Failure of a bank has serious connotations for effectiveness of the financial system in an economy. Therefore, corporate governance of banks needs special attention and it ushers the need to measure Corporate Governance Index and examine the relationship between Corporate Governance Index and Financial Performance of Banks. Data was collected from annual reports to examine the CGI and Financial Performance of banks. Data was analyzed by using independent sample ‘t’ test and correlation analysis. The results indicated that Canara Bank and South Indian Bank are following corporate governance mechanism. There is a significant difference among Canara Bank and South Indian Bank concern with profitability ratios other than Earnings per share and Price earnings ratio. On the other hand CGI of the Canara Bank and the South Indian Bank is insignificantly associated with the financial performance of the banks during the research period (2015-2016 to 2019-2020).