idfc first bank ltd Directors report

Dear Members,

Your Board of Directors are pleased to present the 9^th Annual Report of IDFC FIRST Bank Limited (‘IDFC FIRST Bank or the ‘Bank) together with the Audited Financial Statements for the financial year (‘FY) ended March 31, 2023.

STATE OF AFFAIRS OF THE BANK

The Bank has successfully diversified its business mix and added new revenue streams during FY 2022-23. It has launched new products in Retail as well as Wholesale Banking segments over the last 2 years and scaled them up during FY 2022-23. The achievements during the FY 2022-23 are mentioned below:

1. Growth in Funded Assets:

• Funded assets (including advances & credit substitutes) increased by 24% Y-o-Y from Rs. 1,29,051 as of March 31, 2022 to Rs. 1,60,599 crore as on March 31, 2023.

• Within the funded assets, urban retail segment including home loans, loan against property, wheels, consumer loans, digital and other loans, grew by 30% Y-o-Y from Rs. 67,321 crore as of March 31, 2022 to Rs. 87,516 crore as on March 31, 2023.

• Credit Card business, which is one of the newly launched segments for the Bank, grew by 74% Y-o-Y on a small and growing base, from Rs. 2,013 crore as of March 31, 2022 to Rs. 3,510 crore as on March 31, 2023.

• Commercial Finance segment, including the commercial vehicle, SME financing, business banking products, grew by 57% Y-o-Y from Rs. 10,144 crore as of March 31, 2022 to Rs. 15,928 crore as on March 31, 2023, primarily due to the low base where the growth was flat in FY 2021-22 due to COVID-19 impact.

• Within the wholesale banking, the non-infra corporate loans, grew by 9% Y-o-Y, from Rs. 23,676 crore as of March 31, 2022 to Rs. 25,894 crore as on March 31, 2023.

• Infrastructure financing reduced by 32% on a Y-o-Y basis and now constitutes only 2.9% of total funded assets as on March 31, 2023.

• The exposure to top 20 single borrowers reduced from 9% as of March 31, 2022 to 7% as of March 31, 2023.

2. Growth in Retail Liabilities:

• Customer Deposits of the Bank increased to Rs. 1,36,812 crore as on March 31, 2023 as compared to Rs. 93,214 crore as on March 31, 2022, Y-o-Y increase of 47%.

• The Total CASA Deposits increased to Rs. 71,983 crore as on March 31, 2023 from Rs. 51,170 crore as on March 31, 2022, Y-o-Y increase of 41%.

• Average CASA Ratio for FY 2022-23 stood at 48.48% as compared to 49.88% for FY 2021-22.

• Retail Deposits (Retail CASA and Retail Term Deposits) increased to Rs. 1,03,870 crore as on March 31, 2023 from Rs. 68,035 crore as on March 31, 2022, Y-o-Y increase of 53%.

3. Growth in Core Earnings:

• Strong NII Growth: For the full year, total Net Interest Income (‘NII) increased by 30% to Rs. 12,635 crore in FY 2022-23 from Rs. 9,706 crore in FY 2021-22.

• Strong NIM improvement: The Net Interest Margin for the full year FY 2022-23 was at 6.05% as compared to 5.86% in FY 2021-22.

• Strong growth in Total Income (NII + Fees and Other Income + Trading Gain): The total income for the full year increased by 32% to Rs. 17,102 crore in FY 202223 from Rs. 12,928 crore in FY 2021-22.

• Strong Growth in Core Operating Profit (Operating Profit Net of Trading Income): For the full year, the Core Operating Profit grew by 67% to Rs. 4,607 crore in FY 2022-23 from Rs. 2,753 crore in FY 2021-22.

• Provision: For the full year, total Provisions stood at Rs. 1,665 crore in FY 2022-23 as compared to Rs. 3,109 crore in FY 2021-22.

• Profit After Tax: The Net Profit for the full year FY 2022-23 was Rs. 2,437 crore as compared to Rs. 145 crore in FY 2021-22.

4. Strong Asset Quality of the Bank:

• Banks Gross NPA ratio as of March 31, 2023 stood at 2.51% as compared to 3.70% as of March 31, 2022.

• Banks Net NPA ratio as of March 31, 2023 stood at 0.86% as compared to 1.53% as of March 31, 2022.

• Provision Coverage Ratio including technical writeoffs was 80.29% as of March 31, 2023 as compared to 70.29% as of March 31, 2022.

• Excluding the NPA in the infrastructure financing book which will run down in due course, the Gross and Net NPA of the Bank would be 1.84% and 0.46% and the PCR including technical write off would be 86.85%, as of March 31, 2023.

5. Improved Asset Quality on Retail & Commercial

Finance Book:

• Gross NPA ratio of Retail & Commercial Finance improved to 1.65% as of March 31,2023 as compared to 2.63% as of March 31, 2022.

• Retail & Commercial Finance Net NPA ratio improved to 0.55% as of March 31, 2023 as compared to 1.15% as of March 31, 2022.

• Provision Coverage Ratio (including technical write-offs) was 82.43% as of March 31, 2023 as compared to 69.59% as of March 31, 2022.

6. Strong Capital Adequacy:

• The Bank raised equity capital of ~ Rs. 2,196 crore through Preferential Issue to promoter in March, 2023.

• The Bank raised Tier II capital of Rs. 1,500 crore in Q3-FY23 through issuance of Additional Tier II bonds.

• Capital Adequacy Ratio stood at 16.82% with CET-1 Ratio at 14.20% as of March 31, 2023.

7. Strong Franchise:

• As on March 31, 2023, the Bank has built a national footprint through the operation of 809 branches (out of which 487 are Urban Branches and 322 are Rural Branches) across India and 925 ATMs.

POINTS OF PRESENCE COMPARISON CHART:

Particulars	FY 2022-23	FY 2021-22
Urban Bank Branches	487	375
Rural Bank Branches	322	266
ATMs (including Recyclers)	925	719

• The Bank offers a wide gamut of products to cater to the needs of customers from all segments which can be viewed on our website at www.idfcfirstbank.com.

FINANCIAL HIGHLIGHTS

(Rs in crore)

Particulars	FY 2023	FY 2022
Deposits	144,637	105,634
Borrowings	57,212	52,963
Investments	61,124	46,145
Advances	151,795	117,858
Total Assets/ Liabilities	239,942	190,182
Total Income	27,195	20,395
Profit Before Tax	3,267	175
Net Profit	2,437	145
Balance in Profit & Loss Account brought forward from previous year	(3,870)	(3,729)
Amount available for Appropriations	(1,433)	(3,583)
Appropriations
Transfer to Statutory Reserve	610	37
Transfer to Capital Reserve	96	45
Transfer to Special Reserve	65	6
Transfer to Investment Reserve	79	200
Transfer to Investment Fluctuation Reserve	274	-
Balance in profit and loss account carried forward	(2,556)	(3,870)
Capital adequacy ratio (Basel III)	16.82%	16.74%
Gross NPA %	2.51%	3.70%
Net NPA %	0.86%	1.53%

DIVIDEND

The Board of Directors of the Bank (‘Board) did not recommend any dividend on equity shares for the FY 2022-23. Though the Bank has distributable profits in terms of the RBI Guidelines, there is a restriction under the Companies Act, 2013 which prohibits a company from declaring dividend in case of accumulated losses. The Bank has a debit balance in the Profit and Loss account to the extent of Rs. 2,555.85 crore as of March 31, 2023 and hence, the Bank has not proposed dividend for FY 2022-23.

In accordance with Regulation 43A of the Securities and Exchange Board of India [‘SEBI] (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (‘SEBI Listing Regulations), our Bank has formulated a Dividend Distribution Policy, which ensures a fair balance between rewarding its members and retaining enough capital for the Banks future growth.

This Policy is available on the Banks website: www.idfcfirstbank. com under ‘Investors > ‘Other Investor Information > ‘Corporate Governance - Know More > ‘Policies section.

CAPITAL

Authorised Share Capital

As on March 31, 2023, the Authorised Share Capital of the Bank was Rs. 75,38,00,00,000 comprising of 7,50,00,00,000 equity shares of Rs. 10 each and 38,00,000 preference shares of Rs. 100 each.

Paid-up Equity Share Capital

Allotment of equity shares on preferential basis

Basis approval of the Board at their meeting held on February 04, 2023 and by virtue of special resolution passed by the members of the Bank through postal ballot on March 08, 2023, the duly authorised Committee of the Board had at its meeting held on March 23, 2023 approved the issue and allotment of 37,75,00,859 equity shares of face value of Rs. 10 each to IDFC Financial Holding Company Limited (wholly owned subsidiary of IDFC Limited), on a preferential basis, at an issue price of Rs. 58.18 per equity share (including a premium of Rs. 48.18 per equity share) aggregating to ~ Rs. 2,196.30 crore.

The Preferential issue was made pursuant to applicable provisions of the Companies Act, 2013, read with relevant rules made thereunder (‘the Act), in accordance with the guidelines, rules, and regulation of SEBI, including SEBI (Issue of Capital and Disclosure Requirements) Regulations 2018, SEBI Listing Regulations, the relevant provisions of the Banking Regulation Act, 1949 (‘Banking Regulation), the rules, circulars, directions and guidelines issued by the Reserve Bank of India (‘RBI). The Bank has ensured to comply with all legal and statutory formalities.

Allotment of equity shares pursuant to exercise of stock options

During FY 2022-23, 2,29,12,647 equity shares of Rs. 10 each were issued and allotted to the eligible employees of the Bank pursuant to exercise of stock options granted under ‘IDFC FIRST Bank Limited Employee Stock Option Scheme 2015 (‘IDFC FIRST Bank ESOS - 2015).

As on March 31, 2023, the issued, subscribed and paid- up equity share capital of our Bank was Rs. 66,18,12,18,160 comprising 6,61,81,21,816 equity shares of Rs. 10 each.

Subsequent to the year under review and as on date of this report, the Bank has allotted 10,23,035 equity shares of Rs. 10 each to the allottees upon exercise of stock options granted under IDFC FIRST Bank ESOS - 2015. Post the said allotment, the paid-up Equity Share Capital of the Bank stands at Rs. 66,19,14,48,510 comprising 6,61,91,44,851 equity shares of Rs. 10 each.

Our Bank has not issued any equity shares with differential voting rights.

Issuance of "Basel III Tier-II Bonds" on Private Placement basis

In accordance with the powers granted by the Board, the duly authorized Committee of the Board had authorised Private Placement of Shelf Placement Memorandum for issuance of Rs. 3,000 crore of Basel III Compliant Tier-II Bonds in one or more tranches.

Under the said limit, the Bank launched the first Tranche of its Tier II Bond issuance for an issue size of Rs. 500 crore with a Green Shoe Option to retain oversubscription(s) up to Rs. 1,000 crore. The Bonds were issued with 10 year door-to-door tenor with an annual Call Option beginning from the 5^th year from date of allotment. The issue was successfully completed on December 01, 2022.

Capital Adequacy

Our Bank is well capitalised and has a Capital Adequacy Ratio under Basel III as at March 31, 2023 of 16.82% (as against the RBI minimum requirement of 11.50%) and with Tier-I Capital Adequacy Ratio being 14.20%. The Bank raised Rs. 2,196 crore of fresh equity capital and Rs. 1,500 crore of Tier-2 capital during FY23.

With such capital buffer, our Bank continues to enjoy the highest levels of confidence from the Indian financial ecosystem including capital market participants, depositors and our customers.

Considering the strong growth opportunities in India, the strong asset track record with robust asset quality along with sustainable and granular liability franchise, our Bank is well placed to grow its business in the future.

As a Bank, it is our endeavour to be strong custodians of public depositors/ shareholders and to further strengthen the Balance

Sheet immensely.

Ratings

The details of credit ratings obtained by the Bank along with revisions thereto, during the FY 2022-23, for various debt & financial instruments outstanding as on March 31, 2023, are disclosed in the Corporate Governance Report, forming part of this Annual Report.

The updated Credit Ratings are available on the Banks website at www.idfcfirstbank.com under ‘Investors > ‘Other Investor Information.

PERFORMANCE AND CONTRIBUTION OF SUBSIDIARY AND ASSOCIATE COMPANIES

IDFC FIRST Bank has one Wholly-Owned Subsidiary Company, namely IDFC FIRST Bharat Limited (‘IDFC FIRST Bharat/ ‘IFBL).

IFBL is acting as a Business Correspondent (‘BC) for distribution of the products of IDFC FIRST Bank and has given an added momentum to the financial inclusion plan of the Bank.

During FY 2022-23, IFBL has sourced loans worth Rs. 13,232 crore. IDFC FIRST Bharat reported a Profit After Tax of Rs. 47.83 crore for FY 2022-23 as against Rs. 37.27 crore for FY 2021-22.

IDFC FIRST Banks policy for determining material subsidiaries is available on the Banks website at www.idfcfirstbank.com under ‘Investors > ‘Other Investor Information > ‘Corporate Governance - Know More > ‘Policies section.

IDFC FIRST Bank has only one Associate Company as on March 31, 2023, viz. Millennium City Expressways Private Limited, in which it holds 29.98% equity stake.

CONSOLIDATED FINANCIAL STATEMENTS

In accordance with the provisions of Section 129(3) of the Act, read with rule 8 of the Companies (Accounts) Rules, 2014, as amended, the Bank has prepared consolidated financial statements, which forms part of this annual report. The statement in Form AOC-1 containing the salient features of the financial statements of the Subsidiary and Associate Company of the Bank, also forms part of this Annual Report and is appended as ANNEXURE 1.

In accordance with the fourth proviso to Section 136(1) of the Act and Regulation 46(2)(s) of the SEBI Listing Regulations, the Annual Report of the Bank, containing standalone financial statements and the consolidated financial statements and all other documents required to be attached thereto are available on the Banks website at www.idfcfirstbank.com under ‘Investors > ‘View All Annual Reports.

Further, in accordance with the fifth proviso to the said section, the Annual Report of IFBL containing therein its audited financial statements has been hosted on the Banks website at www.idfcfirstbank.com under ‘Investors > ‘View All Annual Reports.

UPDATE ON THE MERGER OF IDFC LIMITED WITH BANK

The Board at its meeting held on December 30, 2021, had considered the proposal for merger of ‘IDFC Limited and ‘IDFC Financial Holding Company Limited with ‘IDFC FIRST Bank Limited and had expressed that they are in-principle in favour of the said merger, subject to the approval of the Board, members, creditors, requisite statutory and regulatory approvals of the respective entities. The Board has constituted and authorized ‘Capital Raise and Corporate Restructuring Committee, to work on the terms of proposed merger including finalizing the Scheme, Valuation, hiring advisors etc. as required. The process for the merger is underway and we will keep the shareholders informed of significant developments in this behalf.

DIRECTORS AND KEY MANAGERIAL PERSONNEL Appointment/ Re-appointment of Directors

All appointments of Directors are made in accordance with the relevant provisions of the Act and the rules framed thereunder, the SEBI Listing Regulations, the Banking Regulation and the rules, guidelines and circulars issued by the RBI from time to time. The Bank has in place a framework for Board Diversity, Fit & Proper Criteria and Succession Planning for appointment of Directors on the Board of the Bank.

The Nomination and Remuneration Committee (‘NRC) conducts due diligence before appointment of Directors and ensures adherence to ‘Fit and Proper criteria, as prescribed by RBI.

During the FY 2022-23, there was no change in the composition of Board of Directors of the Bank.

Further, based on the recommendation of the NRC, the Board approved making of an application to RBI for the appointment of Mr. Madhivanan Balakrishnan, Chief Operating Officer, as the Whole Time Director (‘WTD) designated as Executive Director and Chief Operating Officer (‘ED & COO) of the Bank, for a period of three (3) years and on such terms as may be approved by the RBI, subject to approval of shareholders of the Bank. The Bank has made an application to RBI for appointment of Mr. Madhivanan Balakrishnan, Chief Operating Officer, as the WTD designated as ED & COO of the Bank.

Mr. Vishal Mahadevia (DIN 01035771), Non-Executive Non-Independent Director whose office is liable to retire at the ensuing AGM, being eligible seeks re-appointment, in terms of the provisions of Section 152(6) of the Act. Based on the recommendation of the NRC, the Board recommends his re-appointment to the members of the Bank. The resolution for the said re-appointment will form part of the Notice of ensuing AGM.

Brief profiles of all the Directors of the Bank are available on the Banks website at www.idfcfirstbank.com under About Us > ‘Board of Directors.

None of the Directors of the Bank are disqualified in accordance with Section 164 of the Act.

Further, the Bank has received certificate from M/s. Makarand M. Joshi & Co., Practicing Company Secretaries, Banks Secretarial Auditor, certifying that during the financial year under review, the Board of the Bank is duly constituted with proper balance of Executive Director, Non-Executive Directors and Independent Directors.

Also, as per the SEBI Listing Regulations, the Bank has received certificate from M/s. Bhandari & Associates, Practicing Company Secretaries that none of the Directors on the Board of the Bank have been debarred or disqualified from being appointed or continuing as Directors of Companies by the Securities and Exchange Board of India/ Ministry of Corporate Affairs or any such other statutory authority.

As on the date of this report, in terms of Section 203(1) of the Act, Mr. V. Vaidyanathan, Managing Director & Chief Executive Officer (‘MD & CEO), Mr. Sudhanshu Jain, Chief Financial Officer & Head - Corporate Centre and Mr. Satish Gaikwad, Head - Legal & Company Secretary are the Key Managerial Personnel (‘KMP) of the Bank.

Statement on Declaration by Independent Directors

The Bank had received declaration from all the Independent Directors (‘IDs), at the time of appointment and also at the first meeting of the Board held in FY 2022-23, that they meet the criteria of independence specified under sub-section (6) of Section 149 of the Act, read with rule 5 of the Companies (Appointment and Qualification of Directors) Rules, 2014, as amended and Regulation 16(1)(b) of the SEBI Listing Regulations, for holding the position of ID and that they shall abide by the ‘Code for Independent Directors as per Schedule IV of the Act. There has been no change in the circumstances affecting their status as Independent Director. In the opinion of the Board, the IDs possess the requisite integrity, experience, expertise and proficiency required under all applicable laws and the policies of the Bank.

Further, all the IDs of the Bank have complied by rule 6 (Creation and Maintenance of Databank of Persons Offering to become Independent Directors) of the Companies (Appointment and

Qualification of Directors) Rules, 2014, as amended, and have also declared their enrolment in the databank of Independent Directors maintained by Indian Institute of Corporate Affairs (‘IICA).

Familiarisation Programmes for Board Members

At the time of appointment, all Directors of our Bank are familiarized with their roles, responsibilities, rights and duties along with a brief overview of our Banks operations in a nutshell.

The Board is further provided with necessary documents, reports and internal policies to enable them to familiarize with the Banks procedures and practices. These includes in particular, Board Committees Chart, Code of Conduct for Board of Directors, Code of Conduct for Prohibition of Insider Trading, Policy of Related Party Transactions, Details of payment of Sitting Fees to Non-Executive Director, etc. Also, a web-link to access the historical data on Financial Results, Annual Reports, Investor Presentation, Memorandum & Articles of Association of the Bank and other relevant regulatory documents is provided to the Directors.

Directors are given opportunity to attend to select programmes organized by reputed institutions e.g. Centre for Advance Financial Research and Learning, the Institute for Development and Research in Banking Technology, Indian Institute of Corporate Affairs etc.

Detailed presentations are made at the Board and Committee meetings on business and performance of the Bank on a periodic basis, global business environment, business strategy and associated risks, responsibilities of the Directors, regulatory updates, etc.

Detailed presentations on the Banks business and updates thereon were made at the meetings of the Board and Committees held during the year.

BOARD MEETINGS

The Board met seven (7) times during FY 2022-23, on April 30, 2022, July 30, 2022, October 22, 2022, November 04, 2022, January 21, 2023, February 04, 2023 and March 29, 2023, details of which alongwith attendance are given in the Corporate Governance Report, forming part of this Annual Report. The maximum gap between any two consecutive meetings were within the statutory limit of 120 days.

BOARD COMMITTEES

In compliance with various regulatory requirements, several

Board-level Committees have been constituted to delegate matters that require greater and more focused attention.

Details on the constitution, brief terms of reference, meetings held and attendance of all the Board-level Committees are given in the Corporate Governance Report forming part of this Annual Report.

A brief overview of some of the Board-level Committees are furnished below:

Audit Committee of the Board (‘ACB)

The ACB met five (5) times during FY 2022-23, on April 29, 2022, July 29, 2022, October 21, 2022, January 20, 2023 and February 04, 2023.

All recommendations made by the ACB during the year were accepted by the Board.

Further, the ACB comprised of the following members as on the date of this report:

Mr. Aashish Kamat	- Chairperson Independent Director
Mr. Pravir Vohra	- Member Independent Director
Mr. S. Ganesh Kumar	- Member Independent Director
Mr. Ajay Sondhi	- Member Non-Executive Non-Independent Director

Nomination and Remuneration Committee (‘NRC)

The NRC met four (4) times during FY 2022-23 on April 27, 2022, July 27, 2022, October 20, 2022, and January 18, 2023.

The meeting held on (i) April 27, 2022 was adjourned to April 30, 2022 and (ii) January 18, 2023 was adjourned to January 19, 2023; for discussion of certain agenda item.

Further, the NRC comprised of the following members as on the date of this report:

Mr. Hemang Raja	- Chairperson Independent Director
Mr. Aashish Kamat	- Member Independent Director
Dr. (Mrs.) Brinda Jagirdar	- Member Independent Director
Mr. Vishal Mahadevia	- Member Non-Executive Non-Independent Director

Remuneration Policy

The Bank has formulated and adopted the Remuneration Policies for the (i) Non-Executive Part-Time Chairman and Non-Executive Directors; (ii) Whole Time/ Executive Directors, Material Risk Takers, Key Managerial Personnel, Senior Management Personnel and Control Function and all other employees; (‘the Remuneration Policies), in terms of the relevant provisions of the Act and rules made thereunder, SEBI Listing Regulations, Banking Regulation and the RBI guidelines issued in this regard, from time to time.

During the year, the Remuneration Policies were reviewed and approved by the NRC and the Board.

The Remuneration Policies have been hosted on the website of the Bank at www.idfcfirstbank.com under ‘Investors > ‘Other Investor Information > ‘Corporate Governance - Know More > ‘Policies section.

Weblink:

Remuneration Policy - (For Non-Executive Part-Time Chairman and Non-Executive Directors)

Remuneration Policy - (For the Whole Time/ Executive Directors, Material Risk Takers, Key Managerial Personnel, Senior Management Personnel and Control Function and all other employees)

All the Non-Executive Directors are paid sitting fees for attending meetings of the Board and its Committees, which are determined by the Board based on applicable regulatory provisions. Further, expenses incurred by them for attending meetings of the Board and Committees in person are reimbursed at actuals.

Pursuant to the relevant RBI guidelines and approval of the members, for FY 2022-23, a fixed remuneration of Rs. 18 lakh p.a. was paid to each of the Non-Executive Directors of the Bank, other than the Chairperson of the Bank, who was paid Rs. 24 lakh p.a.

Mr. Vishal Mahadevia, Non-Executive Non-Independent Director, has opted not to receive any fixed remuneration and sitting fees from the Bank.

Stakeholders Relationship, ESG and Customer Service (‘SRECS) Committee

The SRECS Committee met four (4) times during FY 202223 on April 28, 2022, July 28, 2022, October 20, 2022, and January 19, 2023.

Further, the SRECS Committee comprised of the following members as on the date of this report:

Dr. (Mrs.) Brinda Jagirdar	- Chairperson Independent Director
Mr. Pravir Vohra	- Member Independent Director
Mr. Sanjeeb Chaudhuri	- Member Independent Director
Mr. S. Ganesh Kumar	- Member Independent Director
Mr. Ajay Sondhi	- Member Non-Executive Non-Independent Director
Mr. V. Vaidyanathan	- Member MD & CEO

Corporate Social Responsibility (‘CSR) Committee

The CSR Committee met four (4) times during FY 2022-23 on April 27, 2022, July 25, 2022, October 17, 2022 and January 18, 2023.

Further, the CSR Committee comprised of the following members as on the date of this report:

Mr. V. Vaidyanathan	- Chairperson MD & CEO
Dr. (Mrs.) Brinda Jagirdar	- Member Independent Director
Mr. Hemang Raja	- Member Independent Director

The Bank has formulated and adopted a CSR Policy which provides the focus areas (in accordance with Schedule VII of the Act) under which various developmental initiatives are undertaken and the same is available on the Banks website at www.idfctirstbank.com under ‘Investors > ‘Other Investor Information > ‘Corporate Governance - Know More > ‘Policies section.

The CSR initiatives of the Bank in FY 2022-23 were implemented directly or through various implementation agencies/partners. In order to achieve impact and scale, the CSR activities undertaken during the year mainly focused on areas: [a] Livelihoods, [b] Health and Sanitation, [c] Education and [d] Environment & Others (Employee Volunteering Programme & Adhoc).

In terms of the provisions of the Companies Act, 2013, the Bank is not mandated to incur CSR expenditure, however the Bank, for FY 2022-23, has spent Rs. 17.52 crore based on its commitment to CSR programs.

The Annual Report on CSR activities and details of amount spent or unspent by the Bank during FY 2022-23, in accordance with the CSR Rules, is attached as Annexure 2 to this Report.

Risk Management Committee (‘RMC)

The RMC met four (4) times during FY 2022-23, on April 29, 2022, July 29, 2022, October 21, 2022 and January 20, 2023.

Further, the RMC comprised of the following members as on the date of this report:

Mr. S. Ganesh Kumar	- Chairperson Independent Director
Mr. Hemang Raja	- Member Independent Director
Mr. Pravir Vohra	- Member Independent Director
Mr. Sanjeeb Chaudhuri	- Member Independent Director
Mr. Jaimini Bhagwati	- Member Non-Executive Non-Independent Director
Mr. V. Vaidyanathan	- Member MD & CEO

RISK MANAGEMENT FRAMEWORK

Our Bank promotes a strong risk culture throughout the organization. A strong risk culture is designed to help reinforce the Banks resilience by encouraging a holistic approach to management of risk & return and an effective management of risk, capital, and reputational profile. Consequent to the amalgamation of erstwhile Capital First Group with IDFC Bank, effective December 18, 2018, Bank has re-aligned its key policies and Risk Framework forming an overall Risk Framework of the merged entity.

Our Bank has established a robust & effective risk governance framework to actively manage all the material risks faced by the Bank, in a manner consistent with the Banks risk appetite statement. Our Bank aims to establish itself as an industry leader in the management of risks and strive to reach the efficient frontier of risk and return for the Bank and its shareholders. The Board has ultimate responsibility for the Banks Risk Management Framework. It is responsible for approving the Banks risk appetite, risk tolerance and related strategies and policies. The Board is assisted by Risk Management Committee of the Board (‘RMC) and its various management committees as part of the Risk Governance framework to ensure that our Bank has sound system of risk management and internal controls. The RMC assists the Board in relation to the oversight and review of the Banks risk management principles and policies, strategies, appetite, processes, and controls. The RMC of the Board reviews risk management policies of the Bank pertaining to credit, market, liquidity, operational risks etc. The Committee also reviews the Risk Appetite & Enterprise Risk Management framework, Internal Capital Adequacy Assessment Process (‘ICAAP) and Stress Testing. ICAAP & Stress Testing requires the Bank to undertake rigorous, forward-looking assessment of risks by identifying severe events or changes in market conditions which could adversely impact the Bank.

Our Bank has in place a Board approved Risk Management Policy. The Policy aims at establishing a risk culture and governance framework to enable identification, measurement, mitigation and reporting of risks within the Bank in line with the Banks risk appetite, risk - return trade-off and the escalation & accountability framework. Having a comprehensive risk management framework in the Bank including well-articulated risk appetite statements, polices and robust stress testing programme facilitates our Bank to manage any potential susceptibility to extreme but plausible business risk. Taking best use of the proactive risk assessment frameworks & risk mitigation techniques, our Bank has built adequate Capital and Liquidity buffers and ensured business continuity during stressed conditions.

FY 2022-23 was a very eventful year. Due to inflationary pressures globally, most of the central banks across the globe had started increasing interest rates. This was coupled with the ongoing geopolitical crisis between Ukraine & Russia. Domestically, RBI hiked rates by around 250 bps during the

year. The year witnessed a robust growth in advances in the industry which overtook deposits growth. Taking best use of the proactive risk assessment frameworks & risk mitigation techniques, our Bank has built adequate Capital, sufficient Liquidity and ensured a sustainable business growth. The Bank has taken steps to diversify its product suite on both asset and liability side, balance the portfolio and avoid concentration risks.

Our Bank manages its capital position to maintain strong capital ratios well in excess of regulatory and Board approved minimum capital adequacy at all times. The strong Tier-I capital position of the Bank is a source of competitive advantage and provides assurance to regulators, credit rating agencies, depositors, and members. Capital management practices are designed to maintain a risk reward balance, while ensuring that businesses are adequately capitalized to absorb the impact of stress events including pandemic risks. Our Bank has rigorously adhered to the RBI mandated prudential norms on provisioning including based on evaluation of impact arising out of the fallout of COVID-19 on the underlying portfolio, which is aimed at preserving and protecting shareholders value. Our Bank has continued to proactively work on the resolution of the stressed asset portfolio and has further reduced the position. Our Bank has also de-risked the portfolio by diversifying the credit portfolio and focusing more on granular exposures.

INTERNAL FINANCIAL CONTROLS

The Bank has adequate internal controls and processes in place with respect to its financial statements that provide reasonable assurance regarding the reliability of financial reporting and preparation of financial statements. These controls and processes are driven through various policies, procedures and certifications which also ensure the orderly and efficient conduct of the Banks business, including adherence to Banks policies, safeguarding of assets, prevention and detection of frauds and errors, accuracy and completeness of the accounting records, and the timely preparation of reliable financial information. The controls and processes are being reviewed periodically. The Bank has a mechanism of testing the controls and processes at regular intervals for their design and operating effectiveness to ascertain the reliability and authenticity of financial information.

RELATED PARTY TRANSACTIONS

All the Related Party Transactions (‘RPTs) that were entered into during the financial year were on an arms length basis and were in ordinary course of business. Transactions entered into by the Bank with related parties in the normal course of its business were placed before the Audit Committee of the Board. Prior omnibus approval for normal banking transactions is also obtained from the ACB for the RPTs which are repetitive in nature as well as for the normal banking transactions which

cannot be foreseen. A statement giving details of all RPTs, entered pursuant to the omnibus approval so granted, is placed before the ACB for their review.

The Bank has not entered into any material financial or commercial transactions with its subsidiaries and other related parties as per Accounting Standard - 18 and the SEBI Listing Regulations that may have potential conflict with the interest of the Bank at large.

In terms of Regulation 23(9) of the SEBI Listing Regulations, the Bank submits the disclosure of RPTs, in a prescribed format, as specified under relevant Accounting Standards, on half yearly basis to the Stock Exchanges and update its website accordingly. The Bank have always been committed to good corporate governance practices, including matters relating to the RPTs.

There were no transactions entered into individually or taken together with the previous transactions during the financial year with related parties, which were not in the normal/ ordinary course of the business of the Bank, nor were there any transactions with related parties or others, which were not on an arms length basis. Hence, pursuant to Section 134(3) (h) of the Act, read with rule 8(2) of the Companies (Accounts) Rules, 2014, as amended, there are no RPTs to be reported under Section 188(1) of the Act. Hence, Form AOC-2 is not applicable to the Bank.

Pursuant to the provisions of the Act and the rules made thereunder, SEBI Listing Regulations and in the back-drop of the Banks philosophy on such matters, the Bank has in place a Board approved policy on related party transactions. The said policy is also uploaded on the Banks website at www.idfcffrstbank.com under ‘Investors > ‘Other Investor Information > ‘Corporate Governance - Know More > ‘Policies section.

INFORMATION/ CYBER SECURITY FRAMEWORK

IDFC FIRST Bank since its inception has put in place a robust Information/ Cyber Security Framework. Our Bank being a green field setup, has Information Security woven into our banking platform and seamlessly merges both culturally and technologically. A dedicated team of security professionals are part of the Information Security Group (‘ISG) who govern the Information Security practices in the Bank. Our Bank has put in place state of the art security technologies including several industries ‘firsts technology solutions and adopted ‘defence in depth approach & industry best practices as part of our security framework and architecture.

Last year, the Bank worked closely with the Regulator to work towards an augmentation plan to improve its cyber security maturity.

This year, while continuing on its journey to mature its posture, Banks focus will continue to be on consolidation and improving its deployment posture of the technologies invested in the previous years. In addition, Bank has initiated some additional initiatives including:

a) Accelerating its risk based remediation program

b) Improving its Threat detection and response capabilities

c) Enhancing its cloud security program

d) Deploying zero trust model

e) Data discovery and life cycle management

Bank continued to maintain and upkeep its compliance posture to standards such as ISO 27001 ISMS (Information Security Management System), PCI DSS (Payment Card Industry Data Security Standard) and regulatory requirements. Given the changing threat landscape, the attempt is to progressively move towards maturity of proactive and adaptive platforms for automated detection, response and recovery.

BOARD EVALUATION

The Board members carries out an annual evaluation of the Board, Board Committees, and Individual Directors, including Chairperson, pursuant to the provisions of the Act and the SEBI Listing Regulations.

The evaluation brings out the cohesiveness of the Board, a Boardroom culture of trust and co-operation, and Boardroom discussions which are open, transparent and encourage diverse viewpoints. Other areas of strength includes effective discharge of Boards roles and responsibilities.

The detailed process indicating the manner in which the annual evaluation has been carried out pursuant to the SEBI Listing Regulations and Act, is provided in the Corporate Governance Report, which forms part of this Annual Report.

UPDATE ON IMPACT OF COVID-19

India saw the abrupt start and subsequent end of the 3^rd wave of COVID 19 pandemic by March 31, 2022. In FY 2022-23, COVID 19 was even more subdued compared to FY 202122. There was slight spurt in cases in between June and September 2022 but overall in FY 2022-23 there was no new pandemic wave in India while multiple waves continued across the globe.

FY 2022-23, was also a year where India learnt to live with COVID 19 potentially as a result of the herd immunity it acquired and also with majority of its population getting fully vaccinated (2 doses).

While cases dipped and restrictions were revoked by government, the Bank kept alive its COVID 19 Pandemic framework - monitoring of cases, its policies and employee assistance program - ready to support its staff and business as required.

As on the date of this report no stringent restrictions have been put in place by the Government in the country that could affect our business operations.

Our Business Continuity Management team continues to proactively monitor the situation and will give timely advice as situation escalates.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

The Management Discussion and Analysis Report for the year under review, as required by Regulation 34(2)(e) of the SEBI Listing Regulations, forms part of this Annual Report.

REPORT ON CORPORATE GOVERNANCE

Your Directors are is committed to achieve the highest standards of Corporate Governance. A separate section on Corporate Governance standards followed by our Bank and the relevant disclosures, as stipulated under the SEBI Listing Regulations, Act, and rules made thereunder forms part of this Annual Report.

A certificate from the Secretarial Auditors of the Bank, M/s. Makarand M. Joshi & Company, Practicing Company Secretaries, confirming compliance to the conditions of Corporate Governance as stipulated under the SEBI Listing Regulations is enclosed in the Corporate Governance Report and forms part of this Annual Report.

CEO & CFO Certification

A certificate issued by Mr. V. Vaidyanathan, MD & CEO and Mr. Sudhanshu Jain, Chief Financial Officer & Head - Corporate Centre of the Bank, in terms of Regulation 17(8) of the SEBI Listing Regulations, for the year under review was placed before the Board and forms part of this Annual Report.

BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT

The Business Responsibility and Sustainability Report, in terms of Regulation 34(2)(f) of the SEBI Listing Regulations, describing the initiatives taken by IDFC FIRST Bank from an environmental, social and governance perspective is hosted on the Banks website at www.idfcfirstbank.com under ‘Investors > ‘View All Annual Reports and constitutes a part of this Annual Report.

DIRECTORS RESPONSIBILITY STATEMENT

Pursuant to the requirement under Section 134(5) of the Act, it is hereby confirmed 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 judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Bank as on March 31, 2023 and of the profit 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 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.

DEPOSITS

Being a Banking Company, the disclosures required as per rule 8(5)(v) & (vi) of the Companies (Accounts) Rules, 2014, as amended, read with Sections 73 and 74 of the Act, are not applicable to our Bank.

As per the applicable provisions of the Banking Regulation details of the Banks deposits have been included under Schedule 3 - Deposits, in the preparation and presentation of the financial statements of the Bank.

PARTICULARS OF LOANS, GUARANTEES, AND INVESTMENTS

Pursuant to Section 186 (11) of the Act, the provisions of Section 186 of the Act, except sub-section (1), do not apply to a loan made, guarantee given, or security provided, or any investment made by a banking company in the ordinary course of business. The particulars of investments made by the Bank are disclosed in Schedule 8 of the Financial Statements as per the applicable provisions of the Banking Regulation.

REQUIREMENT FOR MAINTENANCE OF COST RECORDS

The Bank is not required to maintain cost records as specified by the Central Government under Section 148(1) of the Act.

INSTANCES OF FRAUD, IF ANY, REPORTED BY THE AUDITORS

During the year under review, no instances of fraud committed against the Bank by its officers or employees were reported by the Statutory Auditors and Secretarial Auditors under Section 143(12) of the Act to the Audit Committee or the Board.

The details of provisioning pertaining to Fraud Accounts during the year under review are provided in Note No. 18.13 to the Standalone Financial Statements as at March 31, 2023.

CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS AND OUTGO

Detailed initiatives taken for conservation of energy has been mentioned in the Business Responsibility and Sustainability Report, which is hosted on the Banks website at www. idfcfirstbank.com under ‘Investors > ‘View All Annual Reports.

Also, our Bank has been increasingly using information technology in its operations, for more details, please refer Management Discussion and Analysis Report, which forms part of this Annual Report.

Further, Foreign Exchange earnings and outgo are part of the normal banking business of the Bank.

SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS/ COURTS/ TRIBUNALS

There were no significant and material orders passed by the regulators or courts or tribunals impacting the going concern status or the operations of the Bank.

CHANGE IN THE NATURE OF BUSINESS

During the year under review, there has been no change in the nature of business of the Bank.

MATERIAL CHANGES AND COMMITMENTS AFFECTING THE FINANCIAL POSITION OF THE BANK

There are no material changes and commitments, affecting the financial position of the Bank between the end of the financial year of the Bank i.e. March 31, 2023 and the date of the Board Meeting in which the Directors Report was approved i.e. April 29, 2023.

INTERNAL OMBUDSMAN

In compliance with regulatory guidelines, the Bank has appointed Mr. Sharad Vinayak Rao Patil as Internal Ombudsman for a period of 3 years with effect from December 1, 2021, as per the Internal Ombudsman Scheme, 2018 to enhance our Banks customer grievance redressal mechanism and to improve service delivery.

EMPLOYEES

Disclosures pertaining to remuneration and other details as required under Section 197(12) of the Act, read with rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, as amended, is appended as ANNEXURE 3.

In terms of Section 197(12) of the Act, read with rule 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, as amended, a statement showing the names and other particulars of the employees drawing remuneration in excess of limits set out in said rules forms part of this Annual Report.

In accordance with the provisions of Section 136(1) of the Act, the Annual Report excluding the aforesaid information, is being sent to the members of the Bank and others entitled thereto. Any member interested may obtain the said statement by writing to the Company Secretary of the Bank.

Employee Stock Option Scheme

The Employee Stock Option Scheme (‘IDFC FIRST Bank ESOS - 2015/ ‘ESOS) was framed with an object of encouraging higher participation on the part of employees in the Banks growth and success. An effective stock option scheme enables retention of talent and aligning employee interest to that of the members.

There were 26,01,41,857 stock options outstanding at the beginning of FY 2022-23. During FY 2022-23, 5,63,19,723 stock options were granted to the eligible employees under IDFC FIRST Bank ESOS - 2015.

Further, 3,97,46,067 stock options had lapsed/forfeited and 2,29,12,647 stock options were exercised during the year ended March 31, 2023. Accordingly, 25,38,02,866 stock options remained outstanding as on March 31, 2023. All stock options vests in a graded manner and are required to be exercised within a specific period in accordance with IDFC FIRST Bank ESOS - 2015 and SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021 [‘SEBI (SBEB & SE) Regulations].

There has been no material change in IDFC FIRST Bank ESOS - 2015 during FY 2022-23 and the said IDFC FIRST Bank ESOS - 2015 is in compliance with the SEBI (SBEB & SE) Regulations.

The details and disclosures with respect to ESOS as required under SEBI (SBEB & SE) Regulations and circulars issued thereunder, have been uploaded on the Banks website www. idfcfirstbank.com under ‘Investors > ‘View All Annual Reports.

Further, disclosure as per the ‘Guidance Note on Accounting for Employee Share-based Payments issued by the Institute of Chartered Accountants of India, are appearing under the

Note 18.44 to the Standalone Financial Statements of IDFC FIRST Bank, forming part of this Annual Report.

STATUTORY AUDIT

The Reserve Bank of India vide its Circular No. RBI/2021-22/25 Ref. No. DoS.CO.ARG/ SEC.01/08.91.001/2021-22 dated April 27, 2021, had issued the Guidelines for Appointment of Statutory Central Auditors (SCAs)/ Statutory Auditors (SAs) of Commercial Banks (excluding RRBs), UCBs and NBFCs (including HFCs) (‘RBI Guidelines).

Pursuant to the RBI Guidelines, the Bank is required to appoint two (2) Joint Statutory Auditors, considering its asset size (i.e. more than Rs. 15,000 crore). Accordingly, the shareholders of the Bank in its 7^th AGM held on September 15, 2021 had approved appointment of M S K A & Associates, Chartered Accountants (Firm Registration No. 105047W) as one of the Joint Statutory Auditors of the Bank for a period of 3 years commencing from the conclusion of 7^th AGM till the conclusion of 10^th AGM.

Also, pursuant to expiry of term of B S R & Co. LLP in the 8^th AGM of the Bank held on August 05, 2022, the shareholders of the Bank in the said AGM (i.e. 8^th AGM) had approved appointment of Kalyaniwalla & Mistry LLP, Chartered Accountants (Firm Registration Number 104607W/W100166) as another Joint Statutory Auditors of the Bank for a period of 3 years commencing from the conclusion of 8^th AGM till the conclusion of 11^th AGM.

Further, in terms of RBI Guidelines, the appointment of M S K A & Associates and Kalyaniwalla & Mistry LLP shall be subject to them satisfying the eligibility norms and approval of the RBI, each year.

Accordingly, based on the recommendation of the Audit Committee, the Board has considered and made an application to RBI for approving the re-appointment of M S K A & Associates, Chartered Accountants, for its third year, and re-appointment of Kalyaniwalla & Mistry LLP, Chartered Accountants, for its second year, to act as Joint Statutory Auditors of the Bank for the year 2023-24.

Auditors Report

There were no qualifications, reservations, adverse remarks or disclaimers made by the Statutory Auditors in their report for the financial year ended March 31, 2023.

SECRETARIAL AUDIT

Pursuant to the provisions of Section 204 of the Act, read with rule 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, as amended, the Bank had appointed M/s. Makarand M. Joshi & Co., Practicing Company Secretaries to undertake the Secretarial Audit of the Bank for the financial year ended March 31, 2023.

The Bank provided all assistance and facilities to the Secretarial Auditors for conducting their audit. The Secretarial Audit Report is appended as ANNEXURE 4 to this report.

There were no qualifications, reservations, adverse remarks or disclaimers made by the Secretarial Auditors in their report for the financial year ended March 31, 2023.

CONCURRENT AUDIT

Our Bank has a regular and well-defined process of concurrent audits for important functions such as treasury, trade finance operations, retail operations, wholesale operations, information technology, data center, etc. in line with the extant regulatory guidelines. Reputed Chartered Accountant/ CERT-IN certified firms carry out these Concurrent Audits. Key findings of these audits are placed before the Audit Committee of the Board on a quarterly basis.

ANNUAL RETURN

Pursuant to Section 92(3) read with Section 134(3)(a) of the Act, the Annual Return as on March 31, 2023 is available on the Banks website www.idfcfirstbank.com under ‘Investors > ‘View All Annual Reports

WHISTLE BLOWER POLICY/ VIGIL MECHANISM

The Bank has implemented a Whistle Blower Policy in compliance with the provisions of the Listing Regulations, Companies Act and RBI notification on Introduction of ‘Protected Disclosures Scheme for Private Sector and Foreign Banks. Pursuant to this policy, the Whistle Blowers can raise concerns relating to reportable matters (as defined in the policy) such as breach of IDFC FIRST Banks Code of Conduct, employee misconduct, fraud, illegal, unethical, imprudent behavior, leakage of UPSI, corruption, safety and misappropriation or misuse of Bank funds/ assets, etc.

Further, the mechanism adopted by the Bank encourages the Whistle Blower to report genuine concerns or grievances and provides for adequate safeguards against victimization of Whistle Blower to those who avail such mechanism and also provides for direct access to the Chairman of the Audit Committee, in exceptional cases. During the year, no person has been denied access to the Audit Committee of the Board.

The Audit Committee reviews the functioning of the Vigil Mechanism from time to time. The Bank has formulated a Vigilance Policy for effectively managing the risks faced by the Bank on account of corruption, malpractices and frauds.

The Whistle Blower Policy is available on the Banks website at: www.idfcfirstbank.com under ‘Investors > ‘Other Investor Information > ‘Corporate Governance - Know More > ‘Policies section.

The Whistle Blower Policy is communicated to the employees and is also posted on the Banks intranet.

Mr. Nilesh Doshi is the Chief Vigilance Officer of the Bank.

PREVENTION OF SEXUAL HARASSMENT OF WOMEN AT THE WORKPLACE

Our Bank has complied with the provisions relating to constitution of Internal Committee to investigate and inquire into sexual harassment complaints in line with ‘The Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013.

Our Bank has in place a policy on Anti-Sexual Harassment, which reflects the Banks zero-tolerance towards any form of prejudice, gender bias and sexual harassment at the workplace. Our Bank undertakes ongoing trainings to create awareness on this policy.

The Bank conducts online training for its employees in order to understand the Policy on Prevention of Sexual Harassment and framework for reporting and resolving instances of sexual harassment, details of which have been mentioned in the Business Responsibility and Sustainability Report, which is hosted on the Banks website at www.idfcfirstbank.com under ‘Investors > ‘View All Annual Reports.

The details pertaining to number of complaints during the year has been provided below:

a) Number of complaints filed during the year: 1

b) Number of complaints disposed of during the year: 0

c) Number of complaints pending at the end of the financial year: 1*

The Bank has received 1 complaint in the month of March 2023. As on the date of this report, the said complaint is in the final stage of investigation and would be resolved within the statutory timelines.

AWARDS AND RECOGNITIONS

During the year under review, our Bank was recognized in various ways and the significant awards presented to our Bank are listed below:

• Outstanding Digital CX - Internet Banking (Wealth Management) by Digital CX.

• Best use of Al for Credit Decisioning by India Banking Summit and Awards

• Global Private Banking Innovation Awards 2022 by the Digital Banker and Global Private Banker

• Best Corporate Governance, India 2022 by World Finance Corporation

• ET Most Inspiring CEO by ET Edge

• Best Harmonizing Merger Award by the European

• Social Impact Bank of the Year 2022 by the European

• Most Innovative Digital Transformation Bank 2022 by the European

• Best Savings ProductRs. 2019-2020 by FE Indias Best Brand Award

• Asia Private Banking Award by the Associated Chambers of Commerce and Industry of India

• Non-lending Large Bank by the Associated Chambers of Commerce and Industry of India

• Overall Champion - Large Bank by the Associated Chambers of Commerce and Industry of India

• Best Sustainable Banking Strategy Award by Navabharat

• Excellence in Onboarding Program category - Silver by the Economic Times Human Capital Award

• Best Financial Institution with Digital Innovation by Bharat Fintech Summit23

• Best CSR Sustainability Award by Economic Times BFSI Excellence Awards

• MD & CEO awarded Entrepreneur of the Year 2022 in Financial Services Category by Ernst & Young

• Innovative Payment Solution of the Year by TOI Gadgets Now Awards, 2022 ^•

• Zeplin Harmony Award by Zeplin

GREEN INITIATIVE

To support the ‘Green Initiative, members who have not updated their e-mail addresses are requested to update the same with their respective Depository Participants (DPs), in case shares held are in electronic form or communicate their e-mail address to the Registrar and Share Transfer Agent i.e. KFin Technologies Limited or to the Bank, in case shares are held in physical form, so that future communications can be sent to members in electronic mode. Note on Green Initiative forms part of the 9^th AGM Notice.

ACKNOWLEDGMENT

Your Directors would like to place on record their gratitude for all the guidance and co-operation received from the Reserve Bank of India and other government and regulatory agencies. The Board would also like to take this opportunity to express appreciation to its valued customers for their continued patronage and to the members of the Bank for their continued support.

Your Directors sincerely acknowledge the commitment and hard work put in by all employees of the Bank through its transformational journey. Their valuable contribution has enabled the Bank to make significant progress towards building a great institution.

For and on behalf of the Board of Directors of
IDFC FIRST Bank Limited
	Sanjeeb Chaudhuri
Date : April 29, 2023	Chairperson
Place : Mumbai	DIN:03594427