Delphi World Money Ltd Management Discussions

Delphi World Money Limited

1. Economic Environment

FY 2024-25 unfolded against the backdrop of a stabilizing global economy, with India continuing to outperform major economies in terms of GDP growth. The Indian economy is estimated to have grown by 6.6% during the year, fuelled by consumption-led demand, structural reforms, and strong investment momentum.

However, the external environment remained challenging with persistent geopolitical tensions, evolving interest rate dynamics, and inflationary pressures. The Reserve Bank of India (RBI) maintained a cautious monetary stance to balance inflation control and growth stability. The fiscal push on infrastructure, manufacturing, and digitization continued to support broader economic activity.

Travel and Tourism Industry

Indias travel and tourism sector witnessed a sharp rebound in FY 2024-25, aided by:

• A surge in international and domestic travel volumes post-COVID normalization.

• Growing foreign tourist arrivals, with FTAs during January-December 2024 expected to exceed 10 million.

• An increase in Foreign Exchange Earnings (FEE), which stood at US$ 10.9 billion during January-April 2024.

• Expanding international hotel chains, improved airport infrastructure, and rapid passport penetration.

Retail foreign exchange volumes and cross-border student remittance corridors also saw renewed strength. The sector is becoming increasingly digital, with travel bookings, forex issuance, and cross-border transactions moving towards omni -channel platforms.

• Outbound Student Remittances: Rising Indian enrolments in foreign universities are creating sustained demand for tuition and living expense remittances.

• Digital Forex & Card-Based Solutions: Multi-currency cards and app-based transactions continue to gain ground with younger travellers.

• Airport FX Expansion: Delphi aims to restore and expand its pre-COVID network of airport counters with enhanced retail experiences.

• Inward Remittances: As a sub-agent of top global MTOs, Delphi continues to see stable remittance inflows from GCC, US, and Europe.

Strategic Initiatives

• Continued technology adoption for seamless compliance, KYC, AML, and forex issuance.

• Deeper integration with educational loan partners, especially for card-based tuition fee disbursements.

• Branch productivity enhancement through centralization, CRM integration, and training.

• Plans to introduce new digital remittance corridors and fintech led services in FY 2025-26.

4. Risks & Mitigation Key risks include:

The Company has a robust internal control mechanism for financial, operational, and compliance functions. Regular audits by internal teams and third-party firms ensure transparency and effectiveness of business processes.

All branch operations, transaction handling, and IT infrastructure are subjected to defined SOPs and risk protocols, ensuring real-time tracking, grievance redressal, and regulatory reporting.

Employee training programs remained a core focus during the year, especially around:

• Anti-money laundering (AML) and KYC compliance

• New product knowledge (especially digital forex)

• Customer experience enhancement

Employee engagement and retention remain strong, aided by transparent performance assessments and a positive work culture.

With rising travel volumes, improved airport throughput, and Indias growing outbound student population, Delphi World Money is well-positioned for sustainable growth. The companys renewed focus on digital innovation, distribution partnerships, and margin optimization is expected to yield higher value creation in the coming fiscal year.

# Not applicable in our business as we are engaged in Service industry and trade of Foreign Currency.