Your Bank’s Board of Directors is pleased to present the Report on the Bank’s business and operations for the financial year ended March 31, 2022.

The COVID-19 pandemic continued to af_ict the lives of people across the world in the Financial Year (FY) 2021-22. Mutations of the coronavirus caused second and third waves in India which saw exponential surge in infection rates. However, these waves had a limited impact on the economy as compared to the first wave on account of largely localised restrictions which allowed for a semblance of normal operations by various sectors of the economy. Furthermore, proactive measures taken by the Government of India (GoI) and the Reserve Bank of India (RBI) shielded the vulnerable segments of the populace and businesses against the excesses of the economic impact of the pandemic. The policy support helped in steering the economy towards the path of recovery as is evidenced by a real Gross Domestic

Product (GDP) growth of 8.7% in FY 2021-22 as compared to a contraction of 6.6% in FY 2020-21. Notwithstanding the impact of the resurgent waves of the pandemic, the banking sector continued to be resilient, aided by structural reforms taken by the Government of India (GoI) in the recent years as well as measures announced by the policymakers in the wake of the pandemic. Despite this, the continued uncertainty due to the pandemic and dented consumer & business sentiments weighed down the credit growth to some extent for a substantial part of the year. It is essential to view the financial performance of your Bank in the backdrop of these developments for a nuanced perspective.

FINANCIAL HIGHLIGHTS

As on March 31, 2022, your Bank’s aggregate deposits and advances touched Rs. 2,33,134 crore and Rs. 1,45,772 crore, respectively. Your Bank’s business highlights for the period under review are presented in Table 1.

Table 1: Key Financials

(Rs. in crore)

During the year under review, your Bank’s total income amounted to Rs. 22,985 crore, comprising interest income of

Rs. 18,295 crore and other income of Rs. 4,690 crore. Interest expenses stood at Rs. 9,133 crore and operational expenses at Rs. 6,357 crore, accounting for total expenditure (excluding provisions and contingencies) of Rs. 15,490 crore.

Total provisioning of your Bank decreased for the year due to lower provisioning towards standard assets in the year under review which was offset by increase in provisioning for Non-Performing Assets (NPAs) due to lower reversal of provisions in comparison with previous year. The provisions include Rs. 3,252 crore towards provision for NPAs, bad debts written-off and investments. The increase in Net Interest Income (NII), other income and reduction in provisions enabled the Bank to earn a net profit of Rs. 2,439 crore during FY 2021-22. While the Earnings per Share (EPS) during the year were

Rs. 2.27, the Book Value per Share (excluding intangible assets and Deferred Tax Asset (DTA)) stood at Rs. 18.35 as at end-March 2022. The Board of your Bank has not recommended any dividend for FY 2021-22.

REPORT ON THE PERFORMANCE AND FINANCIAL POSITION OF SUBSIDIARIES & JOINT VENTURE INCLUDED IN THE CONSOLIDATED FINANCIAL STATEMENT AS ON MARCH 31, 2022

# - The financials of three associates, viz. North Eastern Development Finance Corporation Ltd. (25%), Biotech Consortium India Ltd. (27.93%) and Pondicherry Industrial Promotion Development and Investment Corporation Ltd. (21.14%) are not considered for consolidation on account of non-receipt of Financial Statements for FY 2021-22 and in case of one Associate, National Securities Depository Ltd. (26.10%), the financials has been taken up to December 2021, impact of which on Consolidated Financial Statements is not material. In case of the Associate, Pondicherry Industrial Promotion Development and Investment Corporation Ltd., the investment in the said company has been written down to Rs. 1.

MATERIAL CHANGES AND COMMITMENTS, IF ANY, AFFECTING FINANCIAL POSITION OF IDBI BANK WHICH HAVE OCCURRED DURING THE END OF FINANCIAL YEAR AND THE DATE OF BOARD REPORT

There were no material changes and commitments affecting the financial position of the Bank, which occurred between the end of the financial year, i.e. March 31, 2022 and the date of the Directors’ Report.

THE DETAILS IN RESPECT OF ADEQUACY OF INTERNAL FINANCIAL CONTROLS WITH REFERENCE TO THE FINANCIAL STATEMENTS

According to Section 143(3)(i) of the Companies Act 2013, the report of the Statutory Auditors should state whether the Bank has adequate Internal Financial Controls (IFCs) system in place and what is the operating effectiveness of such controls in the context of the financial statements. The IFCs, as referred to in Section 143(3) (i) of the Companies Act, relate to Internal Financial Controls Over Financial Reporting (IFCO-FR). The Bank’s Management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by it, considering the essential components of internal control stated in the Guidance Note on Audit of IFCO-FR issued by the Institute of Chartered Accountants of India (ICAI). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to the Bank’s policies, safeguarding of its assets, prevention and detection of frauds and errors, accuracy and completeness of the accounting records, and timely preparation of reliable financial information, as required under the Companies Act, 2013, the Banking Regulation Act, 1949 and the guidelines issued by the RBI. Your Bank has put in place an IFCO-FR Framework for evaluation of the existing internal financial controls system and appointed a Consultant for validating the compliances with respect to the documentation, certification, reporting process of the controls across all business verticals/ departments and ascertaining the adequacy and effectiveness of the controls in the Bank in all material respects with respect to financial reporting. During FY 2021-22, the Consultant has submitted the Internal Compliance Certificate for all the quarters of FY 2021-22 after carrying out the testing and validation of all the underlying processes as per the Bank’s IFCO-FR framework. The Consultant reviewed the compliance of all the 591 Risk Control Matrices as on March 31, 2022 and reported four open issues for further compliance. The departments concerned are working closely for addressing these open issues.

DETAILS OF SIGNIFICANT CHANGES (I.E. CHANGE OF 25% OR MORE AS COMPARED TO THE IMMEDIATE PREVIOUS FINANCIAL YEAR) IN KEY FINANCIAL RATIOS, ALONG WITH A DETAILED EXPLANATION THEREOF, INCLUDING:

CAPITAL ADEQUACY

In adherence to the Pillar 1 guidelines of the RBI under Basel III framework, your Bank computes regulatory capital requirement for credit, market and operational risks on a quarterly basis. As per the Basel guidelines, banks in India are mandated to maintain the Capital Conservation Buffer (CCB) in a phased manner commencing from March 31, 2016.

In line with RBI’s notification dated February 5, 2021, your Bank has implemented the last tranche of Capital Conservation Buffer (CCB) with effect from October 1, 2021. Accordingly, the minimum regulatory requirement of ‘Total Capital + CCB’ was 11.50% as on March 31, 2022. Your Bank’s ‘Total Capital

+ CCB’ ratio was 19.06% as on March 31, 2022. Similarly, your Bank’s ‘Common Equity Tier 1 (CET1) + CCB’ ratio was 16.68% as against the regulatory requirement of 8.00%. Your Bank’s ‘Tier 1 + CCB’ ratio stood at 16.68% as on March 31, 2022 as against the regulatory requirement of 9.50%. Your Bank’s Leverage Ratio as on March 31, 2022 was 7.42% against the minimum regulatory requirement of 3.50%.

BUSINESS STRATEGY

The second wave of the pandemic in India, which peaked during the months of April 2021 and May 2021, saw lakhs of citizens in the country being affected by the coronavirus. In order to curb the spread of the virus, various State Governments re-imposed restrictions at localised levels, which permitted several economic activities to continue as usual, albeit at a smaller/ contained scale, in adherence with

COVID-19 protocols. The policymakers also continued to extend targeted policy support to the vulnerable sections of the society to minimise the economic impact of the pandemic on the lives and livelihoods of individuals. Against this backdrop, your Bank continued to remain committed towards its core objective of ensuring customer delight by serving its customers with a bouquet of products and services for meeting their banking and financial requirements. Considering the pandemic-led restriction on physical movement, various business enablers were put in place by the Bank to extend uninterrupted and seamless banking services to its customers, thereby enhancing its operational resilience. Equipped with the experience gained during the initial phase of the pandemic, the Bank was able to adopt a more targeted approach by _ne-tuning its product and services to align with the emerging expectations and preferences of its customers and to ensure a holistic banking experience. Thus, it is evident that the measures initiated by the Bank in the previous financial year to navigate through an environment disrupted by the outbreak of the pandemic gained further traction in FY 2021-22. Apart from displaying operational flexibility, the Bank also exhibited tangible improvements in its business and financial performance. The FY 2021-22 started on a strong footing with the Bank further consolidating its position aided by robust fundamentals as also improvement in its business prospects upon the removal of restrictions placed on it with the Bank’s exit from the RBI’s Prompt Corrective Action (PCA) framework in March 2021. The strategic imperatives pursued by the Bank within the broad contour of the overall business strategy paved the way for a broad-based turnaround in its performance during the year. In consonance with its overarching agenda of positioning itself as a retail-oriented bank, the Bank augmented the share of loans to retail and small & medium-sized enterprises in its total asset book. At the same time, the Bank also pursued growth in the corporate credit book, especially in the mid-size units, in a risk-calibrated manner. Towards this end, the Bank exercised caution while augmenting the asset portfolio (both retail and corporate) by taking into consideration the associated risk parameters. On the liability side, your Bank continued to boost the share of its low-cost deposit base, i.e. CASA deposits and retail term deposits to the total deposits while strategically lowering the reliance on bulk term deposits. The strategic imperatives adopted by the Bank on the asset and liability front aided in reduction in the key cost parameters, viz. cost of funds and cost of deposits. In addition to this, the Bank continued to realise the full potential of the business synergies arising from its association with the Life Insurance Corporation of India (LIC), which aided in further improving its income. The measures to augment its income were aptly supported by cost rationalisation measures to strengthen its bottom-line.

Taking cognisance of the importance of asset quality in ensuring a stable and profitable growth path, your Bank continued to emphasise on improving its asset quality with special focus on maximising recovery and up-gradation efforts of its delinquent asset portfolio through legal and regulatory routes in a bid to resolve the existing stress in its asset book. Dedicated teams set up for both corporate and retail portfolio accelerated the overall recovery process. In order to closely monitor the onset of stress in the portfolio and also prevent further slippages in its asset quality, the Bank also undertook proactive measures to strengthen its credit monitoring mechanism. These measures initiated by the Bank aided in reducing incipient stress, limiting slippages and enhancing its credit quality. Your Bank also undertook measures to further strengthen its Risk Management and Corporate Governance framework. Furthermore, your Bank also continued to promote a strong compliance culture by promoting and ensuring meticulous adherence to key laws, rules, regulations, internal policies and procedures and various codes of conduct, to maintain its reputation and win the trust of customers, investors and regulators.

These strategic measures were supplemented by a number of structural and systemic improvements, such as organisation restructuring, investment in technological up-gradation, augmenting data analytics prowess, further digitalisation of both internal as also customer-facing processes, introduction of innovative products & services, numerous employee-friendly initiatives, etc. The cohesive measures taken by your Bank paved the way for a holistic turnaround of the Bank in FY 2021-22.

KEY BUSINESS INITIATIVES

Customer centricity is at the core of your Bank’s business strategy. Your Bank, through its physical touch-points of 1,886 branches, 3,403 ATMs and 58 e-lounges, offers a wide range of banking products and services to cater to the emerging financial and investment requirements of its diverse customer base. Apart from _ne-tuning its existing bouquet of products and services, your Bank also introduced a number of innovative banking solutions in line with the changing business landscape and evolving customer preferences. Your Bank further leveraged the increased digital adoption by the customers by broad-basing its digital offerings and contactless solutions. Furthermore, your Bank also automated and digitised its processes to ensure seamless banking services and enhanced ease of banking, thereby offering a holistic customer experience. In alignment with the changing business landscape, your Bank proactively strengthened and revamped its digital infrastructure and capabilities for smooth, convenient, safe and secure ‘Anytime, Anywhere’ banking experience for its customers. Your Bank also established a forward looking approach towards cyber security to reinforce its vision of being the preferred and trusted bank for all its stakeholders.

Your Bank continued to target a progressively larger retail business portfolio in alignment with its overall business strategy of positioning itself as a retail-focussed bank by offeringawiderangeofretail-centricproductssuchasHousing Loans, Loan against Property, Personal Loans, Education Loans, Auto Loans, Loan against Securities, MSME Loans, Agri Loans, Gold Loans, among others. In order to ensure a faster turn-around time, your Bank processes these loans on an Automated Loan Processing System. Furthermore, the Bank also embarked on several IT initiatives for ensuring better customer experiences.

Your Bank continued to contribute significantly towards Priority Sector Lending (PSL) as mandated by the RBI by focussing on lending to Micro Enterprises, Direct Agri Non-Corporate (DANC) and Small & Marginal Farmers (SFMF). Your Bank also leveraged its Business Correspondent (BC)/ Business Facilitator (BF) channel to expand its reach, especially in the rural and semi-urban areas. Your Bank also entered into co-lending agreements to ramp up its Priority Sector Lending (PSL) portfolio. Your Bank is taking concerted efforts to further the objective of financial inclusion by ensuring convenient access to appropriate financial products & services to the vulnerable and financially excluded sections of the society at affordable cost in a fair and transparent manner. Your Bank has been making extensive use of technology and promoting financial literacy to ensure inclusive growth. Your Bank has been also extending loans under various social security schemes and initiatives of the Government of India.

In addition to meeting the financial requirements of its Retail, Agri and MSME (RAM) customers, your Bank endeavoured to cater to the financing needs of its corporate clientele in a risk-calibrated manner by extending term loans, working capital loans, packing credit and post-shipment credit to exporters, bill discounting, intra-day limits, channel financing & vendor financing, lending to Non-Banking Financial Companies (NBFCs) for on-lending to customers from the Priority Sector Lending (PSL) segment, etc. Your Bank leveraged the business synergies with the Life Insurance Corporation of India (LIC) by offering a wide array of innovative, specialised/ customised products and services to the employees, agents and subsidiaries of the LIC for meeting their banking and investment requirements.

Your Bank has a dedicated Trade Finance Department, which offers a wide range of products and services to its large corporate, mid corporate and retail customers at competitive pricing. The Bank also undertook a number of IT initiatives to make the transactional executions error-free and faster. With a view to benefitting from the emerging usage of Distributed Ledger Technology (DLT) in the sphere of Trade Finance, your Bank became one of the equity holders in Indian Banks’ Blockchain Infrastructure Co. Pvt. Ltd. (IBBIC), which is expected to facilitate in building processes to digitise and automate inter-organisation trade finance operations. Your Bank instituted effective system control mechanisms to mitigate cyber fraud risk in cross-border payments. Your Bank acts as an agent of the RBI in handling receipt and payment transactions of the Central Government and the State Governments. Your Bank is authorised to collect Central Government taxes, offer Small Savings Schemes, and to disburse Central Civil, Defence and Railway Pensions. Your Bank is active in collection of State Receipts in 14 States and two Union Territories. Your Bank also provides 24x7 internet banking facilities for tax payments. Your Bank offers customised and comprehensive range of Cash Management Services (CMS) for collection, payment and transaction banking solutions to suit the varied needs of the corporates. Your Bank offers various solutions like National Automated Clearing House (NACH), Virtual Account Facility, utility payments, direct debit facilities and other customised e-solutions that are technologically integrated (Host-to-Host) with client systems. Your Bank added two new digital products for corporates and with institutions, i.e. Corporate Liquidity Management Solutions (C-LMS) and Government Liquidity Management Solution (G-LMS) to cater to the liquidity management needs of corporates/ institutions. Among other services, your Bank is authorised to participate in e-freight payment system of the Indian Railways and for FASTag issuance and FASTag Acquiring Business. Your Bank also offers CMS collection and payment services to the LIC’s branch offices, divisional offices, Pension & Group Schemes (P & GS) offices, Individual Pension Policy (IPP) offices and other offices. Your Bank’s Treasury caters to the requirements of its corporate and retail clients by effectively marketing foreign exchange, fixed income and derivative products and also providing them with solutions to effectively manage their exposures. Your Bank also advises its clients on their investment in debt instruments (Government Securities, Non-Statutory Liquidity Ratio (NSLR) Bonds, etc.) through Constituents’ Subsidiary General Ledger (CSGL) accounts. Your Bank has also set up a dedicated Financial Institutions Group (FIG) to focus on domestic and foreign Financial Institutions (FIs) for offering various products/ services of the Bank. This group acts as a coverage group for offering products/ services relating to trade, cash management services, payments, forex, derivatives, money market and retail banking. The FIG also engages with the FIs for increasing the breadth of coverage and deepening the FI business.

Your Bank has been increasingly using data analytics and Machine Learning (ML) to improve its capabilities for customer acquisition and retention, to launch customised campaigns based on the analytics-driven input; to recommend business solutions for addressing complex business problems and issues; for assessment of credit risk and business potential; and taking corrective action with respect to loan accounts on a real-time basis with a focussed approach etc. Data analytics has aided the Bank in not only augmenting its business, NPA prediction, loan recovery and churn reduction but has also aided in number of process re-engineering. The detailed description of the Bank’s initiatives undertaken during the year is outlined in the Management Discussion and Analysis section of the Annual Report.

IMPACT OF THE COVID-19 PANDEMIC ON THE BANK’S BUSINESS

During FY 2020-21, the COVID-19 pandemic resulted in nation-wide lockdown during April–May 2020 period which substantially impacted the economic activity in the country. The subsequent easing of lockdown measures led to gradual improvements in the pace of economic activity and resulted in shift towards normalcy in the second half of FY 2020-21. In FY 2021-22, India witnessed two more waves of the pandemic and the re-imposition of the localised/ regional lockdown measures in certain parts of the country. At present, there has been a gradual lowering of COVID-19 cases and the countries around the world are witnessing a gradual revival in their economies, including India. The Bank has geared itself on all fronts to meet the challenges imposed by the pandemic. The Bank’s capital and liquidity position is strong and would continue to be the focus area for your Bank.

BOARD OF DIRECTORS

Your Bank’s Board of Directors is broad-based and its constitution is governed by the provisions of the Banking Regulation Act, 1949, the Companies Act, 2013, the Articles of Association of the Bank and the requirements of Corporate Governance, as envisaged in the Securities and Exchange Board of India (SEBI) (Listing Obligations and Disclosure Requirements) Regulations, 2015 (LODR Regulations). The Board functions directly as well as through various Board-level committees constituted to provide focussed governance in the important functional areas of the Bank. As per the Articles of Association, the Board of Directors shall not be less than three and more than _fteen members consisting of a Chairman appointed by the Board, one Whole-time MD & CEO and two DMDs to be appointed by the Board, two Nominee Directors of the

LIC, two Nominee Directors of GoI and eight Non-rotational Independent Directors (including the Chairman and one Woman Independent Director).

As on March 31, 2022, the Board comprised of fourteen Directors, viz., Shri M. R. Kumar, Non-Executive Chairman, ShriRakeshSharma,MD&CEO,ShriSamuelJosephJebaraj and Shri Suresh Khatanhar, DMDs, as Whole Time Directors; Shri Anshuman Sharma, as Government Nominee Director and Shri Mukesh Kumar Gupta, LIC Nominee Director, as Non-Executive Directors; Shri Gyan Prakash Joshi, Shri Bhuwanchandra B. Joshi, Shri Samaresh Parida, Shri N. Jambunathan, Shri Deepak Singhal, Shri Sanjay Gokuldas Kallapur, Smt. P. V. Bharathi and Shri T. N. Manoharan as Independent Directors. The strength of 14 (fourteen) Directors on the Board as on March 31, 2022 meets the requirement provided under Article 114(a) of the Articles of Association of the Bank.

APEX COMMITTEES

The Board has a total of thirteen committees to oversee various functional areas of your Bank’s business and operations. The Board committees include Audit Committee of the Board, Executive Committee, Nomination

& Remuneration Committee, Stakeholders’ Relationship Committee, HR Steering Committee, Frauds Monitoring Committee,RecoveryReviewCommittee,RiskManagement Committee, Corporate Social Responsibility Committee, Non-Cooperative Borrowers’ Review Committee, Customer Service Committee, Wilful Defaulters’ Review Committee and Information Technology Strategy Committee.

CORPORATE GOVERNANCE

Your Bank is committed to adopt the best Corporate Governance practices. It believes that effective Corporate Governance is not just a requirement for regulatory compliance, but also a facilitator for excellence in governance including enhancement of stakeholders’ value. The details of your Bank’s Corporate Governance practices are given in this Annual Report as a separate section under the Corporate Governance Report.

BUSINESS RESPONSIBILITY REPORT

As per Regulation 34 of the Securities and Exchange Board of India (SEBI) (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Bank’s Business Responsibility (BR) Report for FY 2021-22 has been hosted on its website under the link (https://www.idbibank.in/business-responsibility-report.asp). The BR Report describes initiatives taken by the Bank from an environmental, social and governance perspective.

STATEMENT UNDER SECTION 134 OF THE COMPANIES ACT, 2013 READ WITH RULE 5 OF THE COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL) RULES, 2014

There were no personnel in your Bank’s service, during the financial year under review, who received remuneration of over Rs. 1.02 crore annually. Besides, there were no personnel in the service of the Bank for a part of the year who received remuneration in excess of Rs. 8.50 lakh per month. Further, there were no personnel employed throughout the financial year or part thereof who was in receipt of remuneration at a rate, which in the aggregate, was in excess of that drawn by Managing Director & CEO or Deputy Managing Directors of the Bank and who held by himself or along with his spouse and dependent children, not less than 2% of the equity shares of the Bank.

STATEMENT UNDER RULE 5(2) OF THE COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL) RULES, 2014 FOR YEAR ENDED MARCH 31, 2022 – DETAILS OF TOP TEN EMPLOYEES

The above list does not include employees sent on deputation whose salary is reimbursed by the other companies.

a) Conservation of Energy

Your Bank took several measures for conservation of energy. For instance, the Bank replaced conventional light fixtures with energy efficient LED light fixtures, lamps & tubelights at the Bank’s Head Office building at Mumbai as well as all other office and residential buildings of the Bank in order to conserve power. The Bank is fitting new signages at its branches with LED lights in place of conventional power-consuming light fixtures. For all new or refurbished branches, your Bank is using LED lights in place of conventional lights. The Bank built water harvesting facility in the new residential buildings constructed at the Jawaharlal Nehru Institute of Banking and Finance (JNIBF), Hyderabad.

b) Technology Absorption

Your Bank has been proactively evaluating and absorbing the latest technology-based innovations that have potential to empower its business functions, enrich its customer experience and optimise its readiness towards opportunities and challenges of the future. A few noteworthy technology-driven reforms adopted by your Bank include enhancing the capabilities of Video KYC Account Opening (VAO) process to offer digital convenience to the customers to open savings bank accounts and implementing the Digital Rights Management (DRM) solution for protecting customer data shared with vendors providing various services. Your Bank further strengthened its IT infrastructure with the industry standard technologies that includes Software Defined Wide Area Network (SD-WAN) which is in an advanced stage of implementation and further implementing new-age security technologies (Security Orchestration, Automation & Response

(SOAR), Network Behaviour Anomaly Detection (NBAD), Packet Capture (PCAP), User & Entity Behaviour Analytics (UEBA) & Threat Intelligence Platform (TIP)) for building a Next Generation Security Operations Centre (SOC) at both Data Centre (DC) & Disaster Recovery (DR) site. Further, your Bank is also procuring an enterprise solution for IT Operations Management and also initiated a process of implementation of Integrated Collection & Recovery Module.

Your Bank upgraded the Core Banking Servers to the latest hardware, which brings about improved performance and resilience. Your Bank upgraded the entire private cloud hardware and software to meet the increasing needs of the business for Just-in-Time provisioning of IT infrastructure resources. Your Bank is now running the latest analytics solution and has set it up using the latest storage and server hardware and building IT infrastructure to set up state-of-the-art Application Programming Interface Management (APIM) micro-services platform. Your Bank conducted periodic Disaster Recovery (DR) drills for critical IT systems that ensured seamless availability even in the midst of the COVID-19 pandemic and mitigated the risk of disruption of IT services.

On the data refinement and enrichment fronts, your Bank successfully implemented Automated Data Flow (ADF) application and is continuously refining the process of the RBI returns generation by eliminating manual intervention. The RBI has launched a project, viz., Centralised Information Management System (CIMS) with the purpose of creating a single repository for collating banks’ data through system-to-system approach for regulatory submissions. Your Bank converted ADF output into eXtensible Business Reporting Language (XBRL) format for returns released by the RBI. Further, your Bank has set up the Centre of Excellence (COE) for Data Analytics with the objective of achieving improved customer wallet.

Your Bank, in the Advanced Analytics ecosystem, has been using cutting-edge tools & technologies, devising & implementing Statistical/ Predictive Models & Machine Learning Algorithms for providing quanti_able and actionable inputs. It is utilising diverse sources of data for Comprehensive Analysis, Customer Pro_ling, Predictive Modelling,

Forecasting, Trend Analysis, Marketing Analysis

& Risk Analytics and recommending business solutions to address complex business problems and issues. Details of other initiatives taken in the Information Technology ecosphere have been provided in the Management Discussion and Analysis section of this Annual Report. c) Foreign Exchange Earnings and Outgo

During the year, the total foreign exchange earned by the Bank was Rs. 96.53 crore (excluding foreign currency cash flows in derivatives and foreign currency exchange transactions) and the total foreign exchange outgo was Rs. 26.19 crore towards the operating and capital expenditure requirements.

DIRECTORS’ RESPONSIBILITY STATEMENT

The Board of Directors, hereby, declares and confirms that: a. In the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;

b. The Directors had selected such accounting policies and applied them consistently and made judgements and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Bank at the end of the financial year and of the profit and loss of the Bank for that period;

c. The Directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act for safeguarding the assets of the Bank and for preventing and detecting fraud and other irregularities;

d. The Directors had prepared the annual accounts on a going concern basis;

e. The Directors had laid down internal financial controls to be followed by the Bank and that such internal financial controls are adequate and were operating effectively; and f. The Directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

ACKNOWLEDGEMENTS

Your Bank’s Board of Directors is sincerely grateful to the Government of India, Reserve Bank of India (RBI), all other statutory/ regulatory authorities and Life Insurance Corporation of India (LIC) for their valuable co-operation and guidance. The Board also acknowledges, with gratitude, the co-operation and support received from various State Governments and other banks/ financial institutions. The Board thanks various multilateral institutions and international banks/ institutions for their support. The Board takes this opportunity to put on record its deep sense of gratitude to its loyal shareholders and customers for extending their support during the year and looks forward to their continued association in the years ahead. The Board appreciates the sincere and devoted services rendered by its entire staff and highly values their commitment towards the Bank.