of banks is growing every day because banking system is the back born of our financial system and for economic development. Indian banking sector is undergoing a major transformation over the last few years. This transformation brings more effectiveness in banking operations, earns several outstanding achievements and creates healthy competition among various players. Superior performance of the banks is an effective indicator to measure the performance of the economy to a great extent. In this study, efforts have been made to compare the operational efficiency of private sector banks, one of the major constituents of Indian banking system, listed from the state of Kerala using CAMEL model.