Kozhikode is one of the main commercial cities of Kerala. The economy is mainly business oriented. The city currently is the major trade hub of North Kerala with good connectivity through road, rail and air. It also has large timber yards along the banks of the Kallayi River. Kozhikode District, with 8% of the state population, makes 12% contribution to the state's income. Nedungadi Bank, the first and oldest bank in the modern state of Kerala, was established by Appu Nedungadi at Kozhikode in the year 1899.
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