21-APR-06 1

Welcome to theMedia Representatives

21-APR-06 2

Presentation to the Media Representatives on Performance during

FY 2005-06

April 21, 2006

21-APR-06 3

Our Vision

“To be the trusted partner in progress by leveraging quality human capital and setting global standards of

excellence to build the most valued financial

conglomerate”

21-APR-06 4

Contents

Highlights

Financial Performance

21-APR-06 5

Highlights

Deposit Grew by 72.16% to Rs.26000 Cr. in 2005-06 compared to System Growth of 17.9%

Retail Deposit Growth of 44%. Current A/c and Saving A/c constitute nearly 30% of total deposits

Gross Advances of the Bank grew by over 15% to Rs.56322 Cr. in 2005-06 powered by higher growth in retail advances which grew by 50% YoY

Retail Advances constituted 16.2% of total advances vis-à-vis 12.53% in 2004-05

Bala

nce

Sheet

21-APR-06 6

Highlights

Net Interest Income for 4QFY06 grew by 192% to Rs.334.90 crore vis-à-vis Rs.114.75 crore of 4QFY05

Increase in Profit After Tax to Rs.201 crore for 4QFY06 vis-à-vis Rs.189.29 in 4QFY05

PAT for YE 2006 at Rs.561 crore vis-à-vis Rs.307 crore for YE 2005Pro

fita

bili

ty

21-APR-06 7

Highlights

Balance sheet grew by 9% to Rs.88564.78 crore as at 31-Mar-06 vis-à-vis Rs.81,360.25 crore as at 31-Mar-05

Total business [Deposits + Advances] grew by 30% to Rs.78,518 crore

CRAR – 14.80% [Tier I – 11.75% <> Tier 11 – 3.05%]

Number of Branches have increased by 16 to 171

ATMs have increased by 46 to 377

Oth

ers

21-APR-06 8

Highlights

Significant progress in asset resolution – Reduction in Net NPA ratio to

1.01% at 31-Mar-06 from 1.74% at 31-Mar-05

– Recovery from Fully Written-Off cases aggregated Rs.1066 crore

– Recovery from NPA [incl FWO] aggregated Rs.1738 crore during the year

Oth

ers

21-APR-06 9

IT A

chie

vem

en

ts

Awards Won during the year IT Team of the Year Award of IBA Best IT Security Practices Award of NASSCOM Best CTO Award of Cyber Media

• Key Projects Airline ticketing through ATMs Setup of Data Center and Disaster Recovery

Center Internet Banking Enabled Multi-Functional KIOSK Kolkata and Haldia Port Trust Internet Banking

Payment and MIS Modules Online Payment of Central Excise and Service Tax Insta Online Account Facility

Website Integration of Both SBUs

21-APR-06 10

Contents

Highlights

Financial Performance

21-APR-06 11

Profit & Loss Account[R s. C r o r e ] 3 1 - M a r - 0 5 3 1 - M a r - 0 6

[6 m o n th s] [1 y e a r ]

In te r e st in c o m e 2 6 5 5 . 7 2 5 3 8 0 . 7 2

In te r e st e xp e n se s 2 4 6 7 . 8 7 5 0 0 0 . 8 2

N e t In te r e st in c o m e 1 8 7 . 8 5 3 7 9 . 9

O th e r In c o m e 6 2 7 . 1 3 1 2 8 0 . 4 5

T o ta l in c o m e 8 1 4 . 9 8 1 6 6 0 . 3 5

O p e r a tin g E xp e n se s 4 5 3 . 9 6 8 5 9 . 4 8

- E m p lo ye e C o st 1 4 9 . 3 4 3 1 8 . 5 1

- O th e r O p e r a tin g E xp e n se s 3 0 4 . 6 2 5 4 0 . 9 8

O p e r a tin g P r o fi t 3 6 1 . 0 2 8 0 0 . 8 7

Pr o v isio n s & c o n tin g e n c ie s 5 3 . 7 6 2 3 9 . 9 8

- N PA s 7 2 . 5 4 2 1 2 . 5 2

- T a x - 1 8 . 7 8 2 7 . 4 6

Pr o fi t A f te r T a x 3 0 7 . 2 6 5 6 0 . 8 9

21-APR-06 12

Quart

er

Perf

orm

an

ce

An

aly

sis

Rs. Crore

P&L Account [Q4’06 over Q4’05]

Q4 2006 Q4 2005Change of Q4 '06

over Q4 '05Interest Income 1573.87 1357.33 216.54Interest Expenses 1238.97 1242.58 -3.61Net Interest Income 334.90 114.75 220.15Other Income 370.29 352.00 18.29Total Income 705.19 466.75 238.44Operating expenses 302.58 268.52 34.06 - Employee Cost 151.29 101.47 49.82 - other operating exp. 151.29 167.05 -15.76Operating profit 402.61 198.23 204.38Provisions & contingencies 201.38 8.94 192.44 - NPAs 173.29 -56.19 229.48 - Tax 28.09 65.13 -37.04Profit after Taxes 201.23 189.29 11.94

21-APR-06 13

Key P

rofita

bili

ty Ind

icato

rs 3 1 -M ar -0 5 3 1 -M ar -0 6

N e t In te r e st M a r g in 0 . 8 1 % 0 . 4 9 %R e tu r n o n A sse ts 0 . 7 8 % 0 . 6 6 %R e tu r n o n E q u i ty 9 . 8 7 % 9 . 0 3 %C o st o f a ll li a b i li t ie s 6 . 2 3 % 5 . 8 8 %Y ie ld o n to ta l a sse ts 8 . 2 9 % 7 . 8 4 %M a r g in 2 . 0 6 % 1 . 9 6 %C o st o f fu n d s 7 . 3 5 % 6 . 8 3 %R e tu r n o n e a r n in g a sse ts 8 . 7 9 % 8 . 3 0 %Sp r e a d 1 . 4 4 % 1 . 4 7 %L o w c o st fu n d s to to ta l fu n d s 3 8 . 2 6 % 2 9 . 5 1 %N e t N PA R a tio 1 . 7 4 % 1 . 0 1 %

21-APR-06 14

Key O

pera

tin

g Ind

icato

rs 3 1 - M a r - 0 5 3 1 - M a r - 0 6

N on - in te re st in c om e to T ota l In c om e 1 9 % 1 9 %E ffi c ie n c y [C o st- In c o m e ] R a tio 5 6 % 6 7 %Sta ff E xp e n se s to to ta l in c o m e 5 % 5 %Sta ff E xp e n se s to to ta l e xp e n se s 5 % 5 %O ve r h e a d e ffi c ie n c y r a tio 1 3 8 % 1 4 9 %E PS [a n n u a li z e d ] - R s. 8 . 5 1 7 . 7 4

21-APR-06 15

Balance Sheet[R s. C r o r e ] 3 1 - M a r - 0 5 3 1 - M a r - 0 6

[ 6 m t h s ] [ 1 y e a r ]

L IA B IL IT IE S

C a p i ta l 7 2 2 7 2 4

R e se r ve & Su r p lu s 5 2 0 4 5 7 6 9

N e t W o r th 5 9 2 6 6 4 9 3

De p o si ts 1 5 1 0 3 2 6 0 0 1

B o r r o w in g s 5 0 0 0 6 4 7 5 3 0

O th e r L ia b i li t ie s & p r o v isio n s 1 0 3 2 6 8 5 4 1

T o ta l 8 1 3 6 0 8 8 5 6 5

A SSE T S

C a sh & b a la n c e w i th R B I 2 3 7 6 2 6 8 0

B a la n c e w i th b a n k s a n d m o n e y a t c a ll 3 2 7 7 2 6 8 3

In ve stm e n ts 2 5 0 5 5 2 5 5 7 3

A d va n c e s 4 5 4 1 4 5 2 5 1 7

F ixe d A sse ts [ in c l le a se d a sse ts] 8 8 9 8 1 1

O th e r A sse ts 4 3 4 9 4 3 0 2

T o ta l 8 1 3 6 0 8 8 5 6 5

21-APR-06 16

Bala

nce

Sh

eet

Rati

os

3 1 - M a r - 0 5 3 1 - M a r - 0 6

T o ta l B u sin e ss [De p o si ts + A d va n c e s] [R s C r ] 6 0 5 1 7 7 8 5 1 8

N e t N PA s to N e t A d va n c e s 1 .7 4 % 1 .0 1 %

C R A R 1 5 .5 0 % 1 4 .8 0 %

- T ie r 1 1 1 .9 3 % 1 1 .7 5 %

- T ie r II 3 .5 7 % 3 .0 5 %

SB De p o si ts to T o ta l De p o si ts 1 2 .5 3 % 9 .6 1 %

C u r r e n t A c c o u n t De p o si ts to T o ta l De p o si ts 2 5 .7 3 % 1 9 .9 0 %

T im e De p o si ts to T o ta l De p o si ts 6 1 .7 4 % 7 0 .4 8 %

B o o k V a lu e - R s. 8 2 .2 8 8 9 .2 5

T o ta l O ff B / Sh e e t i te m to T o ta l A sse ts 7 3 .8 1 % 8 6 .8 0 %

O w n e d F u n d s to to ta l o u tsid e lia b i li t ie s 7 .8 6 % 8 .4 0 %

21-APR-06 17

Asset Profile

7330

882 564847

1.01%1.74%2.4%

14.2%

0750

15002250

30003750

45005250

60006750

7500

Mar-03 Sep-04 Mar05 Mar-06

(Rs.crore)

0%

2%

4%

6%

8%

10%

12%

14%

16%Net NPAs (LHS)

As % of Net Advances (RHS)

Non Performing AssetsAsset Composition *

NPAs lower at 1.01%

0

1 0 0 0 0

2 0 0 0 0

3 0 0 0 0

4 0 0 0 0

5 0 0 0 0

6 0 0 0 0

M a r - 0 5 S e p - 0 5

M a r - 0 6

M a r - 0 5 4 7 9 9 3 5 7 2 5 6 8 7 6

S e p - 0 5 4 8 8 8 4 1 5 3 1 9 9 9 7 6

M a r - 0 6 5 4 5 5 7 4 0 0 6 4 3 7 2

S t d S u b S t d D b t fl L o s s

* Gross Loans & Advances

Rs.crore

21-APR-06 18

Key stock indicators

In d ia n F in a n c ia l In s t i t u t io n s

1 3 .9 %

O t h e r s7 .5 %

F o r e ig n In s i t u t io n a l In v e s t o r s

1 2 .3 %

P u b l ic1 3 .5 % G o v e r n m e n t o f

In d ia5 2 .8 %

Shareholding Pattern (Mar ’06)

GoI to retain at least 51% stake at all times

M a r k e t p r ic e p e r s h a r e ( R s ) 7 8 . 3M a r k e t C a p i t a l is a t io n ( R s . c r o r e ) 5 , 6 6 6

( U S D B ln ) 1 . 2 6E a r n in g s p e r s h a r e ( R s ) # 7 . 7 4B o o k v a lu e p e r s h a r e ( R s ) 8 9 . 2 5P r ic e t o B o o k R a t io 0 . 8 8D iv id e n d p a y o u t R a t io 1 9 %# a n n u a l i s e d

IDBI stock has shown moderate performance over the last few months Increased FII interest; holding at nearly 12.3% as on Mar 31, ‘06 compared to

around 8% as on Sept 30, ‘04Scope for re-rating on successful conversion to a full fledged Banking

Company

@ - end March 2006

@

@

21-APR-06 19

Strong Capital Position & Credit Rating

Capital considerably higher than the current RBI requirement of 9%

IDBI has sufficient capital to fund expansion as well as to meet Basle II norms

Capital AdequacyFinancial

Strength of IDBIStrong GoI

support to IDBI

Credit Strength

Domestic Ratings

CRISIL FITCH ICRA

Long term Rupee Bonds

AA+/Stable AA+(Ind) LAA+

Fixed Deposits FAAA AA+(Ind) MAA+

Short term borrowings P1+ F1+(Ind) A1+

International Ratings

Long Term Foreign Currency Ratings

S & P Moody’s Fitch

India BB+ Baa3 BB+

IDBI Ltd. BB+ Baa3 BB+

Credit Rating at par with the Sovereign by Moody’s and FITCH0 %

2 %

4 %

6 %

8 %

1 0 %

1 2 %

1 4 %

1 6 %

1 8 %

2 0 %

3 1 - M a r - 0 4 1 4 . 6 8 % 3 . 6 0 % 1 8 . 2 8 %

3 1 - M a r - 0 5 1 1 . 9 3 % 3 . 5 7 % 1 5 . 5 0 %

3 1 - M a r - 0 6 1 1 . 7 5 % 3 . 0 5 % 1 4 . 8 0 %

T ie r I C a p it a l T ie r I I C a p it a l T o t a l C A R

21-APR-06 20

IDB

I Lt

d.

Manpower Position C la ss III C la ss IV T ota l

D B SB U C B SB U

O p e n in g B a la n c e [ 0 1 / 0 4 / 0 5 ] 1 1 6 3 2 0 8 7 6 7 0 5 1 5 4 4 3 5

D e d u c t

R e sign a t ion s 3 8 6 9 5 3 0 7 3 6

R e t ire m e n t / V R S 1 8 0 2 3 2 3

D e a th 1 0 1 5 7

D e p u ta t ion 1 0 0 0 1

In te r - c a d re m ov e m e n t 0 0 3 1 1 2 4 3

T ota l 5 8 6 9 5 3 7 2 0 8 1 0

A d d

R e c ru itm e n t 7 2 7 7 0 2 9 1 8 8 8 9

R e p a t r ia t ion f rom D e p u t 4 0 0 0 4

In te r - c a d re m ov e m e n t 3 1 0 1 2 0 4 3

T ota l 1 0 7 7 7 0 4 1 1 8 9 3 6

C losin g B a la n c e [ 3 1 / 0 3 / 0 6 ] 1 2 1 2 2 1 6 2 6 7 4 5 1 3 4 5 6 1

O ffi c e r s se r v in g n o t ic e p e r io d 2 7 4 0 0 7 6

O ffi c e rs

21-APR-06 21

Highlights

Entered into JV with Fortis for Insurance Sector

Signed MoU with SIDBI for co-financing to SME borrowers

Big Ticket Syndication of loans to Air India, Hindalco, Idea Cellular, Petrocon, DLF Universal, etc.

Extended Food Credit for the first time to the extent of Rs.500 crore to FCI

Launched on-line submission of L/C applications iNetlc submit

New

Bu

sin

ess

In

itia

tives

21-APR-06 22

Network & delivery channels

171 branches [Rural 6, Semi-Urban 29, Urban 75, Metro 61]

4 extension counters

377 ATMs

Presence in 100 cities

Internet banking

Retail customer base: 5 million +

Corporate customers: 3000 +

21-APR-06 23

IDB

I Lt

d. &

Subsi

dia

ries

Consolidated Position

[ R s . C r o r e ] 3 1 - M a r - 0 5 3 1 - M a r - 0 6

P R O F IT / [ L O S S ] A F T E R T A X

ID B I L t d . 3 0 7 .2 6 5 6 1

ID B I H o m e f in a n c e L t d . 7 .8 4 1 4 .4 2

ID B I C a p i t a l M a r k e t S e r v L t d [ 7 4 .2 7 ] 4 6 .2 9

ID B I In t e c h L t d . [ 2 .6 6 ] [ 3 .8 0 ]

21-APR-06 24

SA

SF

Performance Highlights

P a r t i c u l a r s # o f C o s . B o o k V a l u e S e t t l e m e n t A m t .

S e t t le m e n t P o s i t io n a s o n 3 1 .0 3 .0 6 2 8 8 4 4 0 7 5 1 3 7

F u l y p a i d & a c c o u n t s c l o s e d 7 4 2 9 1 3 4 7

C a s e s g e n e r a l l y r e g u l a r i n p a y m e n t 2 0 2 3 8 9 1 4 4 1 7

C a s e s u n e r r e v i e w f o r m o d f / c a n c e l . 1 2 2 2 5 3 7 3

C a s e s T r a n s f e r r e d = 6 3 6 [ B o o k V a lu e R s .9 0 0 0 c r . ]

P o s i t i o n o f s e t t l e m e n t [ R s . C r o r e ]

B r e a k u p o f S t a t u s o f s e t t l e m e n t c a s e s

21-APR-06 25

SA

SF

Performance Highlights [Contd.]

P a r t ic u la r s F Y 0 5 F Y 0 6 T o t a l A m o u n t

1 T o t a l R e c o v e r y 2 0 0 8 1 0 1 0 1 0

- o f w h ic h r e m it t e d t o G o I 1 3 4 0 1 3 4

- E x p e n s e s 2 2 2 8 5 0

2 B a la n c e h e ld in S A S F C u r r e n t A /c 2 0 7 9 7 7 9 7

3 B a la n c e h e ld in ID B I b o o k s 2 4 2 9 2 9

P o s i t i o n o f r e c o v e r y [ R s . C r o r e ]

21-APR-06 26

Thank You