Axis Bank AR 2021-22 - Standalone Financial Statements

Standalone
Balance Sheet
As at 31 March, 2022
(` in Thousands)
Schedule As at As at
No. 31-03-2022 31-03-2021
Capital and Liabilities

Capital 1 6,139,496 6,127,497
Employees' Stock Options Outstanding 1,485,957 -
Reserves & Surplus 2 1,144,115,119 1,009,902,605
Deposits 3 8,217,209,051 6,979,852,901
Borrowings 4 1,851,338,631 1,428,731,597
Other Liabilities and Provisions 5 531,492,834 443,361,706
Total 11,751,781,088 9,867,976,306
Assets
Cash and Balances with Reserve Bank of India 6 940,345,056 518,085,592
Balances with Banks and Money at Call and Short Notice 7 169,526,229 99,212,618
Investments 8 2,755,972,009 2,261,196,213
Advances 9 7,076,959,511 6,143,993,979
Fixed Assets 10 45,723,503 42,450,264
Other Assets 11 763,254,780 803,037,640
Total 11,751,781,088 9,867,976,306
Contingent Liabilities 12 12,921,045,727 10,526,588,107
Bills for Collection 669,474,382 503,752,658
Significant Accounting Policies and Notes to Accounts 17 & 18
Schedules referred to above form an integral part of the Balance Sheet
In terms of our report attached. For Axis Bank Ltd.
For M P Chitale & Co. Rakesh Makhija

ICAI Firm Registration No.: 101851W Chairman
Chartered Accountants
Ashutosh Pednekar Rajiv Anand Amitabh Chaudhry

Partner Deputy Managing Director Managing Director & CEO
Membership No.: 041037
For CNK & Associates LLP S. Mahendra Dev Girish Paranjpe T.C. Suseel Kumar
ICAI Firm Registration No.: 101961W/W100036 Director Director Director
Manish Sampat Sandeep Poddar Puneet Sharma

Partner Company Secretary Chief Financial Officer
Date : 28 April, 2022

Place: Mumbai
172 Annual Report 2021-22

Financial Statements
Profit & Loss Account

For the year ended 31 March, 2022
(` in Thousands)
Schedule Year ended Year ended
No. 31-03-2022 31-03-2021
I Income
Interest earned 13 673,768,296 633,462,321
Other income 14 152,205,453 122,635,985
Total 825,973,749 756,098,306
II Expenditure
Interest expended 15 342,446,131 341,071,103
Operating expenses 16 236,107,543 183,751,491
Provisions and contingencies 18 (4.14)(e) 117,165,291 165,390,706
Total 695,718,965 690,213,300
III Net Profit for the year (I - II) 130,254,784 65,885,006
Balance in Profit & Loss Account brought forward from previous year 299,852,810 261,904,547
IV Amount Available for Appropriation 430,107,594 327,789,553
V Appropriations:
Transfer to Statutory Reserve 32,563,696 16,471,251
Transfer to Special Reserve 18 (4.1)(b)(iii) 6,091,900 -
Transfer to Investment Reserve 18 (4.1)(b)(iv) 1,484,983 -
Transfer to Capital Reserve 18 (4.1)(b)(v) 4,410,424 8,482,344
Transfer to Investment Fluctuation Reserve 18 (4.1)(b)(vi) 4,550,000 3,260,000
Dividend paid 18 (5.3) - -
Balance in Profit & Loss Account carried forward 381,006,591 299,575,958
Total 430,107,594 327,789,553
VI Earnings Per Equity Share 18 (5.1)
(Face value `2/- per share)
Basic (in `) 42.48 22.15
Diluted (in `) 42.35 22.09
Significant Accounting Policies and Notes to Accounts 17 & 18
Schedules referred to above form an integral part of the Profit and Loss Account




Place: Mumbai
173
Standalone
Cash Flow Statement

(` in Thousands)
Year ended Year ended

31-03-2022 31-03-2021
Cash flow from operating activities

Net profit before taxes 173,825,547 88,058,457
Adjustments for:
Depreciation on fixed assets 10,083,656 9,481,530
Depreciation on investments (2,644,815) 13,290,824
Amortisation of premium on Held to Maturity investments 8,237,790 5,921,192
Provision for Non Performing Assets (including bad debts)/Restructured assets 75,496,147 121,910,961
Provision on standard assets and other contingencies 21,766,659 33,761,516
Profit/(loss) on sale of land, buildings and other assets (net) 48,759 68,553
Loss on repayment of capital by subsidiary 237,436 -
Dividend from Subsidiaries (886,524) (583,500)
Employee Stock Options Expense 1,485,957 -
287,650,612 271,909,533
Adjustments for:
(Increase)/Decrease in investments (241,890,632) (189,684,607)
(Increase)/Decrease in advances (1,004,617,060) (635,485,404)
Increase /(Decrease) in deposits 1,237,356,150 672,011,428
(Increase)/Decrease in other assets 35,461,396 46,979,953
Increase/(Decrease) in other liabilities & provisions 66,336,262 (11,965,037)
Direct taxes paid (40,784,074) (17,939,424)
Net cash flow from operating activities 339,512,654 135,826,442
Cash flow from investing activities
Purchase of fixed assets (13,438,848) (9,016,560)
(Increase)/Decrease in Held to Maturity investments (258,303,790) (532,699,292)
Increase in investment in Subsidiaries (3,994,637) (67,000)
Decrease in investment in Subsidiaries 1,273,010 -
Proceeds from sale of fixed assets 61,400 131,382
Dividend from Subsidiaries 886,524 583,500
Net cash used in investing activities (273,516,341) (541,067,970)

(` in Thousands)

31-03-2022 31-03-2021
Cash flow from financing activities

Proceeds from issue/(Repayment) of subordinated debt, Additional Tier I instruments (net) (23,774,500) -
Increase/(Decrease) in borrowings (other than subordinated debt, Additional Tier I instruments (net)) 446,381,534 (50,809,733)
Proceeds from issue of share capital 11,998 484,141
Proceeds from share premium (net of share issue expenses) 2,758,544 100,911,847
Net cash generated from financing activities 425,377,576 50,586,255
Effect of exchange fluctuation translation reserve 1,199,186 (729,320)
Net increase in cash and cash equivalents 492,573,075 (355,384,593)
Cash and cash equivalents at the beginning of the year 617,298,210 972,682,803
Cash and cash equivalents at the end of the year 1,109,871,285 617,298,210
Notes to the Cash Flow Statement:
1. Cash and cash equivalents includes the following
Cash and Balances with Reserve Bank of India (Refer Schedule 6) 940,345,056 518,085,592
Balances with Banks and Money at Call and Short Notice (Refer Schedule 7) 169,526,229 99,212,618
Cash and cash equivalents at the end of the year 1,109,871,285 617,298,210
2. Amount of Corporate Social Responsibility related expenses spent during the year in cash
`113.40 crores (previous year `85.06 crores)




Place: Mumbai
175
Standalone
SCHEDULES FORMING PART OF THE BALANCE SHEET

Schedule 1 - Capital
(` in Thousands)
As at As at
31-03-2022 31-03-2021
Authorised Capital
4,250,000,000 (Previous year - 4,250,000,000) Equity Shares of `2/- each 8,500,000 8,500,000
Issued, Subscribed and Paid-up capital
3,069,747,836 (Previous year - 3,063,748,652) Equity Shares of `2/- each fully paid-up 6,139,496 6,127,497
Schedule 2 - Reserves and Surplus

(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Statutory Reserve
Opening Balance 147,990,536 131,519,285
Additions during the year 32,563,696 16,471,251
180,554,232 147,990,536
II. Special Reserve
Opening Balance - -
Additions during the year [Refer Schedule 18 (4.1)(b)(iii)] 6,091,900 -
6,091,900 -
III. Share Premium Account
Opening Balance 512,293,884 411,382,037
Additions during the year 2,758,544 101,281,656
Less: Share issue expenses - (369,809)
515,052,428 512,293,884
IV. Investment Reserve Account
Opening balance - -
Additions during the year [Refer Schedule 18 (4.1)(b)(iv)] 1,484,983 -
1,484,983 -
V. General Reserve
Opening Balance 3,543,100 3,543,100
Additions during the year - -
3,543,100 3,543,100
VI. Capital Reserve
Opening Balance 32,811,478 24,329,134
Additions during the year [Refer Schedule 18 (4.1)(b)(v)] 4,410,424 8,482,344
37,221,902 32,811,478
VII. Foreign Currency Translation Reserve [Refer Schedule 17 (5.6)]
Opening Balance 870,797 1,787,213
Additions during the year 1,199,186 -
Deductions during the year - (729,320)
Transfer to balance in Profit & Loss Account1 - (187,096)
2,069,983 870,797

(` in Thousands)
As at As at
31-03-2022 31-03-2021
VIII. Reserve Fund
Opening Balance - 89,756
Deductions during the year [Refer Schedule 18 (4.1)(b)(vii)]2 - (89,756)
- -
IX. Investment Fluctuation Reserve
Opening Balance 12,540,000 9,280,000
Additions during the year [Refer Schedule 18 (4.1)(b)(vi)] 4,550,000 3,260,000
17,090,000 12,540,000
X. Balance in Profit & Loss Account brought forward 381,006,591 299,575,958
Adjustments during the year1, 2 - 276,852
Balance in Profit & Loss Account 381,006,591 299,852,810
Total 1,144,115,119 1,009,902,605
1. During the previous year ended 31 March, 2021, the Bank had transferred `8.98 crores from Reserve Fund account to Balance in Profit & Loss
Account on closure of Colombo branch operations
2. During the previous year ended 31 March, 2021, the Bank had transferred `18.71 crores from Foreign Currency Translation Reserve to Balance in
Profit & Loss Account, representing the amount of exchange gain realised on repatriation of accumulated profits of overseas branches that have
been closed during the year
Schedule 3 - Deposits
(` in Thousands)
As at As at
31-03-2022 31-03-2021
A. I. Demand Deposits
(i) From banks 47,926,445 51,455,112
(ii) From others 1,225,135,013 1,081,306,636
II. Savings Bank Deposits 2,424,492,469 2,044,725,279
III. Term Deposits
(i) From banks 218,241,253 231,595,882
(ii) From others 4,301,413,871 3,570,769,992
Total 8,217,209,051 6,979,852,901
B. I. Deposits of branches in India 8,192,828,648 6,958,985,369
II. Deposits of branches outside India 24,380,403 20,867,532
Total 8,217,209,051 6,979,852,901
Schedule 4 - Borrowings
(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Borrowings in India
(i) Reserve Bank of India 181,020,000 181,020,000
(ii) Other banks 1 150,000 505,000
(iii) Other institutions & agencies 2 1,126,296,822 847,125,567
II. Borrowings outside India 3 543,871,809 400,081,030
Total 1,851,338,631 1,428,731,597
Secured borrowings included in I & II above 250,784,722 181,518,789
1. Borrowings from other banks include Subordinated Debt of `15.00 crores (previous year `15.00 crores) in the nature of Non-Convertible
Debentures [Also refer Schedule 18 (4.1)(a)]
2. Borrowings from other institutions & agencies include Subordinated Debt of `14,065.00 crores (previous year `17,490.00 crores) in the nature of
Non-Convertible Debentures and Perpetual Debt of `3,500.00 crores (previous year `7,000.00 crores) [Also refer Schedule 18 (4.1)(a)]
3. Borrowings outside India include Additional Tier I Bonds in the nature of Perpetual Debt amounting to $600 million (`4,547.55 crores); previous
year Nil
177
Standalone
Schedule 5 - Other Liabilities and Provisions

(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Bills payable 84,993,581 70,326,546

II. Inter-office adjustments (net) - -
III. Interest accrued 42,397,579 33,368,882
IV. Contingent provision against standard assets 72,708,198 70,483,054
V. Others (including provisions) 331,393,476 269,183,224
Total 531,492,834 443,361,706
Schedule 6 - Cash and Balances with Reserve Bank of India

(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Cash in hand (including foreign currency notes) 98,400,898 126,731,503

II. Balances with Reserve Bank of India
(i) in Current Account 369,934,158 234,354,089
(ii) in Other Accounts 472,010,000 157,000,000
Total 940,345,056 518,085,592
Schedule 7 - Balances with Banks and Money at Call and Short Notice
(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. In India
(i) Balance with Banks
(a) in Current Accounts 12,334,577 2,792,501
(b) in Other Deposit Accounts 1,237,903 6,145,903
(ii) Money at Call and Short Notice
(a) With banks - -
(b) With other institutions 7,984,854 -
Total 21,557,334 8,938,404
II. Outside India
(i) in Current Accounts 23,359,217 22,476,883
(ii) in Other Deposit Accounts 55,183,748 4,520,626
(iii) Money at Call & Short Notice 69,425,930 63,276,705
Total 147,968,895 90,274,214
Grand Total (I+II) 169,526,229 99,212,618

Schedule 8 - Investments
(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Investments in India in -
(i) Government Securities1 2,190,931,483 1,807,028,378
(ii) Other approved securities - -
(iii) Shares 17,589,672 12,135,320
(iv) Debentures and Bonds 449,048,275 347,312,010
(v) Subsidiaries/Joint Ventures 22,156,458 18,161,821
(vi) Others (Mutual Fund units, PTC etc.) 13,611,786 31,941,023
Total Investments in India 2,693,337,674 2,216,578,552
II. Investments outside India in -
(i) Government Securities (including local authorities) 56,697,634 34,872,151
(ii) Subsidiaries and/or joint ventures abroad 3,322,982 4,833,427
(iii) Others (Equity Shares and Bonds) 2,613,719 4,912,083
Total Investments outside India 62,634,335 44,617,661
Grand Total (I+II) 2,755,972,009 2,261,196,213
1. Includes securities costing `58,436.89 crores (previous year `39,279.90 crores) pledged for availment of fund transfer facility, clearing facility and
margin requirements
Schedule 9 - Advances
(` in Thousands)
As at As at
31-03-2022 31-03-2021
A. (i) Bills purchased and discounted 355,757,979 224,469,726
(ii) Cash credits, overdrafts and loans repayable on demand1 1,881,774,129 1,784,050,089
(iii) Term loans 4,839,427,403 4,135,474,164
Total 7,076,959,511 6,143,993,979
B. (i) Secured by tangible assets2 5,248,291,348 4,414,912,395
(ii) Covered by Bank/Government Guarantees3 138,087,031 61,884,690
(iii) Unsecured 1,690,581,132 1,667,196,894
Total 7,076,959,511 6,143,993,979
C. I. Advances in India
(i) Priority Sector 2,541,627,452 1,841,713,701
(ii) Public Sector 221,957,001 326,809,245
(iii) Banks 24,469,274 31,309,969
(iv) Others 3,808,002,694 3,587,372,463
Total 6,596,056,421 5,787,205,378
II. Advances Outside India
(i) Due from banks 5,608,645 17,482,878
(ii) Due from others -
(a) Bills purchased and discounted 238,885,611 99,079,523
(b) Syndicated loans 1,070,721 3,106,491
(c) Others 235,338,113 237,119,709
Total 480,903,090 356,788,601
Grand Total (CI+CII) 7,076,959,511 6,143,993,979
1. Net of borrowings under Inter Bank Participation Certificate (IBPC) Nil (previous year `700.00 crores), includes lending under IBPC `4,925.70
crores (previous year `3,078.38 crores)
2. Includes advances against Book Debts `124,783.52 crores (previous year `108,930.80 crores)
3. Includes advances against L/Cs issued by other banks
179
Standalone
Schedule 10 - Fixed Assets

(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Premises
Gross Block
At cost at the beginning of the year 18,377,019 18,377,019
Additions during the year 343,089 -
Deductions during the year - -
Total 18,720,108 18,377,019
Depreciation
As at the beginning of the year 2,195,125 1,916,837
Charge for the year 278,664 278,288
Deductions during the year - -
Depreciation to date 2,473,789 2,195,125
Net Block 16,246,319 16,181,894
II. Other fixed assets (including furniture & fixtures)
Gross Block
At cost at the beginning of the year 79,505,358 67,624,322
Additions during the year 1
12,101,510 12,662,609
Deductions during the year (1,883,120) (781,573)
Total 89,723,748 79,505,358
Depreciation
As at the beginning of the year 54,334,010 45,698,604
Charge for the year 9,804,992 9,203,242
Deductions during the year (1,801,168) (567,836)
Depreciation to date 62,337,834 54,334,010
Net Block 27,385,914 25,171,348
III. Capital Work-in-Progress (including capital advances) 2,091,270 1,097,022
Grand Total (I+II+III) 45,723,503 42,450,264
1. includes movement on account of exchange rate fluctuation
Schedule 11 - Other Assets

(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Inter-office adjustments (net) - -

II. Interest Accrued 84,649,252 80,915,330
III. Tax paid in advance/tax deducted at source (net of provisions) 7,193,917 8,401,306
IV. Stationery and stamps 6,286 4,647
V. Non banking assets acquired in satisfaction of claims1 - -
VI. Others 2,3
671,405,325 713,716,357
Total 763,254,780 803,037,640
1. Represents balance net of provision of `2,068.24 crores (previous year `2,068.24 crores) on Land held as non-banking asset
2. Includes deferred tax assets of `7,361.84 crores (previous year `7,519.77 crores) [Refer Schedule 18 (5.8)]
3. Includes Priority Sector Shortfall Deposits of `41,653.61 crores (previous year `46,885.68 crores)

Schedule 12 - Contingent Liabilities

(` in Thousands)
As at As at
31-03-2022 31-03-2021
I. Claims against the Bank not acknowledged as debts 9,516,734 20,538,600

II. Liability for partly paid investments 3,194,871 1,647,600
III. Liability on account of outstanding forward exchange and derivative contracts:
a) Forward Contracts 5,178,033,671 5,101,178,776
b) Interest Rate Swaps, Currency Swaps, Forward Rate Agreement & Interest Rate Futures 5,426,088,513 3,354,176,124
c) Foreign Currency Options 479,585,470 365,043,226
Total (a+b+c) 11,083,707,654 8,820,398,126
IV. Guarantees given on behalf of constituents
In India 724,358,601 729,652,492
Outside India 72,919,870 78,656,250
V. Acceptances, endorsements and other obligations 569,415,450 378,058,439
VI. Other items for which the Bank is contingently liable 457,932,547 497,636,600
Grand Total (I+II+III+IV+V+VI) [Refer Schedule 18 (5.15)] 12,921,045,727 10,526,588,107
181
Standalone
SCHEDULES FORMING PART OF PROFIT & LOSS ACCOUNT

Schedule 13 - Interest Earned

(` in Thousands)
31-03-2022 31-03-2021
I. Interest/discount on advances/bills 496,165,823 476,198,000
II. Income on investments 146,189,141 125,582,106
III. Interest on balances with Reserve Bank of India and other inter-bank funds 15,281,533 10,378,843
IV. Others 16,131,799 21,303,372
Total 673,768,296 633,462,321
Schedule 14 - Other Income

(` in Thousands)
31-03-2022 31-03-2021
I. Commission, exchange and brokerage 113,586,145 93,589,106
II. Profit/(Loss) on sale of investments (net) 11,132,237 23,023,296
III. Profit/(Loss) on revaluation of investments (net) [Refer Schedule 18(4.3)(b)] 2,644,815 (13,290,824)
IV. Profit/(Loss) on sale of land, buildings and other assets (net)1 (48,760) (68,551)
V. Profit/(Loss) on exchange/derivative transactions (net) 19,123,801 15,780,620
VI. Income earned by way of dividends etc. from subsidiaries/companies and/or joint venture 886,524 583,500
abroad/in India
VII. Miscellaneous Income 4,880,691 3,018,838
Total 152,205,453 122,635,985
1. includes provision for diminution in value of fixed assets
Schedule 15 - Interest Expended

(` in Thousands)
31-03-2022 31-03-2021
I. Interest on deposits 266,837,844 265,441,888
II. Interest on Reserve Bank of India/Inter-bank borrowings 10,213,473 14,827,106
III. Others 65,394,814 60,802,109
Total 342,446,131 341,071,103
Schedule 16 - Operating Expenses

(` in Thousands)
31-03-2022 31-03-2021
I. Payments to and provisions for employees 76,125,539 61,640,139
II. Rent, taxes and lighting 13,355,481 11,682,655
III. Printing and stationery 2,301,928 1,693,339
IV. Advertisement and publicity 732,598 813,136
V. Depreciation on bank's property 10,083,656 9,481,530
VI. Directors' fees, allowance and expenses 49,949 24,929
VII. Auditors' fees and expenses 33,735 21,097
VIII. Law charges 2,071,479 1,243,809
IX. Postage, telegrams, telephones etc. 2,879,837 3,004,494
X. Repairs and maintenance 13,774,304 11,937,024
XI. Insurance 12,842,409 9,994,257
XII. Other expenditure 101,856,628 72,215,082
Total 236,107,543 183,751,491
17 SIGNIFICANT ACCOUNTING POLICIES TO THE STANDALONE FINANCIAL STATEMENTS

for the year ended 31 March, 2022
1. Background
Axis Bank Limited (‘the Bank’) was incorporated in 1993 and provides a complete suite of banking and financial services
including retail banking, wholesale banking and treasury operations. The Bank is primarily governed by the Banking
Regulation Act, 1949. As on 31 March, 2022, the Bank has overseas branches at Singapore, DIFC - Dubai and an Offshore
Banking Unit at the International Financial Service Centre (IFSC), Gujarat International Finance Tec-City (GIFT City),
Gandhinagar, India.
2. Basis of preparation
The standalone financial statements (‘financial statements’) have been prepared and presented under the historical cost
convention on the accrual basis of accounting in accordance with the generally accepted accounting principles in India,
unless otherwise stated by the Reserve Bank of India (‘RBI’), to comply with the statutory requirements prescribed under
the Third Schedule of the Banking Regulation Act, 1949, the circulars, notifications, guidelines and directives issued by
the RBI from time to time and the Accounting Standards notified under Section 133 of the Companies Act, 2013 read
with paragraph 7 of the Companies (Accounts) Rules, 2014 and the Companies (Accounting Standards) Amendment
Rules, 2016 to the extent applicable and practices generally prevalent in the banking industry in India. Accounting
policies applied have been consistent with the previous year except otherwise stated.
3. Use of estimates
The preparation of the financial statements in conformity with the generally accepted accounting principles requires
the Management to make estimates and assumptions that affect the reported amounts of assets and liabilities (including
contingent liabilities) at the date of the financial statements, revenues and expenses during the reporting period. Actual
results could differ from those estimates. The Management believes that the estimates and assumptions used in the
preparation of the financial statements are prudent and reasonable. Any revisions, as and when carried out, to the
accounting estimates are recognised prospectively in the current and future periods.
4. Changes in accounting policies

Effective 1 April, 2021, the Bank has carried out the following changes in its accounting policies:
4.1 Recognition of Employee stock option expenses
RBI issued a clarification on Guidelines on Compensation of Whole Time Directors/Chief Executive Officers /Material
Risk Takers and Control Function Staff on 30 August, 2021, advising banks that the share-linked instruments are required
to be fair valued on the date of grant using the Black-Scholes model. The fair value thus arrived should be recognised
as an expense for all options granted after the accounting period ending 31 March, 2021. Accordingly, the Bank has
changed its accounting policy from the intrinsic value method to the fair value method for all share-linked instruments
granted after 31 March, 2021 and consequently recognized the fair value of options computed using the Black-Scholes
model, without reducing estimated forfeitures, as compensation expense over the vesting period. As a result, ‘Payments
to & provisions for employees’ for the year ended 31 March, 2021 are higher by `129.79 crores with a consequent
reduction in the profit before tax by the same amount.
5. Significant accounting policies

5.1 Investments
Classification
In accordance with the RBI guidelines, investments are classified at the time of purchase as:
• Held for Trading (‘HFT’);
• Available for Sale (‘AFS’); and
• Held to Maturity (‘HTM’).
Investments that are held principally for sale within a short period are classified as HFT securities. As per the RBI
guidelines, HFT securities, which remain unsold for a period of 90 days are transferred to AFS securities.
Investments that the Bank intends to hold till maturity are classified under the HTM category. Investments in the equity
of subsidiaries/joint ventures and investments under TLTRO guidelines are categorised as HTM in accordance with the
RBI guidelines.
183
Standalone
All other investments are classified as AFS securities.

For disclosure in the Balance Sheet, Investments in India are classified under six categories - Government Securities,
Other approved securities, Shares, Debentures and Bonds, Investment in Subsidiaries/Joint Ventures and Others.
Investments made outside India are classified under three categories - Government Securities, Subsidiaries and/or Joint
Ventures abroad and Others.
All investments are accounted for on settlement date, except investments in equity shares which are accounted
for on trade date.
Transfer of security between categories
Transfer of security between categories of investments is accounted as per the RBI guidelines.
Acquisition cost
Costs such as brokerage, commission etc. pertaining to investments, incurred at the time of acquisition, are charged to
the Profit and Loss Account.
Broken period interest is charged to the Profit and Loss Account.
Cost of investments is computed based on the weighted average cost method.
Valuation
Investments classified under the HTM category: Investments are carried at acquisition cost unless it is more than the
face value, in which case the premium is amortised over the period remaining to maturity on a constant yield to maturity
basis. Such amortization of premium is adjusted against interest income under the head ‘Income from Investments’
under Schedule 13 in Profit and Loss Account. As per the RBI guidelines, discount on securities held under HTM category
is not accrued and such securities are held at the acquisition cost till maturity.
Investments in subsidiaries/joint ventures are categorised as HTM and assessed for impairment to determine permanent
diminution, if any, in accordance with the RBI guidelines and suitable provisions are made.
Investments classified under the AFS and HFT categories: Investments under these categories are marked to market. The
market/fair value of quoted investments included in the ‘AFS’ and ‘HFT’ categories is the market price of the scrip
as available from the trades/quotes on the stock exchanges or prices declared by the Fixed Income Money Market
and Derivatives Association of India (‘FIMMDA’)/Financial Benchmark India Private Limited (‘FBIL’), periodically. Net
depreciation, if any, within each category of each investment classification is recognised in the Profit and Loss Account.
The net appreciation if any, under each category of each investment classification is ignored. Net depreciation on each
type of investments falling under the residual category of ‘Others’ (i.e. mutual funds, PTCs, security receipts etc.) is
not offset against gain in another class of investment falling within the ‘Others’ category. Further, in case of standard
investments classified as weak (including certain internally unrated investments) as per the Bank’s internal framework,
the Bank recognizes net depreciation without availing the benefit of set‐off against appreciation within the same class
of investments as permitted under the extant RBI circular. The depreciation on securities acquired by way of conversion
of outstanding loans is provided in accordance with the RBI guidelines. Provision for depreciation on investments is
classified under Schedule-14 ‘Other Income’. The book value of individual securities is not changed consequent to the
periodic valuation of investments.
Non-performing investments are identified and provision is made thereon as per the RBI guidelines. Provision for
depreciation on such non-performing investments is not set off against the appreciation in respect of other performing
securities as per RBI guidelines. Interest on non-performing investments is not recognized in the Profit and Loss Account
until received.
Treasury Bills, Exchange Funded Bills, Commercial Paper and Certificate of Deposits being discounted instruments, are
valued at carrying cost which includes discount accreted over the period to maturity.
Units of mutual funds are valued at the latest repurchase price/net asset value declared by the mutual fund.
Market value of investments where current quotations are not available, is determined in accordance with the norms
prescribed by the RBI as under:
• The market/fair value of unquoted government securities which are in the nature of Statutory Liquidity Ratio
(‘SLR’) securities forming part of AFS and HFT categories is computed as per the rates published by FIMMDA/FBIL.
• In case of special bonds issued by the Government of India that do not qualify for SLR purposes, unquoted bonds,
debentures, preference shares where interest/dividend is received regularly (i.e. not overdue beyond 90 days), the
market price is derived based on the YTM for Government Securities as published by FIMMDA/FBIL and suitably

marked up for credit risk applicable to the credit rating of the instrument. The matrix for credit risk mark-up for
each category and credit ratings along with residual maturity issued by FIMMDA/FBIL is adopted for this purpose.
• In case of bonds & debentures where interest is not received regularly (i.e. overdue beyond 90 days), the valuation
is in accordance with prudential norms for provisioning as prescribed by the RBI.
• Pass Through Certificates (‘PTC’) and Priority Sector PTCs are valued as per extant FIMMDA guidelines.
• Equity shares, for which current quotations are not available or where the shares are not quoted on the stock
exchanges, are valued at break-up value (without considering revaluation reserves, if any) which is ascertained
from the company’s latest Balance Sheet. In case the latest Balance Sheet is not available, the shares are valued at
`1 per company.
• Units of Venture Capital Funds (‘VCF’) held under AFS category where current quotations are not available are
valued based on the latest audited financial statements of the fund. In case the audited financials are not available
for a period beyond 18 months, the investments are valued at `1 per VCF. Investment in unquoted VCF may be
categorized under HTM category for the initial period of three years and are valued at cost as per the RBI guidelines.
• Investments in Security Receipts (SR’s) are valued as per the NAV declared by the issuing Asset Reconstruction
Company (ARC) or net book value of loans transferred or estimated recoverable value based on Bank’s internal
assessment on case to case basis, whichever is lower. In case of investments in SRs which are backed by more than
10 percent of the stressed assets sold by the Bank, the valuation of such SRs is additionally subject to a floor of
face value of the SRs reduced by the provisioning rate as per the extant asset classification and provisioning norms
as applicable to the underlying loans, assuming that the loan notionally continued in the books of the Bank.
Disposal of investments
Investments classified under the HTM category: Realised gains are recognised in the Profit and Loss Account and subsequently
appropriated to Capital Reserve account (net of taxes and transfer to statutory reserves) in accordance with the RBI
guidelines. Losses are recognised in the Profit and Loss Account.
Investments classified under the AFS and HFT categories: Realised gains/losses are recognised in the Profit and Loss Account.
Repurchase and reverse repurchase transactions
Repurchase (repo) and reverse repurchase transactions in Government securities and corporate debt securities including
those conducted under the Liquidity Adjustment Facility (‘LAF’) and Marginal Standby Facility (‘MSF’) with RBI are
accounted as collateralised borrowing and lending respectively. Accordingly, securities given as collateral under an
agreement to repurchase them continue to be held under the investment account and the Bank continues to accrue the
coupon/discount on the security during the repo period. Further, the Bank continues to value the securities sold under
repo as per the investment classification of the security. Borrowing cost on repo transactions is accounted as interest
expense and revenue on reverse repo transactions is accounted as interest income.
Short Sales
In accordance with the RBI guidelines, the Bank undertakes short sale transactions in Central Government dated
securities. Such short positions are categorised under HFT category and netted off from investments in the Balance
Sheet. These positions are marked-to-market along with the other securities under HFT portfolio and the resultant mark-
to-market gains/losses are accounted for as per the relevant RBI guidelines for valuation of investments discussed earlier.
5.2 Advances
Classification and measurement of advances
Advances are classified into performing and non-performing advances (‘NPAs’) as per the RBI guidelines and are stated
net of bills rediscounted, inter-bank participation certificates, specific provisions made towards NPAs, interest in
suspense for NPAs, claims received from Export Credit Guarantee Corporation, provisions for funded interest on term
loan classified as NPAs and floating provisions. Structured collateralised foreign currency loans extended to customers
and deposits received from the same customer are reported on a net basis.
The Bank transfers advances through inter-bank participation with and without risk. In accordance with the RBI guidelines,
in the case of participation with risk, the aggregate amount of the participation issued by the Bank is reduced from
advances and where the Bank is participating, the aggregate amount of the participation is classified under advances.
In the case of participation without risk, the aggregate amount of participation issued by the Bank is classified under
borrowings and where the Bank is participating, the aggregate amount of participation is shown as due from banks
under advances.
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Non-performing advances and provision on non-performing advances

NPAs are classified into sub-standard, doubtful and loss assets based on the criteria stipulated by the RBI. Advances held
at the overseas branches that are identified as impaired as per host country regulations for reasons other than record of
recovery, but which are standard as per the RBI guidelines, are classified as NPAs to the extent of amount outstanding
in the host country. NPAs are upgraded to standard as per the extant RBI guidelines.
Provisions for NPAs are made for sub-standard and doubtful assets at rates as prescribed by the RBI with the exception for
schematic retail advances, agriculture advances and advances to Commercial Banking segment. In respect of schematic
retail advances, provisions are made in terms of a bucket-wise policy upon reaching specified stages of delinquency
(90 days or more of delinquency) under each type of loan, which satisfies the RBI prudential norms on provisioning.
Provisions in respect of commercial banking group advances and agriculture advances classified into sub-standard and
doubtful assets are made at rates which are higher than those prescribed by the RBI.
Provisions for advances booked in overseas branches, which are standard as per the RBI guidelines but are classified as
NPAs based on host country guidelines, are made as per the host country regulations.
In case of NPAs referred to the National Company Law Tribunal (‘NCLT’) under Insolvency and Bankruptcy Code
(‘IBC’) where resolution plan or liquidation order has been approved by NCLT, provision is maintained at higher of the
requirement under the RBI guidelines or the likely haircut as per resolution plan or liquidation order.
Provision on Restructured assets
Restructured assets are classified and provided for in accordance with the guidelines issued by the RBI from time to
time. In respect of advances where resolution plan is under implementation or implemented under the RBI guidelines
on “Resolution Framework for COVID 19-related Stress” and “Micro, Small and Medium Enterprises (MSME) Sector
– Restructuring of Advances”, provisions are maintained as per the internal framework of the Bank at rates which are
higher than those specified under the extant RBI circulars. Restructured loans are upgraded to standard as per the extant
RBI guidelines.
Write-offs and recoveries from written-off accounts
Loss assets and unsecured portion of doubtful assets are provided/written off as per the extant RBI guidelines.
Amounts recovered against debts written off are recognised in the Profit and Loss account as a credit to Provision
and Contingencies.
Appropriation of funds for standard advances
In case of EMI based standard retail advances, funds received from customers are appropriated in the order of
chronology towards principal, interest, penal interest and charges. In case of other standard advances, funds received
from customers are appropriated in the order of chronology as towards charges, penal interest, interest and principal.
Other provisions on advances
The Bank recognises additional provisions as per the RBI’s guidelines on accounts in default and with aggregate exposure
above the threshold limits as laid down in the said framework where the resolution plan is not implemented within the
specified timelines.
In respect of borrowers classified as non-cooperative and willful defaulters, the Bank makes accelerated provisions as
per the extant RBI guidelines.
Loans reported as fraud are classified as loss assets, and fully provided for immediately without considering the
value of security.
The Bank makes incremental provisioning (determined based on a time scale and on occurrence of predefined events) on
all outstanding advances and investments relating to borrowers tagged as RFA.
For entities with Unhedged Foreign Currency Exposure (‘UFCE’), provision is made in accordance with the guidelines
issued by the RBI, which requires ascertaining the amount of UFCE, estimate the extent of likely loss and estimate the
riskiness of unhedged position. This provision is classified under Schedule 5 – Other Liabilities in the Balance Sheet.
Further, incremental capital is maintained in respect of such borrower counter parties in the highest risk category, in line
with stipulations by the RBI.
The Bank maintains provisions for incremental exposure of the banking system to specified borrowers beyond Normally
Permitted Lending Limit (‘NPLL’) in proportion to Bank’s funded exposure to the specified borrowers as per the RBI
guidelines. This provision is classified under Schedule 5 – Other Liabilities in the Balance Sheet.

The Bank maintains a general provision on standard advances at the rates prescribed by the RBI other than for corporate
standard advances internally rated ‘BB and Below’ or ‘Unrated’ and all SMA-2 advances as reported to CRILC, where
general provision is maintained at rates that are higher than those prescribed by RBI. In case of overseas branches,
general provision on standard advances is maintained at the higher of the levels stipulated by the respective overseas
regulator or by the extant RBI guidelines. The Bank also maintains general provision on positive Mark-to-Market (MTM)
on derivatives at the rates prescribed by the extant RBI guidelines.
The Bank maintains provision on non-funded outstanding in relation to NPAs, prudentially written off accounts,
corporate standard advances internally rated ‘BB and Below’ or ‘Unrated’ and all SMA-2 advances as reported to CRILC.
This provision is classified under Schedule 5 – Other Liabilities in the Balance Sheet.
Under its home loan portfolio, the Bank offers housing loans with certain features involving waiver of Equated Monthly
Installments (‘EMIs’) for a specific period subject to fulfilment of certain conditions by the borrower. The Bank makes
provision against the probable loss that could be incurred in future on account of these waivers to eligible borrowers
based on actuarial valuation conducted by an independent actuary. This provision is classified under Schedule 5 – Other
Liabilities in the Balance Sheet.
As on 31 March, 2022, the Bank continues to hold provisions against the potential impact of COVID‐19 (other than
provisions held for restructuring under COVID 19 norms) based on the information available at this point in time. The
provisions held by the Bank are in excess of the RBI prescribed norms.
5.3 Country risk
In addition to the provisions required to be held according to the asset classification status, provisions are held for
individual country exposure (other than for home country) as per the RBI guidelines. Such provisions are held only in
respect of those countries where the net funded exposure of the Bank exceeds 1% of its total assets. For this purpose
the countries are categorized into seven risk categories namely insignificant, low, moderate, high, very high, restricted
and off-credit as per internal parameters in accordance with RBI guidelines. Provision is made on exposures exceeding
180 days on a graded scale ranging from 0.25% to 100%. For exposures with contractual maturity of less than 180 days,
25% of the normal provision requirement is held. If the net funded exposure of the Bank in respect of each country
does not exceed 1% of the total assets, no provision is maintained on such country exposure in accordance with RBI
guidelines. This provision is classified under Schedule 5 – Other Liabilities in the Balance Sheet.
5.4 Securitisation and transfer of assets
Securitisation of Standard Assets
The Bank enters into purchase/sale of corporate and retail loans through direct assignment/Special Purpose Vehicle
(‘SPV’). In most cases, post securitisation, the Bank continues to service the loans transferred to the assignee/SPV.
The Bank also provides credit enhancement in the form of cash collaterals and/or by subordination of cash flows to
Senior Pass through Certificate holders. In respect of credit enhancements provided or recourse obligations (projected
delinquencies, future servicing etc.) accepted by the Bank, appropriate provision/disclosure is made at the time of sale
in accordance with AS-29, Provisions, Contingent Liabilities and Contingent Assets as notified under Section 133 of
the Companies Act, 2013 read together with paragraph 7 of the Companies (Accounts) Rules, 2014 and the Companies
(Accounting Standards) Amendment Rules, 2016. In accordance with RBI guidelines on Securitisation of Standard Assets,
any loss, profit or premium realised at the time of the sale is accounted in the Profit & Loss Account for the accounting
period during which the sale is completed. However, in case of unrealised gains arising out of sale of underlying assets to
the SPV, the profit is recognised in Profit and Loss Account only when such unrealised gains associated with such income
is redeemed in cash.
Transfer of Loan Exposures
In accordance with RBI guidelines on Transfer of Loan exposures, any loss or profit arising because of transfer of loans,
which is realised, is accounted for and reflected in the Profit & Loss Account for the accounting period during which the
transfer is completed. Loans acquired are carried at acquisition cost unless it is more than the outstanding principal at
the time of the transfer, in which case the premium paid is amortised based on straight line method.
5.5 Priority Sector Lending Certificates
The Bank enters into transactions for the sale or purchase of Priority Sector Lending Certificates (‘PSLCs’). In the case
of a sale transaction, the Bank sells the fulfilment of priority sector obligation and in the case of a purchase transaction
the Bank buys the fulfilment of priority sector obligation through the RBI trading platform. There is no transfer of loan
assets in PSLC transaction.
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5.6 Translation of Foreign Currency items

In respect of domestic operations, transactions denominated in foreign currencies are accounted for at the rates
prevailing on the date of the transaction. Monetary foreign currency assets and liabilities are translated at the Balance
Sheet date at rates notified by Foreign Exchange Dealers Association of India (‘FEDAI’). All profits/losses resulting from
year end revaluations are recognised in the Profit and Loss Account.
Financial statements of foreign branches classified as non-integral foreign operations as per the RBI guidelines are
translated as follows:
• Assets and liabilities (both monetary and non-monetary as well as contingent liabilities) are translated at closing
exchange rates notified by FEDAI at the Balance Sheet date.
• Income and expenses are translated at the rates prevailing on the date of the transactions.
• All resulting exchange differences are accumulated in a separate ‘Foreign Currency Translation Reserve’ (FCTR) till
the disposal of the net investments. Any realised gains or losses on such disposal are recognised in the Profit and
Loss Account except for those that relate to repatriation of accumulated profits which are reclassified from FCTR
to ‘Balance in Profit and Loss Account’ under Schedule 2 – Reserves and Surplus in the Balance Sheet.
Contingent liabilities on account of forward exchange and derivative contracts, guarantees, acceptances, endorsements
and other obligations denominated in foreign currencies are disclosed at closing rates of exchange notified by FEDAI.
5.7 Foreign exchange and derivative contracts
Derivative transactions comprise of forward contracts, swaps and options which are disclosed as contingent liabilities.
The forwards, swaps and options are categorised as trading or hedge transactions. Trading derivative contracts are
revalued at the Balance Sheet date with the resulting unrealised gain or loss being recognised in the Profit and Loss
Account and correspondingly in other assets (representing positive Mark-to-Market) and in other liabilities (representing
negative Mark-to-Market (MTM)) on a gross basis. For hedge transactions, the Bank identifies the hedged item (asset or
liability) at the inception of transaction itself. The effectiveness is ascertained at the time of inception of the hedge and
periodically thereafter. Hedge swaps are accounted for on accrual basis except in case of swaps designated with an asset
or liability that is carried at market value or lower of cost or market value in the financial statements. In such cases the
swaps are marked-to-market with the resulting gain or loss recorded as an adjustment to the market value of designated
asset or liability. Hedge transactions that are entered after 26 June, 2019 through rupee interest rate derivatives are
accounted for as per the guidance note issued by ICAI on accounting for derivative contracts. Pursuant to the RBI
guidelines any receivables under derivative contracts comprising of crystallised receivables as well as positive Mark-to-
Market (MTM) in respect of future receivables which remain overdue for more than 90 days are reversed through the
Profit and Loss account and are held in separate Suspense Account.
Premium on options is recognized as income/expense on expiry or early termination of the transaction.
Currency futures contracts are marked-to-market using daily settlement price on a trading day, which is the closing price
of the respective futures contracts on that day. While the daily settlement price is computed based on the last half an
hour weighted average price of such contracts, the final settlement price is taken as the RBI reference rate on the last
trading day of the futures contracts or as may be specified by the relevant authority from time to time. All open positions
are marked-to-market based on the settlement price and the resultant marked-to-market profit/loss is daily settled
with the exchange.
Valuation of Exchange Traded Currency Options (ETCO) is carried out on the basis of the daily settlement price of each
individual option provided by the exchange and valuation of Interest Rate Futures (IRF) is carried out on the basis of the
daily settlement price of each contract provided by the exchange.
Outstanding forward exchange contracts including tom/spot contracts (excluding currency swaps undertaken to hedge
foreign currency assets/liabilities and funding swaps which are not revalued) are revalued at year end on PV basis by
discounting the forward value till spot date and converting the FCY amount using the respective spot rates as notified by
FEDAI. The resulting gains or losses on revaluation are included in the Profit and Loss Account in accordance with RBI/
FEDAI guidelines.
Premium/discount on currency swaps undertaken to hedge foreign currency assets and liabilities and funding swaps is
recognised as interest income/expense and is amortised on a pro-rata basis over the underlying swap period.
5.8 Revenue recognition
Interest income is recognised on an accrual basis in accordance with AS–9, Revenue Recognition as notified under
Section 133 of the Companies Act, 2013 read together with paragraph 7 of the Companies (Accounts) Rules, 2014, the

Companies (Accounting Standards) Amendment Rules, 2016 and the RBI guidelines, except in the case of interest income
on non-performing assets where it is recognised on receipt basis as per income recognition and asset classification norms
of RBI. Income on non-coupon bearing discounted instruments or low-coupon bearing instruments is recognised over
the tenor of the instrument on a constant yield basis.
Commission on guarantees and LCs is recognized on a pro-rata basis over the period of the guarantee/LC. Locker rent is
recognized on a straight-line basis over the period of contract. Annual fee for credit cards and debit cards is recognised
on a straight-line basis over the period of service. Arrangership/syndication fee is accounted for on completion of the
agreed service and when right to receive is established. Other fees and commission income are recognised when due,
where the Bank is reasonably certain of ultimate collection.
Interest income on investments in discounted PTCs is recognized on a constant yield basis.
Dividend income is accounted on an accrual basis when the right to receive the dividend is established.
Gain/loss on sell down of loans and advances through direct assignment is recognised at the time of sale.
Fees paid for purchase of Priority Sector Lending Certificates (‘PSLC’) is amortised on straight-line basis over the tenor
of the certificate as ‘Other Expenditure’ under Schedule 16 of Profit and Loss Account. Fees received on sale of PSLC is
amortised on straight-line basis over the tenor of the certificate as ‘Miscellaneous Income’ under Schedule 14 of Profit
and Loss Account.
In accordance with RBI guidelines on sale of non-performing advances, if the sale is at a price below the net book
value (i.e. book value less provisions held), the shortfall is charged to the Profit and Loss Account. If the sale is for a
value higher than the net book value, the excess provision is credited to the Profit and Loss Account in the year the
amounts are received.
The Bank deals in bullion business on a consignment basis. The difference between the price recovered from customers
and cost of bullion is accounted for at the time of sale to the customers. The Bank also deals in bullion on a borrowing
and lending basis and the interest paid/received is accounted on an accrual basis.
5.9 Fixed assets and depreciation/impairment
Fixed assets are carried at cost of acquisition less accumulated depreciation and impairment, if any. Cost includes initial
handling and delivery charges, duties, taxes and incidental expenses related to the acquisition and installation of the
asset. Subsequent expenditure incurred on assets put to use is capitalised only when it increases the future economic
benefit / functioning capability from / of such assets.
Capital work-in-progress includes cost of fixed assets that are not ready for their intended use and also includes advances
paid to acquire fixed assets.
Depreciation is provided over the estimated useful life of a fixed asset on the straight-line method from the date of
addition. The management believes that depreciation rates currently used, fairly reflect its estimate of the useful lives
and residual values of fixed assets based on historical experience of the Bank, though these rates in certain cases
are different from lives prescribed under Schedule II of Companies Act, 2013. Whenever there is a revision of the
estimated useful life of an asset, the unamortised depreciable amount is charged over the revised remaining useful life
of the said asset.
Asset Estimated useful life

Leased Land As per the term of the agreement
Owned premises 60 years
Locker cabinets/cash safe/strong room door 10 years
Interior 9 years
EPABX, telephone instruments 8 years
Modem, scanner, routers, hubs, switches, racks/cabinets for IT equipment 5 years
UPS, VSAT, fax machines 5 years
Cheque book/cheque encoder, currency counting machine, fake note detector 5 years
Application software 5 years
Electronic Data Capture (EDC)/ Point of Sale (POS) machines 5 years
Vehicles 4 years
Computer hardware including printers 3 years
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Asset Estimated useful life

CCTV and video conferencing equipment 3 years
Assets at staff residence 3 years
Mobile phone 2 years
All other fixed assets 10 years
Assets costing less than `5,000 individually are fully depreciated in the year of purchase.
Depreciation on assets sold during the year is recognised on a pro-rata basis to the Profit and Loss Account till
the date of sale.
Gain or losses arising from the retirement or disposal of Fixed Assets are determined as the difference between the
net disposal proceeds and the carrying amount of assets and recognised as income or expense in the Profit and Loss
Account. Further, profit on sale of premises is appropriated to Capital Reserve account (net of taxes and transfer to
statutory reserve) in accordance with RBI instructions.
The carrying amounts of assets are reviewed at each Balance Sheet date to ascertain if there is any indication of
impairment based on internal/external factors. An impairment loss is recognised wherever the carrying amount of an
asset exceeds its recoverable amount. The recoverable amount is the greater of the asset’s net selling price and value
in use. In assessing value in use, the estimated future cash flows are discounted to their present value at the weighted
average cost of capital. After impairment, depreciation is provided on the revised carrying amount of the asset over its
remaining useful life.
5.10 Non-banking assets
Non-banking assets (‘NBAs’) acquired in satisfaction of claims include land. In the case of land, the Bank creates provision
and follows the accounting treatment as per specific RBI directions.
5.11 Lease transactions
Leases where the lessor effectively retains substantially all the risks and benefits of ownership over the lease term are
classified as operating lease. Lease payments for assets taken on operating lease are recognised as an expense in the
Profit and Loss Account on a straight-line basis over the lease term. Lease income from assets given on operating lease
is recognized as income in profit and loss account on a straight line basis over the lease term.
5.12 Employee benefits
• Short-term employee benefits
Short-term employee benefits comprise salaries and other compensations payable for services which the employee
has rendered in the period. These are recognized at the undiscounted amount in the Profit & loss account.
• Provident Fund
Retirement benefit in the form of provident fund is a defined benefit plan wherein the contributions are charged
to the Profit and Loss Account of the year when the contributions to the fund are due and when services are
rendered by the employees. Further, an actuarial valuation is conducted by an independent actuary using the
Projected Unit Credit Method as at 31 March each year to determine the deficiency, if any, in the interest payable
on the contributions as compared to the interest liability as per the statutory rate and the shortfall if any due to
fluctuations in price or impairment, in the aggregate asset values of the Trust as compared to the market value.
Actuarial gains/losses are immediately taken to the Profit and Loss Account and are not deferred.
The Bank makes contribution as required by The Employees’ Provident Funds and Miscellaneous Provisions Act,
1952 to Employees’ Pension Scheme administered by the Regional Provident Fund Commissioner.
The overseas branches of the Bank and its eligible employees contribute a certain percentage of their salary
towards respective government schemes as per local regulatory guidelines. The contribution made by the
overseas branches is recognised in profit and loss account payment, as such contribution is in the nature of
defined contribution.
• Gratuity
The Bank contributes towards gratuity fund (defined benefit retirement plan) administered by various insurers for
eligible employees. Under this scheme, the settlement obligations remain with the Bank, although various insurers
administer the scheme and determine the contribution premium required to be paid by the Bank. The plan provides
a lump sum payment to vested employees at retirement or termination of employment based on the respective
employee’s salary and the years of employment with the Bank. Liability with regard to gratuity fund is accrued

based on actuarial valuation conducted by an independent actuary using the Projected Unit Credit Method as at
31 March each year. In respect of employees at overseas branches (other than expatriates) liability with regard to
gratuity is provided on the basis of a prescribed method as per local laws, wherever applicable. Actuarial gains/
losses are immediately taken to the Profit and Loss Account and are not deferred.
• Superannuation
Employees of the Bank are entitled to receive retirement benefits under the Bank’s Superannuation scheme either
under a cash-out option through salary or under a defined contribution plan. Through the defined contribution plan,
the Bank contributes annually a sum of 10% of the employee’s eligible annual basic salary to LIC, which undertakes
to pay the lump sum and annuity benefit payments pursuant to the scheme. Superannuation contributions are
recognised in the Profit and Loss Account in the period in which they accrue.
• National Pension Scheme (‘NPS’)
In respect of employees who opt for contribution to the ‘NPS’, the Bank contributes certain percentage of the total
basic salary of employees to the aforesaid scheme, a defined contribution plan, which is managed and administered
by pension fund management companies. NPS contributions are recognised in the Profit and Loss Account in the
period in which they accrue.
5.13 Reward points
The Bank runs a loyalty program which seeks to recognize and reward customers based on their relationship with
the Bank. Under the program, eligible customers are granted loyalty points redeemable in future, subject to certain
conditions. In addition, the Bank continues to grant reward points in respect of certain credit cards (not covered under
the loyalty program). The Bank estimates the provision for such loyalty/reward points using an actuarial method at
the Balance Sheet date through an independent actuary, which includes assumptions such as redemption rate, lapse
rate, discount rate, value of reward points etc. Provision for the said reward points is then made based on the actuarial
valuation report as furnished by the said independent actuary.
5.14 Taxation
Income tax expense is the aggregate amount of current tax and deferred tax charge. Current year taxes are determined
in accordance with the relevant provisions of Income tax Act, 1961 and considering the material principles set out in
Income Computation and Disclosure Standards to the extent applicable. Deferred income taxes reflect the impact of
current year timing differences between taxable income and accounting income for the year and reversal of timing
differences of earlier years.
Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted at the Balance Sheet
date. Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off assets against
liabilities representing current tax and the deferred tax assets and deferred tax liabilities relate to the taxes on income
levied by same governing taxation laws.
Deferred tax assets are recognised only to the extent that there is reasonable certainty that sufficient future taxable
income will be available against which such deferred tax assets can be realised. The impact of changes in the deferred
tax assets and liabilities is recognised in the Profit and Loss Account.
Deferred tax assets are recognised and reassessed at each reporting date, based upon the Management’s judgement
as to whether realisation is considered as reasonably certain. Deferred tax assets are recognised on carry forward of
unabsorbed depreciation and tax losses only if there is virtual certainty supported by convincing evidence that such
deferred tax asset can be realised against future profits.
5.15 Share issue expenses
Share issue expenses are adjusted from Share Premium Account in terms of Section 52 of the Companies Act, 2013.
5.16 Corporate Social Responsibility
Expenditure towards Corporate Social Responsibility is recognised in the Profit and Loss account in accordance with the
provisions of the Companies Act, 2013.
5.17 Earnings per share
The Bank reports basic and diluted earnings per share in accordance with AS-20, Earnings per Share, as notified under
Section 133 of the Companies Act, 2013 read together with paragraph 7 of the Companies (Accounts) Rules, 2014 and
the Companies (Accounting Standards) Amendment Rules, 2016. Basic earnings per share is computed by dividing the
net profit after tax by the weighted average number of equity shares outstanding for the year.
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Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue equity
shares were exercised or converted during the year. Diluted earnings per share is computed using the weighted average
number of equity shares and dilutive potential equity shares outstanding at the year end except where the results
are anti-dilutive.
5.18 Employee stock option scheme
The 2001 Employee Stock Option Scheme (‘the Scheme’) provides for grant of stock options on equity shares of the
Bank to employees and Directors of the Bank and its subsidiaries. The Scheme is in accordance with the Securities and
Exchange Board of India (SEBI) (Employees Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines,
1999 (‘the Guidelines’). These Guidelines have been repealed and were substituted by Securities and Exchange Board of
India (Share Based Employee Benefits and sweat equity) Regulations, 2021. The Scheme is in compliance with the said
regulations. Options are granted at an exercise price, which is equal to the fair market price of the underlying equity
shares at the date of the grant. The fair market price is the latest available closing price, prior to the date of grant, on the
stock exchange on which the shares of the Bank are listed. If the shares are listed on more than one stock exchange, then
the stock exchange where there is highest trading volume on the said date is considered.
The Bank followed intrinsic value method to account for its stock based employee compensation plans for all the options
granted till the accounting period ending 31 March, 2021.
As per RBI guidelines, for options granted after 31 March, 2021, the Bank follows the fair value method and recognizes
the fair value of such options computed using the Black-Scholes model without reducing estimated forfeitures, as
compensation expense over the vesting period.
5.19 Provisions, contingent liabilities and contingent assets
In accordance with AS-29 “Provisions, Contingent Liabilities and Contingent Assets”, provision is recognised when the
Bank has a present obligation as a result of past event where it is probable that an outflow of resources will be required
to settle the obligation, in respect of which a reliable estimate can be made. Provisions are not discounted to its present
value and are determined based on best estimate required to settle the obligation at the Balance Sheet date. These are
reviewed at each Balance Sheet date and adjusted to reflect the current best estimates.
A disclosure of contingent liability is made when there is:
• a possible obligation arising from a past event, the existence of which will be confirmed by occurrence or non-
occurrence of one or more uncertain future events not within the control of the Bank; or
• a present obligation arising from a past event which is not recognised as it is not probable that an outflow of resources
will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.
When there is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is
remote, no provision or disclosure is made.
Contingent assets are not recognised in the financial statements. However, contingent assets are assessed continually
and if it is virtually certain that an inflow of economic benefits will arise, the asset and related income are recognised in
the period in which the change occurs.
5.20 Accounting for dividend
As per AS-4 ‘Contingencies and Events occurring after the Balance sheet date’ as notified by the Ministry of Corporate
Affairs through amendments to Companies (Accounting Standards) Amendment Rules, 2016, dated 30 March, 2016, the
Bank does not account for proposed dividend as a liability through appropriation from the profit and loss account. The
same is recognised in the year of actual payout post approval of shareholders. However, the Bank reckons proposed
dividend in determining capital funds in computing the capital adequacy ratio.
5.21 Cash and cash equivalents
Cash and cash equivalents include cash in hand, balances with RBI, balances with other banks and money at call
and short notice.

18 NOTES FORMING PART OF THE FINANCIAL STATEMENTS

for the year ended 31 March, 2022
1. Purchase of Citibank’s India Consumer Business

The Board of Directors of the Bank at its meeting held on 30 March, 2022 have approved the purchase of Citibank’s India
Consumer Business from Citibank N.A. (acting through its branch in India) (“CBNA”) and the NBFC Consumer Business
from Citicorp Finance (India) Limited (“CFIL”) as going concerns without values being assigned to individual assets and
liabilities to either business, subject to fulfilment of specific conditions and obtaining requisite approvals. The Bank has
executed Business Transfer Agreements (BTAs) with CBNA and CFIL on 30 March, 2022. The transaction will be given
effect to in the books of the Bank on closing which is subject to receipt of regulatory and other applicable approvals and
completion of customary and contractual conditions in accordance with the provisions of the BTAs. There is no impact of
the aforesaid transaction on the financial statements for the year ended 31 March, 2022, other than certain transaction
expenses which have been accrued or expensed in the Profit and Loss Account for the year ended 31 March, 2022.
2. COVID-19
India is emerging from the after effect of COVID-19 virus, a global pandemic that affected the world economy over the
last two years. The extent to which any new wave of COVID-19 will impact the Bank’s operations and asset quality will
depend on the future developments, which are highly uncertain.
The Bank continues to hold provisions aggregating to `5,012 crores as at 31 March, 2022 against the potential impact
of COVID-19 (other than provisions held for restructuring under COVID-19 norms) based on the information available at
this point in time. The provisions held by the Bank are in excess of the RBI prescribed norms.
3. Changes in presentation in financial statements

Effective 1 April, 2021, the Bank has carried out the following changes in presentation of certain items in the
financial statements:
3.1 Provision for depreciation on investments
Based on RBI Master Direction on Financial Statements – Presentation and Disclosures issued on 30 August, 2021,
provision for depreciation on investments hitherto classified as part of provisions and contingencies has been reclassified
as part of other income.
3.2 Recoveries from written off accounts
Recoveries from written off accounts hitherto included as part of other income have been adjusted as a credit to
provisions and contingencies.
3.3 Structured collateralised foreign currency loans and deposits
The Bank was reporting structured collateralised foreign currency loans extended to customers and deposits received
from the same customer on a gross basis as advances and deposits respectively. The Bank has changed the aforementioned
practice to report such structured collateralised foreign loans and deposits on a net basis for an appropriate presentation.
For all the aforesaid changes, previous year figures have been regrouped and reclassified to conform to current
classification. There is no impact of this change on the net profit/loss of the current or earlier periods and consequently
ratios for prior year are not restated.
193
Standalone
4. Statutory disclosures as per RBI

4.1 Regulatory Capital
a) Composition of Regulatory Capital
The capital adequacy ratio of the Bank, calculated as per the RBI guidelines (under Basel III) is set out below:
(` in crores)
31 March, 2022 31 March, 2021
Capital
Common Equity Tier I (CET I) 109,904.38 97,896.45
Additional Tier I capital 7,970.65 6,851.88
Tier I 117,875.03 104,748.33
Tier II 15,857.89 16,829.03
Total capital 133,732.92 121,577.36
Total risk weighted assets and contingents 721,356.26 635,863.43
Capital ratios
Common Equity Tier I 15.24% 15.40%
Tier I 16.34% 16.47%
Tier II 2.20% 2.65%
Capital to Risk Weighted Assets Ratio (CRAR) 18.54% 19.12%
Leverage Ratio 8.69% 9.06%
Amount of paid-up equity capital raised during the year - 47.611
Amount of Non- equity Tier I capital raised during the year:
Perpetual Debt Instruments (PDI) (details given below) $600 million -
Amount of Tier II capital raised of which:
Debt capital instrument (details given below) - -
1. Excluding Securities Premium of `9,952.39 crores
During the year ended 31 March, 2022, the Bank has raised Basel III compliant debt instruments eligible for Tier-I/Tier-II
capital, the details of which are set out below:
Instrument Capital Date of maturity Period Coupon Amount
Perpetual debt Additional Tier-I - - 4.10% $600 million
Above instrument has a call option at expiry of 60 months from the date of allotment
During the year ended 31 March, 2021, the Bank has not raised any Basel III compliant debt instruments eligible for
Tier-I/Tier-II capital.
During the year ended 31 March, 2022, the Bank redeemed Basel III compliant debt instruments eligible for Tier-I/Tier-II
capital, the details of which are set out below:
Instrument Capital Date of maturity Period Coupon Amount
Subordinated debt Tier-II 1 December, 2021 120 months 9.73% `1,500.00 crores
Subordinated debt Tier-II 20 March, 2022 120 months 9.30% `1,925.00 crores
Perpetual debt Additional Tier-I 14 December, 2021 1
60 months 8.75% `3,500.00 crores
1. Represents call date
During the year ended 31 March, 2021, the Bank has not redeemed any Basel III compliant debt instruments eligible for
Tier-I/Tier-II capital.

b) Capital and Reserves and Surplus

i) Share Capital
During the year ended 31 March, 2022, the Bank has not raised equity capital other than allotment of equity
shares to eligible employees upon exercise of options under Employees Stock Option Scheme.
During the previous year ended 31 March, 2021, the Bank raised additional equity capital through a Qualified
Institutional Placement of 238,038,560 shares at a price of `420.10 per share. As a consequence, the paid-up
share capital of the Bank increased by `47.61 crores and the reserves of the Bank increased by `9,915.41 crores
after charging off issue related expenses. The funds mobilised from equity raising were utilised for enhancing the
capital adequacy ratio, for the growth strategy, for addressing risks emanating from COVID-19 and for general
corporate purpose.
ii) Draw down from Reserves
During the year ended 31 March, 2022 the Bank has not undertaken any drawdown from reserves.
During the previous year ended 31 March, 2021 the Bank has not undertaken any drawdown from reserves,
except towards issue expenses incurred for equity raising through Qualified Institutional Placement, which have
been adjusted against share premium account.
iii) Special Reserve
During the year, the Bank has appropriated `609.19 crores (previous year Nil) to the Special Reserve created and
maintained in terms of Section 36 (1) (viii) of the Income-tax Act, 1961.
iv) Investment Reserve
During the year, the Bank has appropriated `148.50 crores (previous year Nil) to the Investment Reserve, net of
taxes and transfer to Statutory Reserve, in accordance with RBI guidelines.
v) Capital Reserve
During the year, the Bank has appropriated `441.04 crores (previous year `848.23 crores) to the Capital Reserve
net of taxes and transfer to Statutory Reserve, being the gain on sale of HTM investments in accordance with
RBI guidelines.
vi) Investment Fluctuation Reserve
During the year, the Bank has appropriated `455.00 crores (previous year `326.00 crores) to the Investment
Fluctuation Reserve in accordance with RBI guidelines.
vii) Reserve Fund
During the previous year 31 March, 2021, the Bank had transferred `8.98 crores from the Reserve Fund account
to Balance in Profit and Loss account post closure of Colombo branch operations.
4.2 Asset liability management
a) Maturity pattern of certain items of assets and liabilities
As at 31 March, 2022 (` in crores)
Foreign Foreign
Deposits1 Advances1,2 Investments1,4 Borrowings1 Currency Currency
Assets3 Liabilities3
1 day 14,151.18 5,315.56 75,537.21 - 9,714.81 518.79
2 days to 7 days 37,018.83 7,243.23 8,336.49 7,814.52 7,986.06 1,865.57
8 days to 14 days 13,899.28 7,252.07 6,254.19 1,745.45 2,484.67 1,834.83
15 days to 30 days 28,621.16 13,442.53 5,523.81 6,513.71 10,548.69 9,074.48
31 days and upto 2 months 32,928.77 23,289.27 6,659.33 10,094.12 8,691.62 8,482.07
Over 2 months and upto 3 months 30,173.60 25,354.24 4,965.40 16,449.75 7,943.94 9,721.94
Over 6 months and upto 1 year 82,572.44 50,557.91 24,494.08 49,140.66 7,123.16 9,791.16
Over 1 year and upto 3 years 25,399.16 142,388.42 31,416.18 45,702.96 6,961.77 7,214.19
Over 3 years and upto 5 years 2,089.71 86,220.11 12,138.67 17,452.55 3,478.53 4,938.59
Over 5 years 491,493.77 307,416.89 89,287.48 10,600.00 6,406.81 6,902.54
Total 821,720.91 707,695.95 275,484.67 185,133.86 82,037.78 75,810.30
195
Standalone

Foreign Foreign
Deposits1 Advances1,2 Investments1,4 Borrowings1 Currency Currency
Assets3 Liabilities3
1 day 12,060.73 4,319.16 67,041.39 - 7,727.14 1,482.73
2 days to 7 days 32,362.46 4,491.55 1,459.10 90.13 5,963.67 2,182.79
8 days to 14 days 12,169.22 8,186.97 6,980.63 545.71 2,518.09 522.06
15 days to 30 days 21,844.17 12,282.11 5,061.37 4,259.88 4,957.97 3,630.10
31 days and upto 2 months 26,205.35 15,193.31 4,994.64 4,776.50 2,786.26 3,020.80
Over 6 months and upto 1 year 72,464.03 44,209.50 11,464.22 28,143.07 6,332.19 14,202.73
Over 1 year and upto 3 years 16,445.17 126,438.75 42,312.11 50,583.13 8,496.19 10,290.47
Over 3 years and upto 5 years 1,720.05 74,989.49 5,911.71 13,120.81 4,472.93 2,903.86
Over 5 years 445,608.38 265,039.56 69,510.13 16,405.00 6,825.65 7,638.34
Total 697,985.29 614,399.40 225,926.74 142,873.16 63,269.05 60,196.74
1. Includes foreign currency balances
2. For the purpose of disclosing the maturity pattern, advances that have been subject to risk participation vide Inter-Bank Participation
Certificates (‘IBPCs’) and Funded Risk Participation (‘FRPs’) have been classified in the maturity bucket corresponding to the contractual
maturities of IBPC instruments
3. Maturity profile of foreign currency assets and liabilities excludes off balance sheet items
4. Listed equity investments (except strategic investments) have been considered at 50% haircut as per RBI directions
5. Classification of assets and liabilities under the different maturity buckets is based on the same estimates and assumptions as used by the
Bank for compiling the return submitted to the RBI, which has been relied upon by the auditors
b) Disclosure on Liquidity Coverage Ratio

Qualitative disclosure
The Bank has adopted the Basel III framework on liquidity standards as prescribed by RBI and has put in place requisite
systems and processes to enable periodical computation and reporting of the Liquidity Coverage Ratio (LCR). The
mandated regulatory threshold is embedded into the Risk Appetite Statement of the Bank thus subjecting LCR maintenance
to Board oversight and periodical review. The Bank computes the LCR and reports the same to the Asset Liability
Management Committee (ALCO) every month for review as well as to the Risk Management Committee of the Board.
The Bank computes LCR on a daily basis and in accordance with RBI guidelines the quarterly disclosures of LCR contain
data on the simple average calculated on daily observations over the quarter.
The Bank follows the criteria laid down by RBI for calculation of High Quality Liquid Assets (HQLA), gross outflows
and inflows within the next 30-day period. HQLA predominantly comprises Government securities viz. Treasury Bills,
Central and State Government securities. A relatively smaller part of HQLA is accounted for by the corporate bonds with
mandated haircuts applied thereto.
The Bank monitors the concentration of funding sources from significant counterparties, significant instruments/
products as part of the asset liability management framework. The Bank adheres to the regulatory and internal limits on
Inter-bank liability and call money borrowings which form part of the ALM policy. The Bank’s funding sources are fairly
dispersed across sources and maturities.
Expected derivative cash outflows and inflows are calculated for outstanding contracts in accordance with laid down
valuation methodologies. Cash flows, if any, from collaterals posted against derivatives are not considered.
Apart from the LCR position in all currencies put together, the Bank monitors the LCR in US Dollar currency which
qualifies as a significant currency as per RBI guidelines.
The liquidity management of the Bank is undertaken by the Asset Liability Management group in the Treasury in
accordance with the Board approved policies and ALCO approved funding plans. The Risk department measures and
monitors the liquidity profile of the Bank with reference to the Board approved limits, for both domestic as well as
overseas operations, on a static as well as on a dynamic basis by using the gap analysis technique supplemented by
monitoring of key liquidity ratios and periodical liquidity stress testing. Periodical reports are placed before the Bank’s
ALCO for perusal and review.
All significant outflows and inflows determined in accordance with RBI guidelines are included in the prescribed LCR
computation template.

Quantitative disclosure
(` in crores)
Quarter ended 31 March, 2022 Quarter ended 31 December, 2021 Quarter ended 30 September, 2021 Quarter ended 30 June, 2021
Total Total Total Total
Total Weighted Total Weighted Total Weighted Total Weighted
Unweighted Unweighted Unweighted Unweighted
Value (average) Value (average) Value (average) Value (average)
High Quality Liquid Assets

1 Total High Quality Liquid Assets 247,519.05 243,858.03 239,327.42 215,604.04
(HQLAs)
Cash Outflows
2 Retail Deposits and deposits 427,301.99 38,166.88 416,235.28 36,428.42 404,815.33 32,975.93 393,015.07 31,905.43
from small business customers,
of which:
(i) Stable Deposits 91,266.46 4,563.32 103,902.27 5,195.11 150,112.00 7,505.60 147,921.57 7,396.08
(ii) Less Stable Deposits 336,035.53 33,603.55 312,333.02 31,233.30 254,703.33 25,470.33 245,093.50 24,509.35
3 Unsecured wholesale funding, 275,595.76 164,685.22 277,333.41 166,737.37 263,267.72 158,418.00 248,118.43 149,077.91
of which :
(i) Operational deposits (all 13,998.66 3,481.98 13,507.54 3,355.14 12,911.04 3,205.91 14,822.54 3,683.92
counterparties)
(ii) Non-operational deposits 261,597.10 161,203.23 263,825.86 163,382.23 250,356.68 155,212.09 233,295.90 145,393.99
(all counterparties)
(iii) Unsecured debt - - - - - - - -
4 Secured wholesale funding - - - -
5 Additional requirements, 49,452.02 39,248.16 44,090.15 34,903.07 53,274.72 45,430.44 45,505.58 38,769.72
of which :
(i) Outflows related to 37,514.33 37,514.33 32,216.10 32,216.10 43,237.24 43,237.24 36,322.32 36,322.32
derivative exposures
and other collateral
requirements
(ii) Outflows related to loss of - - - - - - - -
funding on debt products
(iii) Credit and liquidity facilities 11,937.69 1,733.84 11,874.04 2,686.97 10,037.48 2,193.20 9,183.26 2,447.40
6 Other contractual funding 20,496.92 20,496.92 20,039.81 20,039.81 16,014.46 16,014.46 14,118.16 14,118.16
obligations
7 Other contingent funding 378,769.72 16,282.04 348,838.75 14,962.16 328,623.55 14,116.76 327,377.18 14,001.09
obligations
8 Total Cash Outflows 278,879.21 273,070.83 266,955.59 247,872.31
Cash Inflows
9 Secured lending (eg. reverse repo) 44,528.38 - 39,197.49 - 40,876.92 - 26,790.71 -
10 Inflows from fully performing 42,763.59 30,232.20 39,012.96 27,802.71 37,294.78 26,247.60 34,658.60 24,525.66
exposures
11 Other cash inflows 35,641.28 35,641.28 30,448.63 30,448.63 41,507.53 41,507.53 34,458.32 34,458.32
12 Total Cash Inflows 122,933.26 65,873.48 108,659.07 58,251.33 119,679.23 67,755.13 95,907.63 58,983.98
Total adjusted Value Total adjusted Value Total adjusted Value Total adjusted Value
13 Total HQLA 247,519.05 243,858.03 239,327.42 215,604.04
14 Total Net Cash Outflows 213,005.73 214,819.49 199,200.46 188,888.33
15 Liquidity Coverage Ratio % 116.20% 113.52% 120.14% 114.14%
Notes:
1) Average for all the quarters is simple average of daily observations for the quarter
2) Classification of inflows and outflows for determining the run off factors is based on the same estimates and assumptions as used by the Bank for
compiling the return submitted to the RBI, which has been relied upon by the auditors
197
Standalone
(` in crores)
Quarter ended 31 March, 2021 Quarter ended 31 December, 2020 Quarter ended 30 September, 2020 Quarter ended 30 June, 2020
Total Total Total Total
Total Weighted Total Weighted Total Weighted Total Weighted
Unweighted Unweighted Unweighted Unweighted
High Quality Liquid Assets

1 Total High Quality Liquid Assets 197,825.03 172,647.49 177,830.91 180,564.29
(HQLAs)
Cash Outflows
2 Retail Deposits and deposits 382,043.16 31,006.34 370,328.35 30,005.19 363,858.98 29,489.07 355,785.45 28,871.26
from small business customers,
of which:
(i) Stable Deposits 143,959.42 7,197.97 141,012.77 7,050.64 137,936.62 6,896.83 134,145.68 6,707.28
(ii) Less Stable Deposits 238,083.74 23,808.37 229,315.58 22,954.55 225,922.36 22,592.24 221,639.77 22,163.98
3 Unsecured wholesale funding, 233,672.25 141,482.43 214,800.77 132,995.54 211,215.97 119,735.03 210,254.67 115,564.14
of which :
(i) Operational deposits (all 14,077.17 3,497.65 14,030.69 3,486.10 14,275.58 3,550.84 16,397.46 4,081.17
counterparties)
(ii) Non-operational deposits 219,595.08 137,984.78 200,770.08 129,509.44 196,940.39 116,184.19 193,857.21 111,482.97
(all counterparties)
(iii) Unsecured debt - - - - - - - -
4 Secured wholesale funding - - - -
5 Additional requirements, 43,938.70 37,823.66 38,665.77 33,723.09 35,013.06 28,967.11 32,437.63 27,489.06
of which :
(i) Outflows related to 35,513.01 35,513.01 31,720.80 31,720.80 27,027.88 27,027.88 25,248.29 25,248.29
derivative exposures
and other collateral
requirements
(ii) Outflows related to loss of - - - - - - - -
funding on debt products
(iii) Credit and liquidity facilities 8,425.69 2,310.65 6,944.97 2,002.29 7,985.18 1,939.23 7,189.34 2,240.77
6 Other contractual funding 6,943.65 6,943.65 5,159.03 5,159.03 4,995.25 4,995.25 4,951.65 4,951.65
obligations
7 Other contingent funding 309,154.36 13,195.18 294,337.52 12,638.39 269,756.08 11,526.35 268,102.14 11,441.97
obligations
8 Total Cash Outflows 230,451.26 214,521.24 194,712.81 188,318.08
Cash Inflows
9 Secured lending (eg. reverse repo) 23,793.72 - 11,122.59 - 24,684.31 - 42,004.62 -
10 Inflows from fully performing 36,566.49 24,975.50 30,334.92 21,309.24 21,645.34 16,321.40 17,463.34 14,477.95
exposures
11 Other cash inflows 33,661.34 33,661.34 29,922.91 29,922.91 25,353.65 25,353.65 23,652.26 23,652.26
12 Total Cash Inflows 94,021.55 58,636.84 71,380.42 51,232.15 71,683.30 41,675.05 83,120.22 38,130.21
Total adjusted Value Total adjusted Value Total adjusted Value Total adjusted Value
13 Total HQLA 197,825.03 172,647.49 177,830.91 180,564.29
14 Total Net Cash Outflows 171,814.42 163,289.09 153,037.76 150,187.87
15 Liquidity Coverage Ratio % 115.14% 105.73% 116.20% 120.23%
Notes:
1) Average for all the quarters is simple average of daily observations for the quarter
2) Classification of inflows and outflows for determining the run off factors is based on the same estimates and assumptions as used by the Bank for
compiling the return submitted to the RBI, which has been relied upon by the auditors

4.3 Investments
a) Composition of Investments
Investments in India Investments outside India
Government Total
Other Subsidiaries Total Subsidiaries Total
Government Debentures Securities Investments
Approved Shares and/or joint Others Investments and/or joint Others Investments
Securities and Bonds (including local outside
Securities ventures in India ventures
authorities) India
Held to Maturity
Gross 172,227.05 - - 18,043.03 2,215.65 0.27 192,486.00 - 332.30 - 332.30 192,818.30
Less: Provision for non- - - - - - - - - - - - -

performing investments
(NPI)
Provision for depreciation - - - - - - - - - - - -
Net 172,227.05 - - 18,043.03 2,215.65 0.27 192,486.00 - 332.30 - 332.30 192,818.30
Available for Sale
Gross 42,146.43 - 2,553.56 26,834.46 - 1,814.03 73,348.48 5,670.56 - 506.49 6,177.05 79,525.53
Less: Provision for non- - - (788.70) (1,097.37) - (131.53) (2,017.60) - - (245.12) (245.12) (2,262.72)
(NPI)
Provision for depreciation (12.86) - (5.90) (46.41) - (321.59) (386.76) (0.80) - - (0.80) (387.56)
Net 42,133.57 - 1,758.96 25,690.68 - 1,360.91 70,944.12 5,669.76 - 261.37 5,931.13 76,875.25
Held for Trading
Gross 4,732.53 - - 1,171.12 - - 5,903.65 - - - - 5,903.65

(NPI)
Provision for depreciation - - - - - - - - - - - -
Net 4,732.53 - - 1,171.12 - - 5,903.65 - - - - 5,903.65
Total Investments
Gross 219,106.01 - 2,553.56 46,048.61 2,215.65 1,814.30 271,738.13 5,670.56 332.30 506.49 6,509.35 278,247.48
Less: Provision for non- - - (788.70) (1,097.37) - (131.53) (2,017.60) - - (245.12) (245.12) (2,262.72)
(NPI)
Provision for depreciation (12.86) - (5.90) (46.41) - (321.59) (386.76) (0.80) - - (0.80) (387.56)
Net 219,093.15 - 1,758.96 44,904.83 2,215.65 1,361.18 269,333.77 5,669.76 332.30 261.37 6,263.43 275,597.20
199
Standalone
Investments in India Investments outside India
Government Total
Other Subsidiaries Total Subsidiaries Total
Government Debentures Securities Investments
Approved Shares and/or joint Others Investments and/or joint Others Investments
Securities and Bonds (including local outside
Securities ventures in India ventures
authorities) India
Held to Maturity
Gross 147,189.33 - - 18,074.00 1,816.18 0.42 167,079.93 - 483.34 - 483.34 167,563.27

(NPI)
Less: Provision for - - - - - - - - - - - -

depreciation
Net 147,189.33 - - 18,074.00 1,816.18 0.42 167,079.93 - 483.34 - 483.34 167,563.27
Available for Sale
Gross 30,753.17 - 2,113.47 15,140.44 - 4,959.71 52,966.79 2,193.24 - 696.26 2,889.50 55,856.29
Less: Provision for non- - - (781.60) (1,130.65) - - (1,912.25) - - (233.50) (233.50) (2,145.75)
(NPI)
Less: Provision for (17.58) - (118.34) (45.12) - (1,766.03) (1,947.07) - - - - (1,947.07)

depreciation
Net 30,735.59 - 1,213.53 13,964.67 - 3,193.68 49,107.47 2,193.24 - 462.76 2,656.00 51,763.47
Held for Trading
Gross 2,777.92 - - 2,699.81 - - 5,477.73 1,293.98 - 28.70 1,322.68 6,800.41

(NPI)
Less: Provision for - - - (7.28) - - (7.28) - - (0.25) (0.25) (7.53)

depreciation
Net 2,777.92 - - 2,692.53 - - 5,470.45 1,293.98 - 28.45 1,322.43 6,792.88
Total Investments
Gross 180,720.42 - 2,113.47 35,914.25 1,816.18 4,960.13 225,524.45 3,487.22 483.34 724.96 4,695.52 230,219.97
Less: Provision for non- - - (781.60) (1,130.65) - - (1,912.25) - - (233.50) (233.50) (2,145.75)
(NPI)
Less: Provision for (17.58) - (118.34) (52.40) - (1,766.03) (1,954.35) - - (0.25) (0.25) (1,954.60)
depreciation
Net 180,702.84 - 1,213.53 34,731.20 1,816.18 3,194.10 221,657.85 3,487.22 483.34 491.21 4,461.77 226,119.62

b) Movement of Provisions for Depreciation and Investment Fluctuation Reserve

(` in crores)
Particulars 31 March, 2022 31 March, 2021
a Movement of provisions held towards depreciation on investment

Opening Balance 1,954.60 649.20
Add: Provisions made during the year 1
- 1,349.89
Less: Write off/ write back of excess provisions during the year (1,567.04) (44.49)
Closing Balance 387.56 1,954.60
b Movement of Investment Fluctuation Reserve
Opening Balance 1,254.00 928.00
Add : Amount transferred during the year 455.00 326.00
Less : Drawdown - -
Closing Balance 1,709.00 1,254.00
c Closing Balance in IFR as a percentage of closing balance of investments in AFS and 2.06% 2.14%
HFT category (net of provision for depreciation and provision for non-performing
investments)
1. including transfer from interest capitalization account
c) Sale and transfers to/from HTM category

During the years ended 31 March, 2022 and 31 March, 2021, the value of sales/transfers of securities to/from HTM
category (excluding one-time transfer of securities, additional shifting of securities explicitly permitted by RBI and sales
to RBI under Open Market Operations (OMO) /Government Securities Acquisition Programme (GSAP)/Conversion/
Switch auctions) did not exceed 5% of the book value of investments held in HTM category at the beginning of the year.
d) Non-SLR investment portfolio
i) Movement in non-performing non SLR investments are set out below:
(` in crores)
Opening balance 2,633.15 3,629.72
Additions during the year 968.47 1,136.61
Reductions during the year (570.41) (2,133.18)
Closing balance 3,031.21 2,633.15
Total provisions held 2,262.72 2,145.75
ii) Issuer composition Non-SLR investments*:

Extent of Extent of “below Extent of Extent of
Sr. Total
Issuer private investment “unrated” “unlisted”
No. Amount
placement grade” securities securities securities
(1) (2) (3) (4) (5) (6) (7)
i. Public Sector Units 1,857.57 1,419.35 84.70 - 549.42
ii. Financial Institutions 2,579.59 2,337.23 77.12 - 1,449.95
iii. Banks 6,731.25 5,740.77 - - -
iv. Private Corporates 37,940.26 28,518.20 1,319.64 667.96 4,120.04
v. Subsidiaries/Joint Ventures 2,547.94 2,547.94 - - 2,547.94
vi. Others 7,484.86 1,814.30 - - 1,814.30
vii. Provision held towards depreciation on (374.70) N.A. N.A. N.A. N.A.
investments
viii Provision held towards non performing (2,262.72) N.A. N.A. N.A. N.A.
investments
Total 56,504.05 42,377.79 1,481.46 667.96 10,481.65
Amounts reported under columns (4), (5), (6) and (7) above are not mutually exclusive.
201
Standalone

Extent of Extent of “below Extent of Extent of
Sr. Total
Issuer private investment “unrated” “unlisted”
No. Amount
placement grade” securities securities securities
(1) (2) (3) (4) (5) (6) (7)
i. Public Sector Units 2,638.15 2,138.61 153.60 - 50.00
ii. Financial Institutions 4,910.31 4,517.96 77.18 - -
iii. Banks 1,904.92 607.12 - - -
iv. Private Corporates 29,299.31 19,528.67 1,504.36 785.03 4,358.30
v. Subsidiaries/Joint Ventures 2,299.52 2,299.52 - - 2,299.52
vi. Others 8,447.34 4,960.13 - - 5,107.27
vii. Provision held towards depreciation on (1,937.02) N.A. N.A. N.A. N.A.
investments
viii Provision held towards non performing (2,145.75) N.A. N.A. N.A. N.A.
investments
Total 45,416.78 34,052.01 1,735.14 785.03 11,815.09
Amounts reported under columns (4), (5), (6) and (7) above are not mutually exclusive.
*excludes investments in non-SLR government securities amounting to `5,000.00 (previous year `5,000.00)
e) Repo Transactions (in face value terms)

Details of securities sold/purchased (in face value terms) under repos/reverse repos including LAF and MSF transactions
(including Triparty repos and repos under Targeted Long Term Repo Operations):
Year ended 31 March, 2022 (` in crores)

Minimum Maximum Daily Average
As at
outstanding outstanding outstanding
31 March, 2022
during the year during the year during the year
Securities sold under repos
i. Government Securities 17,364.93 41,087.22 20,070.86 24,543.08
ii. Corporate debt Securities - 60.99 51.45 -
iii. Any other securities - - - -
Securities purchased under reverse repos
ii. Corporate debt Securities - - - -
There have been no defaults in making the same set of securities available at the time of 2 leg settlement of the Term
nd
Reverse Repo during the year ended 31 March, 2022.
Year ended 31 March, 2021 (` in crores)

Minimum Maximum Daily Average
As at
outstanding outstanding outstanding
31 March, 2021
during the year during the year during the year
Securities sold under repos
ii. Corporate debt Securities 57.86 368.95 163.85 58.49
Securities purchased under reverse repos
i. Government Securities 452.91 60,530.30 23,192.24 14,103.53
ii. Corporate debt Securities - - - -
There have been no defaults in making the same set of securities available at the time of 2nd leg settlement of the Term
Reverse Repo during the year ended 31 March, 2021.

4.4 Asset Quality

a) i) Movement in gross non-performing assets is set out below:
(` in crores)
31 March, 2022
Advances Investments Others1 Total
Gross NPAs as at the beginning of the year 22,681.69 2,633.15 - 25,314.84
Intra Category Transfer (221.25) - 221.25 -
Additions (fresh NPAs) during the year 19,136.93 968.47 4.35 20,109.75
Sub-total (A) 41,597.37 3,601.62 225.60 45,424.59
Less:-
(i) Upgradations 10,958.02 32.37 - 10,990.39
(ii) Recoveries (excluding recoveries made from 2,948.11 411.58 0.12 3,359.81
upgraded accounts)2
(iii) Technical/Prudential Write-offs 7,635.48 81.42 - 7,716.90
(iv) Write-offs other than those under (iii) above 1,490.13 45.04 - 1,535.17
Sub-total (B) 23,031.74 570.41 0.12 23,602.27
Gross NPAs as at the end of the year (A-B) 18,565.63 3,031.21 225.48 21,822.32
1. represents application money for investments
2. includes recoveries from sale of NPAs
(` in crores)
31 March, 2021
Gross NPAs as at the beginning of the year 26,604.10 3,629.72 - 30,233.82
Intra Category Transfer (168.08) 168.08 - -
Additions (fresh NPAs) during the year 16,278.07 968.53 - 17,246.60
Sub-total (A) 42,714.09 4,766.33 - 47,480.42
Less:-
(i) Upgradations 5,077.24 187.53 - 5,264.77
(ii) Recoveries (excluding recoveries made from 2,938.13 56.54 - 2,994.67
upgraded accounts)2
(iii) Technical/Prudential Write-offs 8,466.76 1,563.77 - 10,030.53
(iv) Write-offs other than those under (iii) above 3,550.27 325.34 - 3,875.61
Sub-total (B) 20,032.40 2,133.18 - 22,165.58
Gross NPAs as at the end of the year (A-B) 22,681.69 2,633.15 - 25,314.84
2. includes recoveries from sale of NPAs
ii) Movement in provisions for non-performing assets is set out below:

(` in crores)
31 March, 2022
Opening balance at the beginning of the year 16,043.23 2,145.75 - 18,188.98

Intra-Category Transfer (88.50) - 88.50 -
Provisions made during the year 7,366.06 258.01 65.02 7,689.09
Effect of exchange rate fluctuation 61.74 11.62 4.39 77.75
Transfer from restructuring provision 0.47 - - 0.47
Write-offs/(write back) of excess provision 2
(9,622.31) (152.66) (0.04) (9,815.01)
Closing balance at the end of the year 13,720.69 2,262.72 157.87 16,141.28
2. includes provision utilised for sale of NPAs amounting to `231.26 crores
203
Standalone
(` in crores)
31 March, 2021
Opening balance at the beginning of the year 17,313.75 3,488.93 - 20,802.68

Intra-Category Transfer (168.08) 168.08 - -
Provisions made during the year 10,916.00 387.73 - 11,303.73
Effect of exchange rate fluctuation (125.24) 15.92 - (109.32)
Transfer from restructuring provision - - - -
Write-offs/(write back) of excess provision2 (11,893.20) (1,914.91) - (13,808.11)
Closing balance at the end of the year 16,043.23 2,145.75 - 18,188.98
2. includes provision utilised for sale of NPAs amounting to `1,253.37 crores
iii) Movement in net non-performing assets is set out below:

(` in crores)
31 March, 2022
Opening balance at the beginning of the year 6,584.59 408.93 - 6,993.52

Additions during the year 11,637.65 710.46 72.08 12,420.19
Effect of exchange rate fluctuation (61.74) (11.62) (4.39) (77.75)
Reductions during the year (13,369.43) (417.75) (0.08) (13,787.26)
Interest Capitalisation – Restructured NPA Accounts (45.77) 9.23 - (36.54)
Closing balance at the end of the year2 4,745.30 699.25 67.61 5,512.16
2. after netting of balance in Sundries Account (Interest Capitalization - Restructured Accounts), in respect of NPA accounts amounting
to `168.88 crores which is not recognized as income as per RBI guidelines
(` in crores)
31 March, 2021
Opening balance at the beginning of the year 9,251.99 108.42 - 9,360.41

Additions during the year 5,362.07 580.80 - 5,942.87
Effect of exchange rate fluctuation 125.24 (15.92) - 109.32
Reductions during the year (8,139.20) (218.27) - (8,357.47)
Interest Capitalisation – Restructured NPA Accounts (15.51) (46.10) - (61.61)
Closing balance at the end of the year 2
6,584.59 408.93 - 6,993.52

iv) Classification of advances and provisions held

For the year 31 March, 2022 (` in crores)
Standard Non-Performing
Total Total Non- Total
Sub-
Standard Doubtful Loss Performing
standard
Advances Advances
Gross Standard Advances and NPAs
Opening Balance 607,822.57 6,140.99 8,962.55 7,578.15 22,681.69 630,504.26
Inter-Category transfer from/(to) Investments (221.25)
Add: Additions during the year 19,136.93
Less: Reductions during the year* (23,031.74)
Closing Balance 702,953.91 3,852.85 8,109.54 6,603.24 18,565.63 721,519.54
*Reductions in Gross NPAs due to:
i) Upgradation (10,958.02)
ii) Recoveries (excluding recoveries from (2,948.11)
upgraded accounts)
iii) Technical/Prudential Write-offs (7,635.48)
iv) Write-offs other than (iii) above1 (1,490.13)
Provisions (excluding Floating Provisions)
Opening Balance of Provisions held2 7,002.38 2,333.19 6,161.02 7,549.02 16,043.23 23,045.61
Inter category transfer from/(to) Investments & (88.50)
Others
Add: Fresh provisions made during the year 7,366.06
Effect of exchange rate fluctuation 61.74
Transfer from restructuring provision 0.47
Less: Excess Provision reversed/ Write-off loans3 (9,662.31)
Closing Balance of Provisions held 7,232.04 1,680.63 5,453.31 6,586.75 13,720.69 20,952.73
Net NPAs
Opening Balance 3,783.20 2,801.39 - 6,584.59
Add: Fresh Additions during the year 11,637.65
Effect of exchange rate fluctuation (61.74)
Less: Reductions during the year (13,369.43)
Less: Interest Capitalisation – Restructured NPA (45.77)
Accounts
Closing Balance4 2,172.19 2,573.11 - 4,745.30
Floating Provisions
Opening Balance 3.25
Add: Additional provisions made during the year -
Less: Amount of draw down during the year -
Closing Balance of Floating provisions 3.25
Technical write-offs and recoveries made thereon
(includes advances, investments and others)
Opening balance of Technical/Prudential written-off 31,855.92
accounts
Add: Technical/ Prudential write-offs during the year 7,716.90
Add: Effect of exchange rate fluctuation 219.51
Less: Recoveries made from previously technical/ (1,948.00)
prudential written-off accounts during the year
Less: Sacrifice made from previously technical/ (1,588.80)
prudential written-off accounts during the year5
Closing Balance 36,255.53
1. including sale of NPAs
2. provision for standard advances includes provision on loans under moratorium as per RBI guidelines on COVID-19 regulatory
package of `3,130.18 crores
3. includes provision utilised for sale of NPAs amounting to `231.26 crores
5. includes continuing debt of `27.59 crores in 2 accounts upgraded on account of implementation of resolution plan (change in
ownership)
205
Standalone
For the year 31 March, 2021 (` in crores)

Standard Non-Performing
Total Total Non-
Sub- Total
Standard Doubtful Loss Performing
standard
Advances Advances
Gross Standard Advances and NPAs
Opening Balance 548,018.52 5,449.00 15,718.33 5,436.77 26,604.10 574,622.22
Inter-Category transfer from/(to) Investments (168.08)
Add: Additions during the year 16,278.07
Less: Reductions during the year* (20,032.40)
Closing Balance 607,822.57 6,140.99 8,962.55 7,578.15 22,681.69 630,504.26
*Reductions in Gross NPAs due to:
i) Upgradation (5,077.24)
ii) Recoveries (excluding recoveries from (2,938.13)
upgraded accounts)
iii) Technical/Prudential Write-offs (8,466.76)
iv) Write-offs other than (iii) above1 (3,550.27)
Provisions (excluding Floating Provisions)
Opening Balance of Provisions held2 4,451.44 1,592.29 10,292.54 5,428.92 17,313.75 21,765.19
Inter category transfer from/(to) Investments (168.08)
& Others
Add: Fresh provisions made during the year 10,916.00
Effect of exchange rate fluctuation (125.24)
Transfer from restructuring provision -
Less: Excess Provision reversed/ Write-off (11,893.20)
loans3
Closing Balance of Provisions held 7,002.38 2,333.19 6,161.02 7,549.02 16,043.23 23,045.61
Net NPAs
Opening Balance 3,856.55 5,395.44 - 9,251.99
Add: Fresh Additions during the year 5,362.07
Effect of exchange rate fluctuation 125.24
Less: Reductions during the year (8,139.20)
Less: Interest Capitalisation – Restructured (15.51)
NPA Accounts
Closing Balance4 3,783.20 2,801.39 - 6,584.59
Floating Provisions
Opening Balance 3.25
Add: Additional provisions made during the -
year
Less: Amount of draw down during the year -
Closing Balance of Floating provisions 3.25
Technical write-offs and recoveries made
thereon (includes advances, investments and
others)
Opening balance of Technical/Prudential 23,844.07
written-off accounts
Add: Technical/ Prudential write-offs during 10,030.53
the year
Less: Effect of exchange rate fluctuation (145.51)
Less: Recoveries made from previously (1,033.49)
technical/ prudential written-off accounts
during the year
Less: Sacrifice made from previously technical/ (839.68)
prudential written-off accounts during the
year5
Closing Balance 31,855.92
1. including sale of NPAs
2. provision for standard advances includes provision on loans under moratorium as per RBI guidelines on COVID-19 regulatory
package of `3,130.18 crores
3. includes provision utilised for sale of NPAs amounting to `1,253.37 crores
5. includes continuing debt of `83 crores in 1 account upgraded on account of implementation of resolution plan (change in ownership)

v) Key NPA Ratios

Ratios (in percent) 31 March, 2022 31 March, 2021
i. Gross non-performing advances to Gross Advances 2.57% 3.54%

ii. Net non-performing advances to Net Advances 0.67% 1.06%
iii. Provision Coverage ratio for non-performing advances (including prudential write 90.94% 87.20%
offs)
iv. Gross non-performing assets as a percentage of gross customer assets1 2.82% 3.70%
v. Net non-performing assets as a percentage of net customer assets1 0.73% 1.05%
1. Customer assets include advances and credit substitutes
b) Sector-wise advances:
(` in crores)
31 March, 2022 31 March, 2021
Sr. % of Gross % of Gross

Sector Outstanding Outstanding
No. Gross NPAs to Total NPAs to Total
Total Total Gross NPAs
NPAs Advances Advances
Advances Advances
in that sector in that sector
A Priority Sector
1 Agriculture and allied activities 56,553.19 2,091.90 3.70% 44,334.56 1,848.23 4.17%
2 Advances to industries 72,842.76 1,404.72 1.93% 47,051.88 1,517.01 3.22%
sector eligible as priority sector
lending
-Chemical & Chemical products 7,342.63 68.60 0.93% 5,264.74 47.60 0.90%
-Basic Metal & Metal Products 6,419.34 110.06 1.71% 4,385.70 105.34 2.40%
-Infrastructure 3,429.68 43.49 1.27% 1,643.23 60.02 3.65%
3 Services 52,894.43 785.23 1.48% 35,766.13 1,184.42 3.31%
-Banking and Finance other than 3,200.45 11.04 0.34% 3,600.62 11.56 0.32%
NBFCs and MFs
-Non-banking financial companies 6,728.98 - - 2,794.70 1.28 0.05%
(NBFCs)
-Commercial Real Estate 6,658.02 21.35 0.32% 2,773.90 66.43 2.39%
-Trade 20,086.34 563.67 2.81% 13,465.12 868.12 6.45%
4 Personal loans 75,003.40 1,185.01 1.58% 59,936.15 1,021.24 1.70%
-Housing* 49,092.20 624.70 1.27% 41,718.68 520.05 1.25%
-Vehicle Loans 12,897.12 426.45 3.31% 11,540.02 401.57 3.48%
Sub-total (A) 257,293.78 5,466.86 2.12% 187,088.72 5,570.90 2.98%
B Non Priority Sector
1 Agriculture and allied activities 1,490.50 25.96 1.74% 972.47 14.00 1.44%
2 Industry 145,657.30 7,933.04 5.45% 146,128.03 10,779.02 7.38%
-Chemical & Chemical products 15,394.89 604.24 3.92% 15,956.54 1,237.66 7.76%
-Basic Metal & Metal Products 20,507.85 34.28 0.17% 15,376.76 76.37 0.50%
-Infrastructure 59,404.55 3,071.15 5.17% 55,773.46 3,424.25 6.14%
3 Services 83,671.49 3,031.14 3.62% 97,425.54 3,340.18 3.43%
-Banking and Finance other than 25,132.19 74.29 0.30% 32,547.37 97.30 0.30%
NBFCs and MFs
-Non-banking financial companies 12,586.98 79.35 0.63% 17,635.72 - -
(NBFCs)
-Commercial Real Estate 16,984.64 1,174.48 6.91% 16,939.14 1,482.43 8.75%
-Trade 13,450.26 730.59 5.43% 13,595.76 719.67 5.29%
207
Standalone
(` in crores)
31 March, 2022 31 March, 2021
Sr. % of Gross % of Gross

Sector Outstanding Outstanding
No. Gross NPAs to Total NPAs to Total
Total Total Gross NPAs
NPAs Advances Advances
Advances Advances
in that sector in that sector
4 Personal loans 233,406.47 2,108.63 0.90% 208,210.29** 2,977.59 1.43%

-Housing* 133,646.04 1,277.85 0.96% 111,490.55 1,452.06 1.30%
-Vehicle Loans 24,739.12 334.04 1.35% 23,005.70 485.70 2.11%
Sub-total (B) 464,225.76 13,098.77 2.82% 452,736.33 17,110.79 3.78%
Total (A+B) 721,519.54 18,565.63 2.57% 639,825.05** 22,681.69 3.54%
* includes loan against property
** before reclassification of structured collateralised foreign currency loans [refer note 18 (3) (3.3)]
Classification of advances into sector is based on Sector wise Industry Bank Credit return submitted to RBI
Figures in italics represent sub-sectors where the outstanding advance exceeds 10% of total outstanding advance
to that sector.
c) Amount of total assets, non-performing assets and revenue of overseas branches is given below:
(` in crores)
Total assets 57,961.69 43,776.71

Total NPAs (Gross) 2,377.67 3,270.44
Total NPAs (Net) 481.07 904.76
Total revenue 901.88 996.95
d) Particulars of resolution plan and restructuring
i) Disclosure with regard to implementation of resolution plan as required under RBI circular for Resolution of
Stressed Assets:
As on/for the year ended 31 March, 2022 (` in crores)

Resolution plan Resolution plan not
Particulars implemented during implemented within specified
the year timelines as on 31 March, 2022
No. of borrowers1 4 22
Fund and non-fund based outstanding as on 31 March, 20222 1,390.45 3,636.18
Additional provisions held as per RBI guidelines N.A. 591.33
1. includes prudentially written-off accounts and accounts settled pursuant to implementation of resolution plan
2. excluding fund based outstanding for prudentially written off cases and outstanding in equity shares
As on/for the year ended 31 March, 2021 (` in crores)
Resolution plan Resolution plan not

Particulars implemented during implemented within specified
the year timelines as on 31 March, 2021
No. of borrowers1 6 30
Fund based outstanding as on 31 March, 20212 875.32 3,687.69
Additional provisions held as per RBI guidelines N.A. 243.62
1. includes prudentially written-off accounts and accounts settled pursuant to implementation of resolution plan
2. excluding outstanding for prudentially written off cases and outstanding in equity shares

ii) Details of accounts subjected to restructuring1,2,3

(Amount in ` crores)
Retail
Agriculture and allied Corporate Micro, Small and Medium
(excluding agriculture and Total
activities (excluding MSME) Enterprises (MSME)
MSME)
As on As on As on As on As on As on As on As on As on As on
31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March,
2022 2021 2022 2021 2022 2021 2022 2021 2022 2021
Standard Number of borrowers 196 474 2 1 17,767 113,555 29 23 17,994 114,053
Gross amount 18.55 44.02 193.08 114.88 806.66 335.23 2.46 6.25 1,020.75 500.38
Provision held 0.93 2.20 9.65 4.44 248.65 77.61 0.15 0.31 259.38 84.56
Sub- Number of borrowers 39 66 - - 12,971 - 15 11 13,025 77
standard Gross amount 3.79 7.32 - - 61.26 - 1.34 0.33 66.39 7.65
Provision held 1.14 2.20 - - 38.77 - 0.54 0.05 40.45 2.25
Doubtful Number of borrowers 91 194 2 2 14,290 - 5 5 14,388 201
Gross amount 8.37 23.82 592.58 91.95 34.65 - 0.71 1.18 636.31 116.95
Provision held 6.99 17.22 228.91 36.78 17.52 - 0.50 0.59 253.92 54.59
Loss Number of borrowers 14 11 5 9 13,511 - 3 - 13,533 20
Gross amount 27.96 27.58 540.37 954.21 17.75 - 0.79 - 586.87 981.79
Provision held4 27.96 27.58 535.23 925.08 17.64 - 0.79 - 581.62 952.66
Total Number of borrowers 340 745 9 12 58,539 113,555 52 39 58,940 114,351
Gross amount 58.67 102.74 1,326.03 1,161.04 920.32 335.23 5.30 7.76 2,310.32 1,606.77
Provision held4 37.02 49.20 773.79 966.30 322.58 77.61 1.98 0.95 1,135.37 1,094.06
1. Excludes prudentially written-off accounts
2. Excludes accounts where resolution plan is implemented under RBI Resolution Framework for Covid-19 related stress as per RBI circular
dated 6 August, 2020 (Resolution Framework 1.0) and 5 May, 2021 (Resolution Framework 2.0). [Refer note 18 (4.4) (h)]
3. Includes accounts where restructuring is implemented under RBI circular for Resolution of Stressed Assets (excluding cases of change in
ownership)
4. Excluding balance outstanding in Sundries Account (Interest Capitalization - Restructured Accounts), in respect of NPA accounts which is
not recognized as income as per RBI guidelines
e) Divergence in asset classification and provisioning

In terms of the RBI circular no. DBR.BP.BC.No.32/21.04.018/2018-19 dated 1 April, 2019, banks are required to disclose
the divergences in asset classification and provisioning consequent to RBI’s annual supervisory process in their notes to
accounts to the financial statements, wherever either or both of the following conditions are satisfied: (a) the additional
provisioning for NPAs assessed by RBI exceeds 10 per cent of the reported profit before provisions and contingencies for
the reference period and (b) the additional Gross NPAs identified by RBI exceed 15 per cent of the published incremental
Gross NPAs for the reference period.
Based on the above, no disclosure on divergence in asset classification and provisioning for NPAs is required with respect
to RBI’s annual supervisory process for the year ended 31 March, 2021 and 31 March, 2020.
209
Standalone
f) Disclosure on transfer of loan exposures

i) Details of loans not in default acquired and transferred during the year ended 31 March, 2022 under the RBI
Master Direction on Transfer of Loan Exposure dated 24 September, 2021 are given below :
a) Details of loans not in default acquired from other entities:
Particulars Corporate segment Retail segment
Mode of acquisition Assignment and Novation Assignment

Aggregate Principal outstanding of loans acquired `1,563.57 crores `1,883.50 crores
Weighted average residual maturity 10.38 years 11.97 years
Weighted average holding period N.A. N.A.
Retention of beneficial economic interest by the originator N.A. 5%-10%
Coverage of tangible security (for secured loans) 100% secured Weighted average LTV ~ 40%
Rating-wise1 distribution of loans acquired by value
- A- and above 75.45% N.A.
- BBB and BBB+ 24.55% N.A.
1. Represents internal rating as on date of acquisition
b) Details of loans not in default transferred to other entities:
Particulars Corporate segment Retail segment
Mode of transfer Assignment and Novation -

Aggregate Principal outstanding of loans acquired `5,068.01 crores -
Weighted average residual maturity N.A. N.A.
Weighted average holding period (for assignment transactions) 2.08 years -
Retention of beneficial economic interest Nil -
Coverage of tangible security (for secured loans) 100% secured -
Rating-wise distribution of loans transferred by value
1
- A- and above 100% N.A.

1. Represents internal rating as on date of transfer
ii) etails of stressed loans acquired and transferred during the year ended 31 March, 2022 under the RBI Master
D
Direction on Transfer of Loan Exposure dated 24 September, 2021 are given below:
a) The Bank has not acquired any stressed loans (NPA and SMA accounts) during the year ended 31 March, 2022.
b) Details of stressed loans transferred (excluding prudentially written off accounts) during the year ended
31 March, 2022:
(` in crores)
To permitted
To ARCs To other transferees
transferees
NPA SMA NPA SMA NPA SMA
No. of accounts 1 - - - - -
Aggregate principal outstanding of loans transferred (on the `215.78 - - - - -
date of transfer)
Weighted average residual tenor of the loans transferred N.A. - - - - -
Net book value of the loans transferred - - - - - -
(at the time of transfer)
Aggregate consideration `63.40 - - - - -
Additional consideration realized in respect of accounts - - - - - -
transferred in earlier years

iii) Details on recovery ratings assigned for Security Receipts as on 31 March, 2022:
(` in crores)
Recovery ratings1 Anticipated recovery as per recovery rating Book value2
RRI 100%-150% 236.21

Total 236.21
1. Recovery rating is as assigned by various external agencies
2. The Bank has not made any investment in Security Receipts during the year ended 31 March, 2022 and holds full provision against
the outstanding Security Receipts as on 31 March, 2022
g) Disclosure on provisioning pertaining to fraud accounts

(` in crores)
Number of frauds reported during the year1 6,125 5,959

Amounts involved net of recoveries/write-offs 209.43 1,579.67
Provisions held at the beginning of the year 18.63 961.94
Provisions made during the year 172.83 597.67
Balance held in interest capitalisation accounts - 4.87
Provisions held at the end of the year 2
191.46 1,564.48
Unamortised provision debited from ‘other reserves’ as at the end of the year - -
1. excluding 108 cases of advances (previous year 94 cases) amounting to `621.65 crores (previous year `2,476.70 crores) reported as fraud
during the year and subsequently prudentially written off within the financial year
2. In respect of frauds related to advances, the Bank undertakes 100% provisioning of the outstanding amount once the borrower account is
classified as fraud in line with RBI guidelines.In respect of other frauds, provision is made where the claim has been admitted and the Bank
is under an obligation to settle the same. In all other cases declared as fraud but where claim is not admitted, no provision is required to be
made. The number of frauds reported during the year include 3,044 cases amounting to `17.97 crores where claim has not been admitted
by the Bank (previous year 858 cases amounting to `14.89 crores)
h) Disclosure under Resolution Framework for COVID-19 related Stress

Movement in position of accounts where resolution plan is implemented under RBI Resolution Framework for Covid-19
related stress as per RBI circular dated 6 August, 2020 (Resolution Framework 1.0) during the half year ended 30
September, 2021:
(` in crores)
Exposure to accounts Exposure to accounts
classified as Standard Of (A) amount classified as Standard
Of (A), aggregate Of (A) amount
consequent to paid by the consequent to
debt that slipped written off
Type of borrower implementation of borrowers implementation of
into NPA during the during the
resolution plan – during the half- resolution plan –
half-year half-year
Position as at year3 Position as at
31 March, 2021 (A)1, 2 30 September, 20214
Personal Loans 484.31 45.77 26.51 45.23 366.80

Corporate persons 1,620.49 - - 99.61 1,520.88
Of which, MSMEs - - - - -
Others - - - - -
Total 2,104.80 45.77 26.51 144.84 1,887.68
1. Includes cases where resolution plan is implemented after 31 March, 2021
2. Represents fund based outstanding before the date of implementation of resolution plan
3. Represents net movement in balance outstanding
4. Represents fund based outstanding balance of standard accounts as on 30 September, 2021
211
Standalone
Movement in position of accounts where resolution plan is implemented under RBI Resolution Framework for Covid-19
related stress as per RBI circular dated 6 August, 2020 (Resolution Framework 1.0) and 5 May, 2021 (Resolution
Framework 2.0) during the half year ended 31 March, 2022:
(` in crores)
Exposure to accounts
Exposure to accounts
classified as Standard
Of (A) amount classified as Standard
consequent to Of (A), aggregate
Of (A) amount paid by the consequent to
implementation of debt that slipped
Type of borrower written off during borrowers implementation of
resolution plan – into NPA during the
the half-year during the half- resolution plan –
Position as at half-year
year3 Position as at
30 September, 2021
31 March, 20222
(A)1, 2
Personal Loans4 3,088.95 85.44 11.32 84.50 2,907.69
Corporate persons 1,536.22 307.06 - 108.07 1,121.09
Of which, MSMEs - - - - -
Others - - - - -
Total 4,625.17 392.50 11.32 192.57 4,028.78
1. Includes cases where resolution plan is implemented after 30 September, 2021

2. Represents fund based outstanding balance of standard accounts
3. Represents net movement in balance outstanding
4. Personal loans represent retail advances
i) During the years ended 31 March, 2022 and 31 March, 2021 none of the loans and advances held at overseas branches
of the Bank have been classified as NPA by any host banking regulator for reasons other than record of recovery.
4.5 Exposures
a) Exposure to Real Estate sector
(` in crores)
Category 31 March, 2022 31 March, 2021
1) Direct Exposure
(i) Residential mortgages 186,319.92 155,019.96
- of which housing loans eligible for inclusion in priority sector advances 49,481.10 40,873.87
(ii) Commercial real estate 33,357.52 26,991.01
(iii) Investments in Mortgage Backed Securities (MBS) and other securitised

exposures -
a. Residential - -
b. Commercial real estate - -
2) Indirect Exposure
Fund based and non-fund based exposures on National Housing Bank (NHB) and 25,377.34 24,996.48
Housing Finance Companies (HFCs)
Total Exposure to Real Estate Sector 245,054.78 207,007.45

b) Exposure to Capital Market

(` in crores)
1. Direct investments in equity shares, convertible bonds, convertible debentures and 2,641.05 2,145.24
units of equity-oriented mutual funds the corpus of which is not exclusively invested in
corporate debt1
2. Advances against shares/bonds/debentures or other securities or on clean basis 1.31 2.88
to individuals for investment in shares (including IPOs/ESOPs), convertible bonds,
convertible debentures, and units of equity-oriented mutual funds
3. Advances for any other purposes where shares or convertible bonds or convertible 2,502.29 1,812.14
debentures or units of equity-oriented mutual funds are taken as primary security
4. Advances for any other purposes to the extent secured by the collateral security of shares 139.43 1,101.69
or convertible bonds or convertible debentures or units of equity-oriented mutual funds
i.e. where primary security other than shares/convertible bonds/convertible debentures/
units of equity-oriented mutual funds does not fully cover the advances
5. Secured and unsecured advances to stockbrokers and guarantees issued on behalf of 9,968.28 7,991.64
stockbrokers and market makers
6. Loans sanctioned to corporates against the security of shares/bonds/debentures or 704.66 -
other securities or on clean basis for meeting promoter’s contribution to the equity of
new companies in anticipation of raising resources
7. Bridge loans to companies against expected equity flows/issues - -
8. Underwriting commitments taken up in respect of primary issue of shares or convertible - -
bonds or convertible debentures or units of equity-oriented mutual funds
9. Financing to stock brokers for margin trading - -
10. All exposures to Venture Capital Funds (both registered and unregistered) including 501.19 287.94
capital contribution to LLP
Total exposure to Capital Market (Total of 1 to 10) 16,458.21 13,341.53
1. excludes investment in equity shares on account of conversion of debt into equity as part of restructuring amounting to `718.35 crores as
on 31 March, 2022 (previous year `762.36 crores) which are exempted from exposure to Capital Market
c) Details of Risk Category wise Country Exposure

(` in crores)
Exposure (Net) as at Provision Held as at Exposure (Net) as at Provision Held as at
Risk Category 1
31 March, 2022 31 March, 2022 31 March, 2021 31 March, 2021
Insignificant - - - -
Low 23,771.90 18.97 21,139.88 -
Moderate 3,474.93 - 3,885.55 -
High 1,224.43 - 1,224.78 -
Very High 2,094.28 - 1,878.98 -
Restricted 9.82 - 0.67 -
Off-Credit - - - -
Total 30,575.36 18.97 28,129.86 -
1. Risk categorization is based on the methodology as internally adopted by the Bank
d) Unsecured Advances
(` in crores)
Total unsecured advances of the Bank 171,857.27 166,719.69
Out of the above, amount of advances for which securities such as charge over the rights, - -
licenses, authority, etc. have been taken
Estimated value of such intangible securities - -
213
Standalone
e) Factoring Exposures
As on 31 March, 2022, exposures under factoring stood at `7,113.56 crores (previous year `2,136.32 crores)
f) Disclosure on Intra-Group Exposures1
(` in crores)
Total amount of intra-group exposures 5,822.48 5,790.67
Total amount of top-20 intra-group exposures 5,822.48 5,790.65
Percentage of intra-group exposures to total exposure of the Bank on borrowers/customers 0.46 0.52
1. Exposure includes credit exposure (funded and non-funded), derivative exposure, investment exposure (including underwriting and similar
commitments) and deposits placed for meeting shortfall in Priority Sector Lending
During the years ended 31 March, 2022 and 31 March, 2021, the intra-group exposures were within the limits
specified by RBI.
The above information is as certified by the Management and relied upon by the auditors.
g) Unhedged foreign currency exposures
The Bank has laid down the framework to manage credit risk arising out of unhedged foreign currency exposures of the
borrowers. Both at the time of initial approval as well as subsequent reviews/renewals, the assessment of credit risk
arising out of foreign currency exposure of the borrowers include details of imports, exports, repayments of foreign
currency borrowings, as well as hedges done by the borrowers or naturally enjoyed by them vis-a-vis their intrinsic
financial strength, history of hedging and losses arising out of foreign currency volatility. The extent of hedge/cover
required on the total foreign currency exposure including natural hedge and hedged positions, is guided through a matrix
of internal ratings. The hedging policy is applicable for existing as well as new clients with foreign currency exposures
above a predefined threshold. The details of un-hedged foreign currency exposure of customers for transactions
undertaken through the Bank are monitored periodically. The Bank also maintains additional provision and capital, in
line with RBI guidelines.
(` in crores)
Incremental capital held as at 31st March 1,275.66 914.72
Provision/(Write back of provision) made during the year (61.82) 215.58
Cumulative provision held as at 31 March
st
273.97 335.79
4.6 Concentration of deposits, advances, exposures and NPAs

a) Concentration of deposits
(` in crores)
31 March, 2022 31 March, 2021
Total deposits of twenty largest depositors 82,948.94 55,593.71

Percentage of deposits of twenty largest depositors to total deposits 10.09 7.86
b) Concentration of advances1
(` in crores)
31 March, 2022 31 March, 2021
Total advances to twenty largest borrowers 109,406.53 105,708.42

Percentage of advances to twenty largest borrowers to total advances 9.13 10.05
1. Advances represent credit exposure (funded and non-funded) including derivative exposure as defined by RBI

c) Concentration of exposures1
(` in crores)
31 March, 2022 31 March, 2021
Total exposure to twenty largest borrowers/customers 131,779.47 130,160.38

Percentage of exposures to twenty largest borrowers/customers to total exposure on
borrowers/customers 10.42 11.69
1. Exposure includes credit exposure (funded and non-funded), derivative exposure, investment exposure (including underwriting and similar
commitments) and deposits placed for meeting shortfall in Priority Sector Lending
d) Concentration of NPAs
(` in crores)
31 March, 2022 31 March, 2021
Total exposure to the top twenty NPA accounts1 8,363.27 8,741.31

Percentage exposures of the twenty largest NPA exposures to total gross NPAs 2
36.27 32.94
1. includes non-fund based outstanding and non-performing investments
2. percentage is computed based on outstanding of top twenty NPA accounts (excluding non-fund based outstanding) to gross NPAs
4.7 Derivatives
a) Disclosure in respect of Interest Rate Swaps (‘IRS’), Forward Rate Agreement (‘FRA’) and Cross Currency Swaps (‘CCS’)
outstanding is set out below:
An ‘IRS’ is a financial contract between two parties exchanging or swapping a stream of interest payments for a
‘notional principal’ amount on multiple occasions during a specified period. The Bank deals in interest rate benchmarks
like Mumbai Inter-Bank Offered Rate (MIBOR), Indian Government Securities Benchmark Rate (INBMK), Mumbai
Inter-Bank Forward Offer Rate (MIFOR), Modified MIFOR, Alternative Reference Rates (ARR) and London Inter-Bank
Offered Rate (LIBOR) of various currencies. Pursuant to RBI guidelines on Roadmap for LIBOR transition all new deals
are being offered on Modified MIFOR and ARR interest rates benchmarks as published by the regulators of respective
currencies. Deals outstanding in MIFOR and LIBOR interest rate benchmarks prior to the transition will continue till their
respective maturities.
A ‘FRA’ is a financial contract between two parties to exchange interest payments for ‘notional principal’ amount
on settlement date, for a specified period from start date to maturity date. Accordingly, on the settlement date cash
payments based on contract rate and the settlement rate, which is the agreed bench-mark/reference rate prevailing on
the settlement date, are made by the parties to one another. The benchmark used in the FRA contracts of the Bank is
LIBOR of various currencies.
A ‘CCS’ is a financial contract between two parties exchanging interest payments and principal, wherein interest
payments and principal in one currency would be exchanged for an equally valued interest payments and principal in
another currency.
(` in crores)
Sr. As at As at
Items
No. 31 March, 2022 31 March, 2021
i) Notional principal of swap agreements 542,412.55 334,867.83
ii) Losses which would be incurred if counterparties failed to fulfill their obligations under 6,344.03 5,739.66
the agreements
iii) Collateral required by the Bank upon entering into swaps 699.87 291.83
iv) Concentration of credit risk arising from the swaps
Maximum single industry exposure with Banks (previous year with Banks)
- Interest Rate Swaps/FRAs 2,340.27 3,305.13
- Cross Currency Swaps 3,694.49 4,083.62
v) Fair value of the swap book (hedging & trading)
- Interest Rate Swaps/FRAs 139.59 (461.16)
- Currency Swaps 391.96 1,112.02
215
Standalone
The nature and terms of the IRS as on 31 March, 2022 are set out below:
(` in crores)
Nature Nos. Notional Principal Benchmark Terms
Hedging 11 3,789.63 LIBOR Fixed Receivable v/s Floating Payable
Trading 177 32,067.70 LIBOR/EURIBOR Fixed Receivable v/s Floating Payable
Trading 13 5,472.22 SOFR Fixed Receivable v/s Floating Payable
Trading 1 248.64 SONIA Fixed Receivable v/s Floating Payable
Trading 3,329 145,206.43 MIBOR Fixed Receivable v/s Floating Payable
Trading 632 45,489.71 MIFOR Fixed Receivable v/s Floating Payable
Trading 63 5,660.00 MOD MIFOR Fixed Receivable v/s Floating Payable
Trading 4 650.00 INBMK Floating Receivable v/s Fixed Payable
Trading 246 47,414.65 LIBOR/EURIBOR Floating Receivable v/s Fixed Payable
Trading 5 416.86 SOFR Floating Receivable v/s Fixed Payable
Trading 3,311 145,865.23 MIBOR Floating Receivable v/s Fixed Payable
Trading 317 28,829.68 MIFOR Floating Receivable v/s Fixed Payable
Trading 43 4,310.00 MOD MIFOR Floating Receivable v/s Fixed Payable
Trading 37 13,491.07 LIBOR Floating Receivable v/s Floating Payable
8,189 478,911.82
The nature and terms of the IRS as on 31 March, 2021 are set out below:
(` in crores)
Hedging 16 7,311.00 LIBOR Fixed Receivable v/s Floating Payable
Trading 190 29,861.10 LIBOR/EURIBOR Fixed Receivable v/s Floating Payable
Trading 1,131 52,476.08 MIBOR Fixed Receivable v/s Floating Payable
Trading 792 52,849.00 MIFOR Fixed Receivable v/s Floating Payable
Trading 5 700.00 INBMK Floating Receivable v/s Fixed Payable
Trading 1,285 52,524.00 MIBOR Floating Receivable v/s Fixed Payable
Trading 451 35,382.00 MIFOR Floating Receivable v/s Fixed Payable
Trading 35 12,538.37 LIBOR Floating Receivable v/s Floating Payable
Trading 1 54.83 LIBOR Pay Cap/Receive Floor
4,159 286,826.48
The nature and terms of the FRA as on 31 March, 2022 are set out below:
(` in crores)
- - - - -
- -
The nature and terms of the FRA as on 31 March, 2021 are set out below:
(` in crores)
- - - - -
- -

The nature and terms of the CCS as on 31 March, 2022 are set out below:
(` in crores)
Trading 140 19,929.99 Principal & Coupon Swap Fixed Payable v/s Fixed Receivable
Trading 91 10,305.61 LIBOR/EURIBOR/ MIBOR Fixed Receivable v/s Floating Payable
Trading 48 15,853.76 LIBOR/MIFOR/ EURIBOR/MIBOR Floating Receivable v/s Floating Payable
Trading 36 3,805.33 Principal Only Fixed Receivable
Trading 24 3,610.19 Principal Only Fixed Payable
399 63,500.73
The nature and terms of the CCS as on 31 March, 2021 are set out below:
(` in crores)
Trading 81 9,097.95 Principal & Coupon Swap Fixed Payable v/s Fixed Receivable
Trading 90 8,855.26 LIBOR/EURIBOR/ MIBOR Fixed Receivable v/s Floating Payable
Trading 40 12,105.32 LIBOR/MIFOR/ MIBOR Fixed Receivable v/s Fixed Payable
Trading 36 3,199.95 Principal Only Fixed Receivable
Trading 4 641.78 Principal Only Fixed Payable
325 48,041.35
b) Exchange Traded Interest Rate Derivatives

(` in crores)
Sr. As at
Particulars
No. 31 March, 2022
i) Notional principal amount of exchange traded interest rate derivatives undertaken during the year
FVM1 - 5 years US Note - June 2021 73.52
TYM1 - 10 years US Note - June 2021 238.75
TUM1 - 2 years US Note - June 2021 462.33
TYU1 - 10 years US Note - September 2021 372.90
FVU1 - 5 years US Note - September 2021 219.80
TUU1 - 2 years US Note - September 2021 666.97
FVZ1 - 5 years US Note - December 2021 219.80
TYZ1 - 10 years US Note - December 2021 303.17
TUZ1 - 2 years US Note - December 2021 666.97
TUH2 - 2 years US Note - March 2022 666.97
FVH2 - 5 years US Note - March 2022 181.90
TYH2 - 10 years US Note - March 2022 392.61
FVM2 - 5 years US Note- June 2022 154.62
4,992.45
ii) Notional principal amount of exchange traded interest rate derivatives outstanding as on 31 March, 2022
196.30
217
Standalone
(` in crores)
Sr. As at
Particulars
No. 31 March, 2022
iii) Notional principal amount of exchange traded interest rate derivatives outstanding as on 31 March,
2022 and “not highly effective” N.A.
iv) Mark-to-market value of exchange traded interest rate derivatives outstanding as on
31 March, 2022 and “not highly effective” N.A.
(` in crores)
Sr. As at
Particulars
No. 31 March, 2021
i) Notional principal amount of exchange traded interest rate derivatives undertaken during the year
EDM0 - 90 days Euro Future - June 2020 1,666.91
TUU0 - 2 years US Note - September 2020 49.71
FVU0 - 5 years US Note - September 2020 233.95
TYU0 - 10 years US Note - September 2020 247.11
FVZ0 - 5 years US Note - December 2020 138.91
TYZ0 - 10 years US Note - December 2020 324.61
FVH1 - 5 years US Note - March 2021 293.90
TYH1 - 10 years US Note - March 2021 447.43
4,354.43
ii) Notional principal amount of exchange traded interest rate derivatives outstanding as on 31 March,
2021
549.79
iii) Notional principal amount of exchange traded interest rate derivatives outstanding as on 31 March,
2021 and “not highly effective” N.A.
iv) Mark-to-market value of exchange traded interest rate derivatives outstanding as on 31 March, 2021
and “not highly effective” N.A.
c) Disclosure on risk exposure in Derivatives
Qualitative disclosures:
(a) Structure and organisation for management of risk in derivatives trading, the scope and nature of risk
measurement, risk reporting and risk monitoring systems, policies for hedging and/or mitigating risk and
strategies and processes for monitoring the continuing effectiveness of hedges/mitigants:
Derivatives are financial instruments whose characteristics are derived from an underlying asset, or from interest
and exchange rates or indices. The Bank undertakes over the counter and Exchange Traded derivative transactions
for Balance Sheet management and also for proprietary trading/market making whereby the Bank offers OTC
derivative products to the customers to enable them to hedge their interest rate and currency risks within the
prevalent regulatory guidelines.
Proprietary trading includes Exchange Traded Currency Options, Interest Rate Futures, Currency Futures and
Rupee Interest Rate Swaps under different benchmarks (viz. MIBOR, Modified MIFOR, LIBOR, ARR and INBMK),

Currency Options, Currency Swaps and Non Deliverable Options. The Bank also undertakes transactions
in Cross Currency Swaps, Principal Only Swaps, Coupon Only Swaps, Currency Options, Interest Rate Swaps,
Exotic Derivatives and Long Term Forex Contracts (LTFX) for hedging its Balance Sheet and also offers them
to its customers. These transactions expose the Bank to various risks, primarily credit, market, legal, reputation
and operational risk. The Bank has adopted the following mechanism for managing risks arising out of the
derivative transactions.
There is a functional separation between the Treasury Front Office, Treasury Mid Office and Treasury Back Office
to undertake derivative transactions. The customer and interbank related derivative transactions are originated
by Derivative sales and Treasury Front Office team respectively which ensures compliance with the trade
origination requirements as per the Bank’s policy and the RBI guidelines. The Market Risk Group within the Bank’s
Risk Department independently identifies, measures and monitors the market risks associated with derivative
transactions and apprises the Asset Liability Management Committee (ALCO) and the Risk Management Committee
of the Board (RMC) on the compliance with the risk limits. The Treasury Back Office undertakes activities such as
trade validation, confirmation, settlement, ISDA and related documentation, post deal documentation, accounting,
valuation and other MIS reporting.
The derivative transactions are governed by the Derivative policy, Suitability and Appropriateness Policy for
derivative products, Market risk management policy, Hedging policy and the Asset Liability Management (ALM)
policy of the Bank as well as by the extant RBI guidelines. The Bank has implemented policy on customer suitability
& appropriateness to ensure that derivatives transactions entered into are appropriate and suitable to the customer.
The Bank has put in place a detailed process flow on documentation for customer derivative transactions for
effective management of operational/reputation/compliance risk.
Various risk limits are set up and actual exposures are monitored vis-à-vis the limits allocated. These limits are set
up taking into account market volatility, risk appetite, business strategy and management experience. Risk limits
are in place for risk parameters viz. PV01, VaR, Stop Loss, Delta, Gamma and Vega. Actual positions are monitored
against these limits on a daily basis and breaches, if any, are dealt with in accordance with board approved Risk
Appetite Statement. Risk assessment of the portfolio is undertaken periodically. The Bank ensures that the Gross
PV01 (Price value of a basis point) position arising out of all non-option rupee derivative contracts are within
0.25% of net worth of the Bank as on Balance Sheet date.
Hedging transactions are undertaken by the Bank to protect the variability in the fair value or the cash flow of the
underlying Balance Sheet item. These deals are accounted on an accrual basis except the swap designated with
an asset/liability that is carried at market value or lower of cost or market value. In that case, the swap is marked
to market with the resulting gain or loss recorded as an adjustment to the market value of designated asset or
liability. These transactions are tested for hedge effectiveness and in case any transaction fails the test, the same
is re-designated as a trading deal and appropriate accounting treatment is followed.
(b) Accounting policy for recording hedge and non-hedge transactions, recognition of income, premiums and
discounts, valuation of outstanding contracts:
The Hedging Policy of the Bank governs the use of derivatives for hedging purpose. Subject to the prevailing RBI
guidelines, the Bank deals in derivatives for hedging fixed rate and floating rate coupon or foreign currency assets/
liabilities. Transactions for hedging and market making purposes are recorded separately. For hedge transactions,
the Bank identifies the hedged item (asset or liability) at the inception of the transaction itself. The effectiveness
is ascertained at the time of inception of the hedge and periodically thereafter. Hedge derivative transactions are
accounted for in accordance with the hedge accounting principles. Derivatives for market making purpose are
marked to market and the resulting gain/loss is recorded in the Profit and Loss Account. The premium on option
contracts is accounted for as per FEDAI guidelines. Derivative transactions are covered under International Swaps
and Derivatives Association (ISDA) master agreements with respective counterparties. The exposure on account
of derivative transactions is computed as per the RBI guidelines and is marked against the Loan Equivalent Risk
(LER) limits approved for the respective counterparties.
219
Standalone
(c) Provisioning, collateral and credit risk mitigation:

Derivative transactions comprise of swaps, FRAs, futures, forward contracts and options which are disclosed as
contingent liabilities. Trading swaps/FRAs/futures/options/forward contracts are revalued at the Balance Sheet
date with the resulting unrealised gain or loss being recognised in the Profit and Loss Account and correspondingly
in other assets or other liabilities respectively. Hedged swaps are accounted for as per the RBI guidelines. In
accordance with RBI guidelines, any receivables (crystallised receivables and positive MTM) under derivatives
contracts, which remain overdue for more than 90 days, are reversed through the Profit and Loss Account and are
held in a separate Suspense account.
Collateral requirements for derivative transactions are laid down as part of credit sanction terms on a case by case
basis. Such collateral requirements are determined, based on usual credit appraisal process. The Bank retains the
right to terminate transactions as a risk mitigation measure in certain cases.
The credit risk in respect of customer derivative transactions is sought to be mitigated through a laid down policy
on sanction of Loan Equivalent Risk (LER) limits, monitoring mechanism for LER limits and trigger events for
escalation/margin calls/termination.
Quantitative disclosure on risk exposure in derivatives1:
(` in crores)
Sr.
Particulars Currency Derivatives Interest rate
No.
Forward Contracts4 CCS Options Derivatives
1 Derivatives (Notional Principal Amount)

a) For hedging 16,271.31 - - 3,789.63
b) For trading 501,532.06 63,500.73 47,958.55 475,122.19
2 Marked to Market Positions2,3
a) Asset (+) - 391.96 98.75 110.72
b) Liability (-) (597.89) - - -
3 Credit Exposure 3
14,755.27 7,945.55 1,023.87 8,489.27
4 Likely impact of one percentage change in interest
rate (100*PV01) (as at 31 March, 2022)
a) on hedging derivatives 1.30 - - 0.10
b) on trading derivatives 15.77 172.26 21.33 394.38
5 Maximum and Minimum of 100*PV01 observed
during the year
a) on hedging
i) Minimum 1.21 - - 0.10
ii) Maximum 2.09 - - 1.12
b) on Trading
i) Minimum 3.98 106.52 10.27 385.31
ii) Maximum 16.22 204.39 21.33 450.95
1. only Over The Counter derivatives included
2. only on trading derivatives and represents net position
3. includes accrued interest
4. excluding Tom/Spot contracts

(` in crores)
Sr.
Particulars Currency Derivatives Interest rate
No.
Forward Contracts4 CCS Options Derivatives
1 Derivatives (Notional Principal Amount)

a) For hedging 48,038.85 - - 7,311.00
b) For trading 462,079.03 48,041.35 36,504.32 279,515.48
2 Marked to Market Positions2,3
a) Asset (+) 52.94 1,112.02 49.51 -
b) Liability (-) - - - (582.22)
3 Credit Exposure3 16,831.99 7,274.49 1,037.29 6,275.57
4 Likely impact of one percentage change in interest
rate (100*PV01) (as at 31 March, 2021)
a) on hedging derivatives 2.48 - - 0.52
b) on trading derivatives 6.63 3.29 27.34 36.49
5 Maximum and Minimum of 100*PV01 observed
during the year
a) on hedging
i) Minimum 2.04 - - 0.52
ii) Maximum 10.43 - - 1.41
b) on Trading
i) Minimum 0.37 2.16 11.61 36.49
ii) Maximum 6.63 6.05 62.84 54.54
1. only Over The Counter derivatives included
2. only on trading derivatives and represents net position
3. includes accrued interest
4. excluding Tom/Spot contracts
The outstanding notional principal amount of Exchange Traded Interest Rate Futures as at 31 March, 2022 was `196.30
crores (previous year `549.79 crores) and the mark-to-market value was `7.53 crores (previous year `5.79 crores).
The outstanding notional principal amount of Exchange Traded Currency Options as at 31 March, 2022 was Nil (previous
year Nil) and the mark-to-market value was Nil (previous year Nil).
d) The Bank has not undertaken any transactions in Credit Default Swaps (CDS) during the year ended 31 March,
2022 and 31 March, 2021
4.8 Disclosures relating to securitisation
Details of securitisation transactions undertaken by the Bank are as follows:
(` in crores)
Sr. No. Particulars 31 March, 2022 31 March, 2021
1 No. of SPEs holding assets for securitisation transactions originated by the Bank - -
2 Total amount of securitised assets as per books of the SPEs - -
3 Total amount of exposures retained by the Bank to comply with MRR as on the date
of balance sheet
a) Off-balance sheet exposures
First loss - -
Others - -
b) On-balance sheet exposures
First loss - -
Others - -
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(` in crores)
Sr. No. Particulars 31 March, 2022 31 March, 2021
4 Amount of exposures to securitisation transactions other than MRR

a) Off-balance sheet exposures
i) Exposure to own securitisations
First loss - -
Others - -
ii) Exposure to third party securitisations
First loss - -
Others - -
b) On-balance sheet exposures
i) Exposure to own securitisations
First loss - -
Loss - -
ii) Exposure to third party securitisations
First loss - -
Others - -
5 Sale consideration received for the securitised assets and gain/loss on sale on account - -
of securitisation
6 Form and quantum (outstanding value) of services provided by way of, liquidity - -
support, post-securitisation assets servicing, etc.
7 Performance of facility provided
a) Amount paid - -
b) Repayment received - -
c) Outstanding amount - -
8 Average default rate of portfolios observed in the past - -
9 Amount and number of additional/ top up loan given on same underlying asset - -
10 Investor Complaints
a) Directly/indirectly received - -
b) Complaints outstanding - -
4.9 The Bank has not sponsored any special purpose vehicle which is required to be consolidated in the consolidated
financial statements as per accounting norms.
4.10 Disclosure on transfers to Depositor Education and Awareness Fund (DEA Fund)
(`in crores)
Opening balance of amounts transferred to DEA Fund 335.38 232.51

Add : Amounts transferred to DEA Fund during the year 145.48 106.71
Less : Amounts reimbursed by DEA Fund towards claims1,2 (32.22) (3.84)
Closing balance of amounts transferred to DEA Fund 448.64 335.38
1. includes `0.66 crores (previous year `0.47 crores) of claim raised and pending settlement with RBI
2. excludes interest post transfer to DEA Fund

4.11 Disclosure of customer complaints

a) Summary of information on complaints received by the Bank from customers and from Offices of Ombudsman (OBO)
31 March, 2022 31 March, 2021
Complaints received by the Bank from its customers
1. Number of complaints pending at the beginning of the year 17,525 965
2. Number of complaints received during the year 935,005 360,342
3. Number of complaints disposed during the year 907,526 343,782
of 3, number of complaints rejected by the Bank 113,703 53,790
4. Number of complaints pending at the end of the year 45,004 17,525
Maintainable complaints received by the Bank from OBOs
5. Number of maintainable complaints received by the Bank from OBOs 13,536 14,027
of 5, Number of complaints resolved in favour of the Bank by OBO’s 12,672 13,410
of 5, Number of complaints resolved through conciliation/ mediation/ advisories issued by 864 616
OBO’s
of 5, Number of complaints resolved after passing of Awards by OBO’s against the Bank - 1
6. Number of Awards unimplemented within the stipulated time (other than those appealed) - -
In line with the Bank’s philosophy of being a highly customer centric organization, as also to bring greater focus in the
areas where customers may be inconvenienced, larger number of “issue types” are now being tagged as “Complaints”.
The number of Customer Complaints reported in FY 2022 vis-a-vis FY 2021 are not comparable since the Bank has taken
the approach of tightening the tagging norms from FY 2021.
b) Top five grounds of complaints received by the Bank from customers
% increase/
Number of
Number of decrease in Number of Of 5, number
complaints
Grounds of complaints, (i.e. complaints complaints the number complaints of complaints
pending at the
relating to) received during of complaints pending at the pending beyond
beginning of the
the year received over the end of the year 30 days
year
previous year
1 2 3 4 5 6
Credit cards 6,665 287,605 287% 21,484 5,522
ATM/Debit cards 1,340 181,146 57% 6,525 814
Loans and advances 4,311 180,390 162% 6,920 693
Account opening/difficulty in operation 2,584 100,844 120% 3,970 760
of accounts
Internet/Mobile/Electronic Banking 756 96,970 237% 2,504 144
Others 1,869 88,050 224% 3,601 351
Total 17,525 935,005 159% 45,004 8,284
% increase/
Number of
Number of decrease in Number of Of 5, number
complaints
Grounds of complaints, (i.e. complaints complaints the number complaints of complaints
pending at the
relating to) received during of complaints pending at the pending beyond
beginning of the
the year received over the end of the year 30 days
year
previous year
1 2 3 4 5 6
ATM/Debit cards 30 115,528 (17%) 1,340 7
Credit cards 346 74,314 768% 6,665 1,759
Loans and advances 50 68,750 2,513% 4,311 173
Account opening/difficulty in operation 292 45,817 618% 2,584 630
of accounts
Internet/Mobile/Electronic Banking 43 28,774 (15%) 756 181
Others 204 27,159 170% 1,869 354
Total 965 360,342 80% 17,525 3,104
The above disclosure does not include complaints redressed within 1 working day and is as certified by the Management
and relied upon by the auditors.
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4.12 Details of penalty/stricture levied by RBI

Details of penalty/stricture levied by RBI during the year ended 31 March, 2022 is as under:
Amount
Reason for stricture issued/levy of penalty by RBI Date of payment of penalty
(` in crores)
5.00 Penalty for non-compliance with certain provisions of RBI directions on ‘Strengthening the 3 August, 2021
Controls of Payment Ecosystem between Sponsor Banks and SCBs/UCBs as a Corporate
Customer’, ‘Cyber Security Framework in Banks’, ‘RBI (Financial Services provided by Banks)
Directions, 2016’, ‘Financial Inclusion - Access to Banking Services – Basic Savings Bank
Deposit Account’ and ‘Frauds – Classification and Reporting’
0.25 Penalty for non-compliance with certain provisions of directions issued by RBI contained in the 3 September, 2021
Reserve Bank of India – (Know Your Customer (KYC)) Direction, 2016
Details of penalty/stricture levied by RBI during the year ended 31 March, 2021 is as under:
Amount
(` in crores) Reason for stricture issued/levy of penalty by RBI Date of payment of penalty
0.05 Penalty for bouncing of SGL due to shortage of balance of GOI security in SGL account at the 11 December, 2020
time of settlement at CCIL on 20 November, 2020
4.13 Disclosure on Remuneration

Qualitative disclosures
a) Information relating to the composition and mandate of the Nomination and Remuneration Committee:
 Name, composition and mandate of the main body overseeing remuneration:
The Nomination and Remuneration Committee of the Board oversees the framing, review and implementation of
the compensation policy of the Bank on behalf of the Board. The Committee works in close co-ordination with the
Risk Management Committee of the Bank, in order to achieve effective alignment between remuneration and risks.
As at 31 March, 2022, the Nomination and Remuneration Committee comprises of the following Non-
Executive Directors:
1. Smt Meena Ganesh - Chairperson
2. Shri Rakesh Makhija
3. Shri Girish Paranjpe
In respect of Remuneration/HR matters, the Nomination and Remuneration Committee of the Board, functions
with the following main objectives:
a. Review and recommend to the Board for approval, the overall remuneration framework and associated
policies of the Bank (including remuneration policy for Directors and Key Managerial Personnel) including
the level and structure of fixed pay, variable pay, perquisites, bonus pool, stock-based compensation and any
other form of compensation as may be included from time to time to all the employees of the Bank including
the Managing Director & CEO (MD & CEO), other Whole-Time Directors (WTD) and senior managers one
level below the Board.
b. Recommend to the Board the compensation payable to the Chairman of the Bank.
c. Review and recommend to the Board for approval, the talent management and succession policy and process
in the Bank for ensuring business continuity, especially at the level of MD & CEO, the other WTDs, senior
managers’ one level below the Board and other key roles and their progression to the Board.
d. Formulate the criteria and the manner for effective evaluation of performance of the Board as a whole, its
Committees and individual directors, including independent directors of the Bank, which may be carried out
either by the Committee or by the Board or with the help of an independent external agency and to review
its implementation, compliance and outcomes.
e. Review adequacy and appropriateness of HR strategy of the Bank in the broader areas of code of conduct,
ethics, conflict of interest, succession planning, talent management, performance management, remuneration
and HR risk management.
f. Review and recommend to the Board for approval:
 the creation of new positions one level below MD & CEO
 appointments, promotions and exits of senior managers one level below the MD & CEO

g. Set the goals, objectives and performance benchmarks for the Bank and for MD & CEO, WTDs and Group
Executives for the financial year and over the medium to long term.
h. Review the performance of the MD & CEO and other WTDs at the end of each year.
i. Consider and approve the grant of Stock Options to the Managing Director & CEO, other Whole-Time
Directors, Senior Management and other eligible employees of the Bank / subsidiary, in terms of the relevant
provisions of the SEBI Regulations, as amended, from time to time.
j. Perform such other duties as may be required to be done under any law, statute, rules, regulations etc.
enacted by Government of India, Reserve Bank of India or by any other regulatory or statutory body.
 External consultants whose advice has been sought, the body by which they were commissioned, and in what
areas of the remuneration process:
The Nomination and Remuneration Committee has commissioned Aon Consulting Pvt. Limited, a globally
renowned compensation benchmarking firm, to conduct market benchmarking of employee compensation. The
Bank participates in the salary benchmarking survey conducted by Aon every year. Aon collects data from multiple
private sector peer banks across functions, levels and roles which is then used by the Bank to assess market
competitiveness of remuneration offered to Bank employees.
 A description of the scope of the Bank’s remuneration policy, including the extent to which it is applicable to
branches in India and overseas:
The Committee monitors the remuneration policy for both domestic and overseas branches of the Bank on behalf
of the Board. However, it does not oversee the compensation policy for subsidiaries of the Bank.
 A description of the type of employees covered and number of such employees:
Employees are categorised into following three categories from remuneration structure and administration stand
point:
Category 1
MD & CEO and WTDs. This category includes 3* employees.
Category 2
All the employees in the Grade of Vice President and above engaged in the functions of Risk Control, Internal Audit
and Compliance. This category includes 77* employees.
Category 3: Other Staff
‘Other Staff’ has been defined as a “group of employees whose actions have a material impact on the risk exposure
of the Bank”. This category includes 23* employees.
*represents employees in these categories during the year FY 2021-22 including employees exited from the Bank
during FY 2021-22.
b) Information relating to the design and structure of remuneration processes and the key features and
objectives of remuneration policy:
 An overview of the key features and objectives of remuneration policy:
The compensation philosophy of the Bank aims to attract, retain and motivate professionals in order to enable the
Bank to attain its strategic objectives and develop a strong performance culture in the competitive environment in
which it operates. To achieve this, the following principles are adopted:
Affordability: Pay to reflect productivity improvements to retain cost-income competitiveness
- Maintain competitiveness on fixed pay in talent market
- Pay for performance to drive meritocracy through variable pay
- Employee Stock Options for long-term value creation
- Benefits and perquisites to remain aligned with market practices and provide flexibility
Apart from the above, the compensation structure for MD & CEO and WTDs is aligned to RBI’s guidelines for
sound compensation practices issued in November 2019 and addresses the general principles of:
- Effective and independent governance and monitoring of compensation
- Alignment of compensation with prudent risk-taking through well designed and consistent
compensation structures
- Clear and timely disclosure to facilitate supervisory oversight by all stakeholders
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Accordingly, the compensation policy for MD & CEO and WTDs seeks to:
a) Ensure that the compensation, in terms of structure and total amount, is in line with the best practices,
as well as competitive vis-à-vis that of peer banks
b) Establish the linkage of compensation with individual performance as well as achievement of the
corporate objectives of the Bank
c) Include an appropriate variable pay component tied to the achievement of pre-established objectives
in line with Bank’s scorecard while ensuring that the compensation is aligned with prudent risk taking
d) Encourage attainment of long term shareholder returns through inclusion of equity linked long-term
incentives as part of compensation
Compensation is structured in terms of fixed pay, variable pay and employee stock options (for selective
employees), with a strong linkage of variable pay to performance. The compensation policy of the Bank is
approved by the Nomination and Remuneration Committee. Additional approval from Shareholders and RBI
is obtained specifically for compensation of MD & CEO and WTDs.
 Whether the remuneration committee reviewed the firm’s remuneration policy during the past year, and if so, an
overview of any changes that were made:
Reserve Bank of India has released revised guidelines on Compensation of Whole Time Directors/ Chief Executive
Officers/ Material Risk Takers and Control Function staff on 4 November, 2019.
Bank’s remuneration policy was reviewed by the Nomination and Remuneration Committee of the Bank in FY2021
in order to align with the revised RBI guidelines. These policy guidelines are applicable for pay cycles beginning
from 1 April, 2020. Summary of changes made are listed below:
• At least 50% of total compensation i.e. Fixed Pay plus Total Variable Pay shall be variable.
• Value of stock options will be included in definition of ‘Total Variable Pay’.
• Total Variable Pay for the MD & CEO/ Whole-time Directors/ Material Risk Takers of the Bank would be
capped at 300% of Fixed Pay.
• If the Total Variable Pay is up to 200% of the Fixed Pay, a minimum of 50% of the Variable pay; and in case
Variable Pay is above 200%, a minimum of 67% of the Variable Pay shall be paid via employee stock options.
• Minimum 60% of the Total Variable Pay shall be deferred over 3 years. If cash component is part of Total
Variable Pay, at least 50% of the cash component of variable pay should also be deferred over 3 years. In
cases where the cash component of Total variable pay is under `25 lakh, variable pay shall not be deferred.
• All the fixed items of compensation, including retiral benefits and perquisites, will be treated as
part of Fixed Pay.
• Qualitative and quantitative criteria defined for identification of Material Risk Takers (MRTs).
• Specific guidelines on application of malus and clawback clauses.
Overview of changes made in Bank’s remuneration policy in FY2022:
Guidelines on application of malus and clawback clauses have been further detailed with the addition of
following points:
• Representative scenarios added under which malus and clawback clauses can be invoked
• Process to review and invoke application of malus and clawback clauses further detailed
 A discussion of how the Bank ensures that risk, internal audit and compliance employees are remunerated
independently of the businesses they oversee:
The Bank ensures that risk, internal audit and compliance employees are remunerated independently of the
businesses they oversee and is guided by the individual employee performance. The remuneration is determined
on the basis of relevant risk measures included in the Balanced Scorecard / key deliverables of staff in these
functions. The parameters reviewed for performance based rewards are independent of performance of the
business area they oversee and commensurate with their individual role in the Bank. Additionally, the ratio of fixed
and variable compensation is weighed towards fixed compensation in case of employees in risk, internal audit, and
compliance functions.

c) Description of the ways in which current and future risks are taken into account in the remuneration
processes:
 An overview of the key risks that the Bank takes into account when implementing remuneration measures:
The business activity of the Bank is undertaken within the limits of risk measures to achieve the financial plan. The
Financial Perspective in the Bank’s Balanced Score Card (BSC) contains metrics pertaining to growth, profitability
and asset quality. These metrics along with other metrics in customer, internal process and compliance and people
perspective are taken into account while arriving at the remuneration decisions. The metrics on internal process
and compliance ensure due weightage to non – financial risk that bank may be exposed to.
 An overview of the nature and type of key measures used to take account of these risks, including risk
difficult to measure:
The Bank has a robust system of measuring and reviewing these risks. The risk parameters are a part of the
Balanced Score Card used for setting of performance objectives and for measuring performance which includes,
besides financial performance, adherence to internal processes, compliance and people perspectives. Weightage
is placed on not only financial or quantitative achievement of objectives but also on qualitative aspects detailing
how the objectives were achieved.
 A discussion of the ways in which these measures affect remuneration:
The relevant risk measures are included in the scorecards of MD & CEO and WTDs. Inclusion of the above mentioned
measures ensures that performance parameters are aligned to risk measures at the time of performance evaluation.
The Nomination and Remuneration Committee takes into consideration all the above aspects while assessing
organisational and individual performance and making compensation related recommendations to the Board.
 A discussion of how the nature and type of these measures have changed over the past year and reasons for the
changes, as well as the impact of changes on remuneration:
The Bank continued to track key metrics across financial, customer, internal process and compliance and people
perspective as part of FY22 BSC. For FY2021-22, metrics linked to Bank’s strategy, with focus on health metrics,
sustainability, specifically on capital position and building distinctiveness were incorporated. Further, critical
deliverables were included to drive progress as per the Bank’s Growth, Profitability Score strategy.
d) Description of the ways in which the Bank seeks to link performance during a performance measurement period
with levels of remuneration:
The Bank’s performance management and compensation philosophies are structured to support the achievement
of the Bank’s on-going business objectives by rewarding achievement of objectives linked directly to its strategic
business priorities. These strategic priorities are cascaded through annualised objectives to the employees.
The Bank follows the Balanced Scorecard approach in designing its performance management system. Adequate
attention is given to the robust goal setting process to ensure alignment of individual objectives to support the
achievement of business strategy, financial and non-financial goals across and through the organisation. The non-
financial goals for employees include customer service, process improvement, adherence to risk and compliance
norms, operations and process control, learning and knowledge development.
 An overview of main performance metrics for Bank, top level business lines and individuals:
The Bank follows a Balanced Scorecard approach for measuring performance for the Bank, top business lines
and individuals. The approach broadly comprises financial, customer, internal processes, compliance, and people
perspectives and includes parameters on revenue and profitability, business growth, customer initiatives,
operational efficiencies, regulatory compliance, risk management and people management.
 A discussion of how amounts of individual remuneration are linked to the Bank-wide and individual performance:
The Bank’s remuneration practices are underpinned by principles of meritocracy and fairness. The remuneration
system strives to maintain the ability to attract, retain, reward and motivate the talent in order to enable the Bank
to attain its strategic objectives within the increasingly competitive context in which it operates. The Bank’s pay-
for-performance approach strives to ensure both internal and external equity in line with emerging market trends.
However, the business model and affordability form the overarching boundary conditions.
The Bank follows a Balanced Scorecard approach for measuring performance at senior levels. The Balanced scorecard
parameters for individuals are cascaded from the Bank’s Balanced Scorecard. The Management Committee or
the Nomination and Remuneration Committee reviews the achievements against the set of parameters which
determines the performance of the individuals.
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For all other employees, performance appraisals are conducted annually and initiated by the employee with self-
appraisal. The immediate supervisor reviews the appraisal ratings in a joint consultation meeting with the employee
and assigns the performance rating. The final ratings are discussed by a Moderation Committee comprising of
senior officials of the Bank. Both relative and absolute individual performances are considered for the moderation
process. Individual fixed pay increases, variable pay and ESOPs are linked to the final performance ratings.
 A discussion of the measures the Bank will in general implement to adjust remuneration in the event that
performance metrics are weak:
In cases where the performance metrics are weak or not well defined to measure the performance effectively,
the Bank uses discretion to reward such employees. The remuneration is then influenced by the operational
performance parameters of the Bank along with individual performance achievement.
Whilst determining fixed and variable remuneration, relevant risk measures are included in scorecards of senior
employees. The Financial Perspective in the Bank’s BSC contains metrics pertaining to growth, profitability and
asset quality. These metrics along with other metrics in customer, internal process and compliance and people
perspective are taken into account while arriving at the remuneration decisions. The metrics on internal process
and compliance ensure due weightage to non – financial risk that bank may be exposed to.
As a prudent measure, for Material Risk Takers, a portion of variable pay if it exceeds a certain threshold is deferred
and is paid proportionately over a period of 3 years. The deferred variable pay amount of reference year would be
held back in case of any misrepresentation or gross inaccuracy resulting in a wrong risk assessment.
e) Description of the ways in which the Bank seeks to adjust remuneration to take account of the longer term
performance:
i) Bank’s deferral and vesting of variable remuneration and, if the fraction of variable remuneration that is
deferred differs across employees or groups of employees, a description of the factors that determine the
fraction and their relative importance:
For MD&CEO, Whole Time Directors and other Material Risk Takers of the Bank, minimum 60% of the
Total Variable Pay (including Cash Variable Pay and Stock Options) is deferred over 3 years. In case the
cash component is part of Total Variable Pay and exceeds `25 lakhs, at least 50% of the cash component of
variable pay is also deferred over 3 years.
The total variable pay for MD&CEO, Whole Time Directors and other Material Risk Takers of the Bank is
subject to malus and clawback clauses, as defined in the Remuneration Policy of the Bank.
ii) Bank’s policy and criteria for adjusting deferred remuneration before vesting and after vesting through claw
back arrangements:
The Total Variable Pay for MD&CEO, Whole Time Directors and other Material Risk Takers of the Bank is
subject to malus and clawback clauses, which are defined in the Remuneration Policy of the Bank. Detailed
scenarios under which said clauses can be applied, such as event of an enquiry determining gross negligence
or breach of integrity, or significant deterioration in financial performance are defined in the Remuneration
Policy of the Bank.
f) Description of the different forms of variable remuneration that the Bank utilizes and the rationale for using
these different forms:
 An overview of the forms of variable remuneration offered:
• Variable Pay: Variable Pay is linked to corporate performance, business performance and individual
performance and ensures differential pay based on the performance levels of employees
• Employee Stock Options (ESOPs): ESOPs are given to selective set of employees at senior levels based on
their level of performance and role. ESOP scheme has an inbuilt deferred vesting design which helps in
directing long term performance orientation among employees
 A discussion of the use of different forms of variable remuneration and, if the mix of different forms of variable
remuneration differs across employees or group of employees, a description of the factors that determine the mix
and their relative importance:
Variable pay in the form of performance based bonus is paid out annually and is linked to performance achievement
against balanced performance measures and aligned with the principles of meritocracy. The proportion of
variable pay in total pay shall be higher at senior management levels. The payment of all forms of variable pay is
governed by the affordability of the Bank and based on profitability and cost income ratios. At senior management
levels (and for certain employees with potential to cause material impact on risk exposure), a portion of variable
compensation may be paid out in a deferred manner in order to drive prudent behaviour as well as long term
& sustainable performance orientation. Long term variable pay is administered in the form of ESOPs with an

objective of enabling employee participation in the business as an active stakeholder and to usher in an ‘owner-
manager’ culture. The quantum of grant of stock options is determined and approved by the Nomination and
Remuneration Committee, in terms of the said Regulations and in line with best practices, subject to the approval
of RBI. The current ESOP design has an inbuilt deferral intended to spread and manage risk.
Quantitative disclosures
a) The quantitative disclosures pertaining to the MD & CEO, Whole Time Directors and Material Risk Takers for
the year ended 31 March, 2022 are given below:
Particulars 31 March, 2022
a. i) Number of meetings held by the Remuneration Committee (main body 10
overseeing remuneration) during the financial year
ii) Remuneration paid to its members (sitting fees) `3,000,000
b. Number of employees having received a variable remuneration award during the 252
financial year1
c. Number and total amount of sign-on/joining bonus made during the financial
year
- Share-linked instruments (number of stock options granted) 285,000
- Fair value of share linked instruments `6.64 crores3
d. Details of severance pay, in addition to accrued benefits, if any N.A.
e. Total amount of outstanding deferred remuneration, split into:
- Cash `7.78 crores
- Shares -
- Share-linked instruments (number of unvested stock options outstanding 3,212,516 options with a fair value of
as on 31 March, 2022 and fair value of the same) `60.02 crores 3
f. Total amount of deferred remuneration paid out in the financial year:
- Cash -
- Share-linked instruments (number of stock options vested during the year 1,791,800 options with a fair value of
and fair value of the same) `29.97crores 3
g. Breakdown of amount of remuneration awards for the financial year to show
fixed and variable, deferred and non-deferred, different forms used:
- Fixed `52.37 crores 4
- Variable `83.38 crores 2
- Deferred `74.05 crores
- of which, cash `8.38 crores
- of which, share-linked instruments `65.67 crores fair value of 3,142,025
options granted during the year 3
- Non-deferred `9.33 crores 2
h. Total amount of outstanding deferred remuneration and retained remuneration N.A.
exposed to ex post explicit and/or implicit adjustments
i. Total amount of reductions during the financial year due to ex- post explicit N.A.
adjustments
j. Total amount of reductions during the financial year due to ex- post implicit N.A.
adjustments
k. Number of MRT’s identified 26
l. Number of cases where
- malus has been exercised Nil
- clawback has been exercised Nil
- both malus and clawback have been exercised Nil
m. The mean pay for the bank as a whole (excluding sub-staff) and the deviation of
the pay of each of its WTDs from the mean -
Mean pay of the Bank5 - `1,041,154
Deviation of the pay of WTDs from the mean pay for the Bank –
- MD & CEO `69,195,260
- WTD 1 `37,469,260
- WTD 2 `25,117,567
1. Includes MD & CEO/WTDs/and other MRTs based on the revised criteria given by RBI in its guideline dated 4 November, 2019
2. Pertains to FY 2020-21 paid to MD & CEO, WTDs and other material risk takers
3. Fair value is the weighted average fair value of stock options computed using Black-Scholes options pricing model as on the
grant date
4. Fixed pay includes basic salary, supplementary allowances, superannuation, contribution to provident fund, gratuity fund and
value of perquisites. The value of perquisites is calculated as cost to the Bank
5. Mean pay is computed on annualised fixed pay of all confirmed employees (excluding frontline sales force) as on 31 March,
2022. Fixed pay includes basic salary, supplementary allowances, superannuation, contribution to provident fund, gratuity
fund and value of perquisites. The value of perquisite is calculated as cost to the Bank
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The quantitative disclosures pertaining to the MD & CEO, Whole Time Directors and Other Risk Takers for the
year ended 31 March, 2021 are given below:
Particulars 31 March, 2021

a. i) Number of meetings held by the Remuneration Committee (main body 8
overseeing remuneration) during the financial year
ii) Remuneration paid to its members (sitting fees) `2,700,000
b. Number of employees having received a variable remuneration award during 182
the financial year1
c. Number and total amount of sign-on/joining bonus made during the financial
year
- Share-linked instruments (number of stock options granted) 115,000
- Fair value of share linked instruments `1.49 crores3
d. Details of severance pay, in addition to accrued benefits, if any N.A.
e. Total amount of outstanding deferred remuneration, split into:
- Cash -
- Shares -
- Share-linked instruments (number of unvested stock options 2,880,800 options with a fair value of
outstanding as on 31 March, 2021 and fair value of the same) `45.61 crores3
f. Total amount of deferred remuneration paid out in the financial year:
- Cash Nil
- Share-linked instruments (number of stock options vested during the 1,938,200 options with a fair value of
year and fair value of the same) `31.50 crores3
g. Breakdown of amount of remuneration awards for the financial year to show
fixed and variable, deferred and non-deferred, different forms used:
- Fixed `46.00 crores4
- Variable `43.69 crores2
- Deferred `39.86 crores fair value of 2,776,000
options granted during the year3
- Non-deferred `3.83 crores2
h. Total amount of outstanding deferred remuneration and retained remuneration N.A.
exposed to ex post explicit and/or implicit adjustments
i. Total amount of reductions during the financial year due to ex- post explicit N.A.
adjustments
j. Total amount of reductions during the financial year due to ex- post implicit N.A.
adjustments
k. Number of MRT’s identified 29
l. Number of cases where
- malus has been exercised Nil
- clawback has been exercised Nil
- both malus and clawback have been exercised Nil
m. The mean pay for the bank as a whole (excluding sub-staff) and the deviation
of the pay of each of its WTDs from the mean -
Mean pay of the Bank5 - `968,407
Deviation of the pay of WTDs from the mean pay for the Bank –
- MD & CEO `67,274,361
- WTD 1 `34,781,287
- WTD 2 `30,994,580
1. Includes MD & CEO/WTDs/and other MRTs based on the revised criteria given by RBI in its guideline dated 4 November,
2019. Variable remuneration includes cash bonus and stock options based on the revised criteria given by RBI in its guideline
dated 4 November, 2019 that are granted during the year
2. Pertains to FY 2019-20 paid to MD & CEO, WTDs and other material risk takers
3. Fair value is the weighted average fair value of stock options computed using Black-Scholes options pricing model as on the
grant date
4. Fixed pay includes basic salary, supplementary allowances, superannuation, contribution to provident fund, gratuity fund
and value of perquisites. The value of perquisites is calculated as cost to the Bank
5. Mean pay is computed on annualised fixed pay of all confirmed employees (excluding frontline sales force) as on 31 March,
2021. Fixed pay includes basic salary, supplementary allowances, superannuation, contribution to provident fund, gratuity
fund and value of perquisites. The value of perquisite is calculated as cost to the Bank

Disclosure for compensation of Non-executive Directors (Except Part-time Chairman):
(` in crores)
31 March, 2022 31 March, 2021
a. Amount of fixed remuneration paid during the year 1.48 Nil

b. Profit linked commission pertaining to FY21 paid during the year 0.76 Nil
4.14 Other Disclosures

a) Business ratios
31 March, 2022 31 March, 2021
As at
% %
Interest income as a percentage to working funds1 6.26 6.78

Non-interest income as a percentage to working funds 1
1.41 1.58
Cost of Deposits 3.68 4.27
Net Interest Margin 2
3.47 3.53
Operating profit3 as a percentage to working funds1 2.30 2.74
Return on assets (based on working funds ) 1
1.21 0.70
Business (deposits less inter-bank deposits plus advances) per employee 4
`17.92 crores `17.13 crores
Profit per employee4 `0.16 crores `0.09 crores
1. Working funds represent average of total assets as reported to RBI in Form X under Section 27 of the Banking Regulation Act, 1949 during
the year
2. Net Interest Income/Average Earning Assets. Net Interest Income = Interest Income – Interest Expense
3. Operating profit represents total income as reduced by interest expended and operating expenses
4. Productivity ratios are based on average employee numbers for the year
b) Bancassurance business
(` in crores)
Sr. No. Nature of Income 31 March, 2022 31 March, 2021
1. For selling life insurance policies 1,187.34 963.52

2. For selling non-life insurance policies 133.21 123.32
Total 1,320.55 1,086.84
c) Marketing and Distribution business

(` in crores)
Sr. No. Nature of Income 31 March, 2022 31 March, 2021
1. Mutual fund distribution 462.32 330.84

2. Wealth advisory 71.04 29.95
3. Government bonds distribution 5.40 2.67
4. Fees for display of publicity material 8.86 -
5. Others 14.18 10.60
Total 561.80 374.06
d) Disclosure regarding Priority Sector Lending Certificates (PSLCs) purchased/sold by the Bank:
Detail of Priority Sector Lending Certificates (PSLC) purchased by the Bank
(` in crores)
PSLC – Small/Marginal Farmers 39,200.00 49,750.50

PSLC – Micro Enterprises 14,350.00 9,970.00
Total 53,550.00 59,720.50
231
Standalone
Details of PSLCs sold by the Bank
(` in crores)
PSLC – General 54,400.00 49,975.50

Total 54,400.00 49,975.50
During the year ended 31 March, 2022, the Bank incurred a cost of `1,246.63 crores (previous year `1,013.69 crores)
towards purchase of PSLCs which forms part of ‘Other Expenditure’ under Schedule 16 of the Profit and Loss Account.
Further, during the year ended 31 March, 2022, the Bank also earned fees of `349.52 crores (previous year `218.19
crores) on sale of PSLCs which forms part of ‘Miscellaneous Income’ under Schedule 14 of the Profit and Loss Account.
e) ‘Provisions and contingencies’ recognised in the Profit and Loss Account comprise of:
(` in crores)
For the year ended 31 March, 2022 31 March, 2021
Provision for income tax

- Current tax 4,199.15 2,489.14
- Deferred tax [Refer note 18 (5.8)] 157.93 (271.79)
4,357.08 2,217.35
Provision for non-performing assets (including bad debts written off net of write backs and 5,181.84 10,959.25
recoveries in written off accounts) 1
Provision for restructured assets/strategic debt restructuring/sustainable structuring 0.95 (13.68)
Provision for Covid-19 restructuring & MSME restructuring 912.33 499.00
Provision towards standard assets 188.21 2,458.08
Provision for unhedged foreign currency exposures (61.82) 215.58
Provision for country risk 18.97 (12.17)
Additional provision for delay in implementation of resolution plan 409.62 -
Provision for probable legal cases 215.31 12.87
Provision for other contingencies 494.04 202.79
Total 11,716.53 16,539.07
1. includes provision for non-performing advances of `7,164.21 crores (previous year `11,266.18 crores) and non-performing investments of
`384.46 crores (previous year `938.59 crores), net of recoveries from written off accounts of `2,366.83 crores (previous year `1,245.52
crores)
f) Status of implementation of IFRS converged Indian Accounting Standards (Ind AS):

The RBI had issued a circular in February 2016 requiring banks to implement Indian Accounting Standards (Ind AS)
and prepare standalone and consolidated Ind AS financial statements with effect from 1 April, 2018. Banks were also
required to report the comparative financial statements for the financial year 2017-18, to be published along with the
financial statement for the year beginning 1 April, 2018. However, the RBI in its press release issued on 5 April, 2018
deferred the applicability of Ind AS by one year (i.e. 1 April, 2019) for Scheduled Commercial Banks. Further, RBI in a
circular issued on 22 March, 2019 has deferred the implementation of Ind AS till further notice.
During the financial year 2016-17, the Bank had undertaken a preliminary diagnostic analysis of the GAAP differences
between Indian GAAP vis-a-vis Ind AS. The Bank has also identified and evaluated data gaps, processes and system
changes required to implement Ind AS. The Bank is in the process of implementing necessary changes in its IT systems
wherever required and other processes in a phased manner. The Bank is also submitting Proforma Ind AS financial
statements to RBI on a half-yearly basis.
In line with the RBI guidelines on Ind AS implementation, the Bank has formed a Steering Committee comprising members
from the concerned functional areas, headed by the Deputy Managing Director. A progress report on the status of Ind
AS implementation in the Bank is presented to the Audit Committee and Board of Directors on a quarterly basis.

g) Payment of DICGC Insurance Premium

(` in crores)
31 March, 2022 31 March, 2021
Payment of DICGC Insurance Premium1 852.52 734.26
Arrears in payment of DICGC premium - -
Total 852.52 734.26
1. Amount reported is excluding GST
h) Disclosure on provisioning pertaining to Land held under ‘Non-Banking assets acquired in satisfaction of claims’
(` in crores)
Amount of Land held under ‘Non-Banking assets acquired in satisfaction of claims’ 2,068.24 2,068.24
Provisions made during the year by debiting profit and loss account - -
Provisions reversed during the year - -
Provisions held at the end of the year 2,068.24 2,068.24
Unamortised provision debited from ‘Balance in profit and loss account’ under ‘Reserves and - -
Surplus’
5. Other Disclosures
5.1. Earnings Per Share (‘EPS’)
The details of EPS computation is set out below:
(` in crores)
31 March, 2022 31 March, 2021
Basic and Diluted earnings for the year (Net profit after tax) (` in crores) 13,025.48 6,588.50
Basic weighted average no. of shares (in crores) 306.65 297.47
Add: Equity shares for no consideration arising on grant of stock options under ESOP (in crores) 0.92 0.79
Diluted weighted average no. of shares (in crores) 307.57 298.26
Basic EPS (`) 42.48 22.15
Diluted EPS (`) 42.35 22.09
Nominal value of shares (`) 2.00 2.00
Dilution of equity is on account of 9,241,401 stock options (previous year 7,886,586)
5.2. Employee Stock Options Scheme (‘the Scheme’)
Pursuant to the approval of the shareholders in February 2001, the Bank approved an Employee Stock Option Scheme
under which eligible employees are granted an option to purchase shares subject to vesting conditions. Over the period
till March 2022, pursuant to the approval of the shareholders, the Bank approved ESOP schemes for options aggregating
315,087,000 that vest in a graded manner over 3 years. The options can be exercised within five years from the date
of the vesting as the case may be. Within the overall ceiling of 315,087,000 stock options approved for grant by the
shareholders as stated earlier, the Bank is authorised to issue options to eligible employees and Whole Time Directors
(including subsidiary companies).
280,996,853 options have been granted under the Schemes till the previous year ended 31 March, 2021. Pursuant to
the approval of the Nomination and Remuneration Committee on 22 March, 2021 the Bank granted 13,465,988 stock
options (each option representing entitlement to one equity share of the Bank) to eligible employees/directors of the
Bank/subsidiary companies at a grant price of `726.25 per option. Further, during FY 2021-22, the Bank granted stock
options (each option representing entitlement to one equity share of the Bank) to its eligible employees, the details of
which are as under:
Date of grant No. of options granted Grant price (` per option)
21 October, 2021 285,000 804.80

9 December, 2021 28,000 697.10
233
Standalone
Stock option activity under the Scheme for the year ended 31 March, 2022 is set out below:
Weighted average
Options Range of exercise Weighted average
remaining contractual
outstanding prices (`) exercise price (`)
life (Years)
Outstanding at the beginning of the year 38,109,654 306.54 to 757.10 544.21 4.22
Granted during the year 13,778,988 697.10 to 804.80 727.82 -
Forfeited during the year (1,671,547) 469.90 to 757.10 645.30 -
Expired during the year (58,300) 306.54 to 535.00 484.45 -
Exercised during the year (5,999,184) 306.54 to 757.10 461.82 -
Outstanding at the end of the year 44,159,611 306.54 to 804.80 608.94 4.29
Exercisable at the end of the year 30,422,322 306.54 to 757.10 589.02 3.36
The weighted average share price in respect of options exercised during the year was `740.25.
Stock option activity under the Scheme for the year ended 31 March, 2021 is set out below:
Weighted average
Options Range of exercise Weighted average
remaining contractual
outstanding prices (`) exercise price (`)
life (Years)
Outstanding at the beginning of the year 32,665,885 306.54 to 757.10 557.01 4.15
Granted during the year 11,883,003 433.10 to 507.20 488.28 -
Forfeited during the year (2,372,200) 306.54 to 757.10 624.49 -
Expired during the year (34,876) 306.54 306.54 -
Exercised during the year (4,032,158) 306.54 to 757.10 437.93 -
Outstanding at the end of the year 38,109,654 306.54 to 757.10 544.21 4.22
Exercisable at the end of the year 25,062,306 306.54 to 757.10 537.63 3.19
The weighted average share price in respect of options exercised during the year was `653.77.
Fair Value Methodology
In line with RBI clarification on Guidelines on Compensation of Whole Time Directors/Chief Executive Officers /Material
Risk Takers and Control Function Staff on 30 August, 2021, the Bank has changed its accounting policy from the intrinsic
value method to the fair value method for all share-linked instruments granted after 31 March, 2021 and consequently
recognized the fair value of options computed using the Black-Scholes model, without reducing estimated forfeitures,
as compensation expense over the vesting period. During the year, the Bank has recognised ESOP compensation cost of
`129.79 crores for options granted to employees of the Bank and recovered `18.81 crores from subsidiaries for options
granted to their employees and deputed staff.
The impact on reported net profit and EPS in respect of options granted prior to 31 March, 2021 considering the fair
value based method as prescribed in the Guidance Note on ‘Accounting for Employee Share-based Payments’ issued by
the Institute of Chartered Accountants of India is given below:
31 March, 2022 31 March, 2021
Net Profit (as reported) (` in crores) 13,025.48 6,588.50

Less: Stock based employee compensation expense determined under fair value based method (61.90) (145.53)
(proforma) (` in crores)
Net Profit (Proforma) (` in crores) 12,963.58 6,442.97
Earnings per share: Basic (in `)
As reported 42.48 22.15
Proforma 42.27 21.66
Earnings per share: Diluted (in `)
As reported 42.35 22.09
Proforma 42.17 21.61
No cost has been incurred by the Bank in respect of ESOPs granted prior to March 2021 to the employees of the Bank
and employees of subsidiaries which are valued under the intrinsic value method.

The fair value of the options is estimated on the date of the grant using the Black-Scholes options pricing model, with the
following assumptions:
31 March, 2022 31 March, 2021
Dividend yield 0.43%-0.64% 0.29%-0.64%

Expected life 2.28-4.28 years 2.28-4.28 years
Risk free interest rate 4.71% to 5.67% 4.28% to 6.20%
Volatility 30.91% to 33.93% 28.87% to 31.88%
Volatility is the measure of the amount by which a price has fluctuated or is expected to fluctuate during a period.
The measure of volatility used in the Black-Scholes options pricing model is the annualised standard deviation of the
continuously compounded rates of return on the stock over a period of time. For calculating volatility, the daily volatility
of the stock prices on the National Stock Exchange, over a period prior to the date of grant, corresponding with the
expected life of the options has been considered.
The weighted average fair value of options granted during the year ended 31 March, 2022 is `209.47 (previous year `143.45).
On 22 March, 2022, the Nomination and Remuneration Committee of the Board of Directors of the Bank has approved
the grant of upto 17,500,000 stock options to eligible employees. As on 31 March, 2022, there have been no allotments
of options under this grant. Accordingly, these options have not been considered in the above disclosure.
5.3. Proposed Dividend
The Board of Directors, in their meeting held on 28 April, 2022 have proposed a final dividend of `1 per equity share
amounting to `306.97 crores. The proposal is subject to the approval of shareholders at the Annual General Meeting.
In terms of revised Accounting Standard (AS) 4 ‘Contingencies and Events occurring after the Balance Sheet date’ as
notified by the Ministry of Corporate Affairs through amendments to Companies (Accounting Standards) Amendment
Rules, 2016, dated 30 March, 2016, such proposed dividend has not been recognised as a liability as on 31 March, 2022.
5.4. Segmental reporting
The business of the Bank is divided into four segments: Treasury, Retail Banking, Corporate/Wholesale Banking and
Other Banking Business. These segments have been identified based on the RBI’s revised guidelines on Segment
Reporting issued on 18 April, 2007 vide Circular No. DBOD.No.BP.BC.81/21.04.018/2006-07. The principal activities
of these segments are as under:
Segment Principal Activities
Treasury Treasury operations include investments in sovereign and corporate debt, equity and mutual funds,
trading operations, derivative trading and foreign exchange operations on the proprietary account
and for customers. The Treasury segment also includes the central funding unit.
Retail Banking Constitutes lending to individuals/small businesses through the branch network and other delivery
channels subject to the orientation, nature of product, granularity of the exposure and the quantum
thereof. Retail Banking activities also include liability products, card services, internet banking, mobile
banking, ATM services, depository, financial advisory services and NRI services.
Corporate/Wholesale Banking Includes corporate relationships not included under Retail Banking, corporate advisory services,
placements and syndication, project appraisals, capital market related services and cash management
services.
Other Banking Business Includes para banking activities like third party product distribution and other banking transactions
not covered under any of the above three segments.
Unallocated assets and liabilities - All items which are reckoned at an enterprise level are classified under this segment
such as deferred tax, money received against share warrants, tax paid in advance net of provision, provision for COVID-19
over and above regulatory requirement etc.
Revenues of the Treasury segment primarily consist of fees and gains or losses from trading operations and interest
income on the investment portfolio. The principal expenses of the segment consist of interest expense on funds borrowed
from external sources and other internal segments, premises expenses, personnel costs, other direct overheads and
allocated expenses.
Revenues of the Corporate/Wholesale Banking segment consist of interest and fees earned on loans given to customers
falling under this segment and fees arising from transaction services and merchant banking activities such as syndication
and debenture trusteeship. Revenues of the Retail Banking segment are derived from interest earned on loans classified
235
Standalone
under this segment, fees for banking and advisory services, ATM interchange fees and cards products. Expenses of the
Corporate/Wholesale Banking and Retail Banking segments primarily comprise interest expense on deposits and funds
borrowed from other internal segments, infrastructure and premises expenses for operating the branch network and
other delivery channels, personnel costs, other direct overheads and allocated expenses.
Segment income includes earnings from external customers and from funds transferred to the other segments. Segment
result includes revenue as reduced by interest expense and operating expenses and provisions, if any, for that segment.
Segment-wise income and expenses include certain allocations. Inter segment interest income and interest expense
represent the transfer price received from and paid to the Central Funding Unit (CFU) respectively. For this purpose,
the funds transfer pricing mechanism presently followed by the Bank, which is based on historical matched maturity
and internal benchmarks, has been used. Operating expenses other than those directly attributable to segments are
allocated to the segments based on an activity-based costing methodology. All activities in the Bank are segregated
segment-wise and allocated to the respective segment.
Effective 1 April, 2021, the Bank has made a change to its segmental reporting by realigning non-retail term deposits
from the Treasury segment to the Retail Banking segment. This segment reporting change reflects a corresponding
change in how the Bank manages this portfolio and reviews financial information in order to allocate resources and assess
performance. In conjunction with this change, certain prior period numbers have been recast to conform to the new
segment reporting structure. There is no impact of this change on the aggregate segmental profit before tax of the Bank.
Segmental results are set out below:
(` in crores)
31 March, 2022
Corporate/
Other Banking
Treasury Wholesale Retail Banking Total
Business
Banking
Segment Revenue
Gross interest income (external customers) 17,896.21 16,383.68 33,080.98 15.96 67,376.83
Other income 3,215.01 3,025.94 6,649.55 2,330.04 15,220.54
Total income as per Profit and Loss Account 21,111.22 19,409.62 39,730.53 2,346.00 82,597.37
Add/(less) inter segment interest income - 6,462.45 32,193.47 - 38,655.92
Total segment revenue 21,111.22 25,872.07 71,924.00 2,346.00 121,253.29
Less: Interest expense (external customers) 8,712.23 1,551.34 23,942.16 38.88 34,244.61
Less: Inter segment interest expense 6,810.95 11,809.23 20,034.88 0.86 38,655.92
Less: Operating expenses 225.91 4,361.69 18,555.37 467.78 23,610.75
Operating profit 5,362.13 8,149.81 9,391.59 1,838.48 24,742.01
Less: Provision for non-performing assets/others1 287.76 1,445.63 5,626.33 (0.27) 7,359.45
Less: Unallocated Provision for other contingencies - - - - -
Segment result 5,074.37 6,704.18 3,765.26 1,838.75 17,382.56
Less: Provision for tax 4,357.08
Extraordinary profit/loss -
Net Profit 13,025.48
Segment assets 441,862.43 303,872.86 420,511.83 447.81 1,166,694.93
Unallocated assets 8,483.18
Total assets 1,175,178.11
Segment liabilities 200,459.98 191,965.12 665,417.24 109.29 1,057,951.63
Unallocated liabilities 2,201.02
Total liabilities 1,060,152.65
Net assets 241,402.45 111,907.74 (244,905.41) 338.52 115,025.46
Capital expenditure for the year 9.69 233.49 982.81 18.47 1,244.46
Depreciation on fixed assets for the year 7.86 189.19 796.36 14.96 1,008.37
1. represents material non-cash items other than depreciation

(` in crores)
31 March, 2021
Corporate/
Other Banking
Treasury Wholesale Retail Banking Total
Business
Banking
Segment Revenue
Gross interest income (external customers) 15,802.61 17,388.98 29,995.08 159.56 63,346.23
Other income 2,647.69 2,857.83 5,300.64 1,457.44 12,263.60
Total income as per Profit and Loss Account 18,450.30 20,246.81 35,295.72 1,617.00 75,609.83
Add/(less) inter segment interest income (0.01) 6,053.05 30,919.81 0.01 36,972.86
Total segment revenue 18,450.29 26,299.86 66,215.53 1,617.01 112,582.69
Less: Interest expense (external customers) 9,303.90 996.22 23,806.99 - 34,107.11
Less: Inter segment interest expense 4,579.62 12,868.66 19,523.71 0.87 36,972.86
Less: Operating expenses 186.08 4,863.63 12,919.52 405.92 18,375.15
Operating profit 4,380.69 7,571.35 9,965.31 1,210.22 23,127.57
Less: Provision for non-performing assets/others 1
921.80 5,878.17 7,521.02 0.74 14,321.73
Less: Unallocated Provision for other contingencies -
Segment result 3,458.89 1,693.18 2,444.29 1,209.48 8,805.84
Less: Provision for tax 2,217.34
Extraordinary profit/loss -
Net Profit 6,588.50
Segment assets 348,716.95 281,270.28 347,936.04 277.25 978,200.52
Unallocated assets 8,597.11
Total assets 986,797.63
Segment liabilities 157,846.67 166,570.97 558,704.19 82.09 883,203.92
Unallocated liabilities 1,990.70
Total liabilities 885,194.62
Net assets 190,870.28 114,699.31 (210,768.15) 195.16 101,603.01
Capital expenditure for the year 11.07 344.53 900.42 10.24 1,266.26
Depreciation on fixed assets for the year 8.29 257.98 674.21 7.67 948.15
1. represents material non-cash items other than depreciation
Geographic Segments
(` in crores)
Domestic International Total
31 March, 31 March, 31 March, 31 March, 31 March, 31 March,

2022 2021 2022 2021 2022 2021
Revenue 81,695.50 74,612.88 901.88 996.95 82,597.37 75,609.83
Assets 1,117,216.41 943,020.92 57,961.69 43,776.71 1,175,178.11 986,797.63
Capital Expenditure for the year 1,243.08 1,264.11 1.38 2.15 1,244.46 1,266.26
Depreciation on fixed assets for the 1,007.12 947.31 1.25 0.84 1,008.37 948.15
year
237
Standalone
5.5. Related party disclosure

The related parties of the Bank are broadly classified as:
a) Promoters
The Bank has identified the following entities as its Promoters:
• Administrator of the Specified Undertaking of the Unit Trust of India (SUUTI)
• Life Insurance Corporation of India (LIC)
• General Insurance Corporation of India (upto 29 November, 2021), The New India Assurance Company Limited
(upto 29 November, 2021), National Insurance Company Limited (upto 29 November, 2021), United India
Insurance Company Limited (upto 29 November, 2021) and The Oriental Insurance Company Limited (upto 19
December, 2021). Pursuant to receipt of approval from the Stock Exchanges, these entities have been reclassified
to “Public” category from “Promoter” category with effect from 30 November, 2021 and 20 December, 2021 as
the case may be.
b) Key Management Personnel
• Mr. Amitabh Chaudhry (MD & CEO)
• Mr. Rajiv Anand (Deputy Managing Director)
• Mr. Rajesh Dahiya [Executive Director (Corporate Centre)] (upto 31 December, 2021)
• Mr. Pralay Mondal [Executive Director (Retail Banking)] (from 1 August, 2019 to 14 September, 2020)
c) Relatives of Key Management Personnel
Ms. Preeti Chaudhry, Mr. Anagh Chaudhry, Mr. Aruj Chaudhry, Mr. Aryan Chaudhry, Ms. Chhavi Kharb, Mr. Ashok Kharb,
Mr. Om Singh Chaudhry, Ms. Kusum Chaudhry,Ms. Gitanjali Anand, Ms. Tara Anand, Ms. Nandita Anand, Mr. P.L. Narain,
Mr. P. Srinivas, Ms. Ratna Rao Shekar, Ms. P. Kamashi, Ms. Charu Narain, Ms. K Ramalakshmi, Ms. Hemant Dahiya,
Ms. Arooshi Dahiya, Mr. Anshul Avasthi, Ms. Mallika Dahiya, Ms. Jal Medha, Ms. Pooja Rathi, Mr. Gagan Rathi, Mr. Jai
Prakash Dahiya, Ms. Mahasweta Mondal, Ms. Pritha Mondal, Ms. Trina Mondal, Mr. Biplab Mondal, Ms. Anima Mondal.
d) Subsidiary Companies
• Axis Capital Limited
• Axis Trustee Services Limited
• Axis Asset Management Company Limited
• Axis Mutual Fund Trustee Limited
• Axis Bank UK Limited
• Axis Finance Limited
• Axis Securities Limited
• A. Treds Limited
• Freecharge Payment Technologies Private Limited
e) Step down subsidiary companies
• Axis Capital USA LLC
f) Associate
• Max Life Insurance Company Limited (with effect from 6 April, 2021)
Based on RBI guidelines, details of transactions with Step down Subsidiary and Associate are not disclosed since there
is only one entity/party in each of the category.

The details of transactions of the Bank with its related parties during the year ended 31 March, 2022 are given below:
(` in crores)
Key Relatives of Key
Items/Related Party Promoters Management Management Subsidiaries Total
Personnel Personnel#
Dividend paid - - - - -
Dividend received - - - 88.65 88.65
Interest paid 173.69 0.24 0.37 14.95 189.25
Interest received 0.01 0.32 -* 38.54 38.87
Investment of the Bank - - - 399.46 399.46
Repayment of Share Capital by Subsidiaries - - - 127.30 127.30
Investment in non-equity instruments of related party - - - 315.00 315.00
Investment of related party in the Bank - 11.07 - - 11.07
Redemption of Hybrid capital/Bonds of the Bank - - - - -
Purchase of investments - - - - -
Sale of investments 584.75 - - 66.52 651.27
Management contracts - - - 8.53 8.53
Remuneration paid - 14.24 - - 14.24
Contribution to employee benefit fund 14.19 - - - 14.19
Placement of security deposits - - - - -
Repayment of security deposits 0.01 - - - 0.01
Call/Term lending to related party - - - - -
Repayment of Call/Term lending by related party - - - - -
Swaps/Forward contracts - - - 1.09 1.09
Advance granted (net) - 7.25 - 136.08 143.33
Advance repaid 0.52 2.58 - 0.17 3.27
Purchase of loans - - - 970.04 970.04
Receiving of services 391.51 - - 284.96 676.47
Rendering of services 46.93 -* -* 68.01 114.94
Sale/Purchase of foreign exchange currency to/from related - 0.94 0.17 - 1.11
party
Royalty received - - - 5.53 5.53
Other reimbursements from related party - - - 50.91 50.91
Other reimbursements to related party 0.25 - - 1.19 1.44
# Details of transactions of the Bank with relatives of KMP are for the period during which the KMP are related parties of the Bank.
* Denotes amount less than `50,000/-
The balances payable to/receivable from the related parties of the Bank as on 31 March, 2022 are given below:
(` in crores)
Deposits with the Bank 6,411.50 2.39 6.87 974.63 7,395.39
Placement of deposits 1.89 - - - 1.89
Advances 0.57 8.89 0.08 236.71 246.25
Investment of the Bank - - - 2,547.94 2,547.94
Investment of related party in the Bank 58.28 0.10 - - 58.38
Non-funded commitments 3.25 - - 0.25 3.50
Investment of related party in Hybrid capital/Bonds of the 1,458.00 - - - 1,458.00
Bank
Other receivables (net) - - - 7.28 7.28
Other payables (net) - - - 55.45 55.45
239
Standalone
The maximum balances payable to/receivable from the related parties of the Bank during the year ended
31 March, 2022 are given below:
(` in crores)
Personnel Personnel
Deposits with the Bank 15,153.34 17.59 8.44 1,467.69 16,647.06

Advances 80.60 10.11 0.13 496.69 587.53
Non-funded commitments 3.32 - - 0.25 3.57
Call lending - - - - -
Swaps/Forward contracts - - - - -
Investment of related party in Hybrid Capital/Bonds of the 2,760.00 - - - 2,760.00
Bank
The details of transactions of the Bank with its related parties during the year ended 31 March, 2021 are given below:
(` in crores)
Dividend paid - - - - -
Dividend received - - - 58.35 58.35
Interest paid 325.49 0.44 0.38 14.77 341.08
Interest received 0.03 0.23 - 9.14 9.40
Investment of the Bank - - - 6.70 6.70
Investment of related party in the Bank - 8.83 - - 8.83
Redemption of Hybrid capital/Bonds of the Bank - - - - -
Purchase of investments - - - - -
Sale of investments 2,227.52 - - 24.99 2,252.51
Management contracts - - - 7.46 7.46
Remuneration paid - 13.45 - - 13.45
Contribution to employee benefit fund 14.33 - - - 14.33
Placement of security deposits 1.59 - - - 1.59
Repayment of security deposits - - - - -
Call/Term lending to related party - - - - -
Repayment of Call/Term lending by related party - - - - -
Advance granted (net) - 0.90 - 100.35 101.25
Advance repaid 0.23 0.71 - 351.28 352.22
Purchase of loans - - - 338.97 338.97
Receiving of services 258.68 - - 245.17 503.85
Rendering of services 52.13 - - 32.96 85.09

(` in crores)
Sale/Purchase of foreign exchange currency to/from related - 0.32 0.19 - 0.51
party
Royalty received - - - 3.69 3.69
Other reimbursements from related party - - - 8.66 8.66
Other reimbursements to related party 0.25 - - 1.03 1.28
The balances payable to/receivable from the related parties of the Bank as on 31 March, 2021 are given below:
(` in crores)
Deposits with the Bank 6,587.83 2.46 6.04 663.55 7,259.88
Advances 1.08 5.04 0.02 100.69 106.83
Non-funded commitments 3.32 - - - 3.32
Investment of related party in Hybrid capital/Bonds of the 2,760.00 - - - 2,760.00
Bank
The maximum balances payable to/receivable from the related parties of the Bank during the year ended 31 March, 2021
are given below:
(` in crores)

Personnel Personnel
Deposits with the Bank 11,706.70 16.49 6.59 1,344.69 13,074.47
Advances 8.03 5.68 0.08 590.33 604.12
Non-funded commitments 3.32 - - - 3.32
Call lending - - - - -
Investment of related party in Hybrid Capital/Bonds of the 2,760.00 - - - 2,760.00
Bank
The transactions with Promoters and Key Management Personnel excluding those under management contracts are in nature
of the banker-customer relationship.
241
Standalone
Details of transactions with Axis Mutual Fund the fund floated by Axis Asset Management Company Ltd., the Bank’s subsidiary
has not been disclosed since the entity does not qualify as Related Party as defined under the Accounting Standard 18, Related
Party Disclosure, as notified under Section 2(2) and Section 133 of the Companies Act, 2013 and as per RBI guidelines.
The significant transactions between the Bank and related parties during the year ended 31 March, 2022 and 31 March, 2021
are given below. A specific related party transaction is disclosed as a significant related party transaction wherever it exceeds
10% of the aggregate value of all related party transactions in that category:
(` in crores)
Dividend received
Axis Bank UK Limited 54.56 -
Axis Capital Limited 19.85 44.10
Axis Trustee Services Limited 14.25 14.25
Interest paid
Life Insurance Corporation of India 132.32 216.43
Administrator of the Specified Undertaking of the Unit Trust of India 32.09 37.02
General Insurance Corporation of India 5.30 40.22
Interest received
Axis Finance Limited 35.85 7.90
Investment in Subsidiaries
A.Treds Limited - 6.70
Axis Finance Limited 399.46 -
Investment in non-equity instruments of related party
Investment of related party in the Bank
Mr. Rajiv Anand 4.49 4.82
Mr. Rajesh Dahiya 6.58 4.01
Repayment of Share Capital by Subsidiary
Axis Bank UK Limited 127.30 -
Sale of investments
The New India Assurance Company Limited 177.23 521.57
General Insurance Corporation of India 327.27 1,293.95
United India Insurance Company Limited 50.05 50.00
The Oriental Insurance Company Limited 30.20 97.00
National Insurance Company Limited - 265.00
Axis Securities Limited 66.52 24.99
Management contracts
Axis Securities Limited - 0.75
A.Treds Limited 3.39 3.54
Axis Trustee Services Limited 1.55 1.40
Axis Asset Management Company Limited 1.26 -
Remuneration paid
Mr. Amitabh Chaudhry 7.37 6.54
Mr. Pralay Mondal N.A. 1.16
Contribution to employee benefit fund
Placement of security deposits
Life Insurance Corporation of India - 1.59

(` in crores)
Repayment of security deposits
Life Insurance Corporation of India 0.01 -
Swaps/Forward contracts
Axis Bank UK Limited 1.09 474.45
Advance granted (net)
Axis Asset Management Company Limited 0.47 0.24
Advance repaid
Axis Finance Limited - 351.09
Purchase of loans
Axis Finance Limited 813.01 -
Receiving of services
The New India Assurance Company Limited 61.62 77.56
The Oriental Insurance Company Limited 168.72 135.25
Freecharge Payment Technologies Private Limited 251.34 216.51
Rendering of services
Sale/Purchase of foreign exchange currency to/from related party
Mr. Amitabh Chaudhry 0.60 -
Mr. Pralay Mondal N.A. 0.25
Ms. Preeti Chaudhry - 0.14
Ms. Tara Anand 0.02 0.05
Ms. Mallika Dahiya 0.13 -
Royalty received
Other reimbursements from related party
Other reimbursements to related party
Axis Securities Limited - 0.02
* Denotes amount less than `50,000/-
243
Standalone
5.6. Leases
Disclosure in respect of assets taken on operating lease
This comprises of branches, office premises/ATMs, cash deposit machines, currency chests, staff quarters, office
and IT equipments.
(` in crores)
31 March, 2022 31 March, 2021
Future lease rentals payable as at the end of the year:

- Not later than one year 918.20 903.21
- Later than one year and not later than five years 3,089.42 3,068.46
- Later than five years 3,145.16 3,140.46
Total of minimum lease payments recognised in the Profit and Loss Account for the year 1,117.74 958.97
Total of future minimum sub-lease payments expected to be received under non-cancellable 0.85 1.11
subleases
Sub-lease payments recognised in the Profit and Loss Account for the year 0.83 1.46
The Bank has sub-leased certain of its properties taken on lease.

There are no provisions relating to contingent rent.
The terms of renewal/purchase options and escalation clauses are those normally prevalent in similar agreements. There
are generally no undue restrictions or onerous clauses in the agreements.
Disclosure in respect of assets given on operating lease
(` in crores)
31 March, 2022 31 March, 2021
Gross carrying amount of premises at the end of the year 165.24 213.78
Accumulated depreciation at the end of the year 17.29 18.81
Total depreciation charged to profit and loss account for the year 3.40 3.56
Future lease rentals receivable as at the end of the year:
- Not later than one year 18.09 29.50
- Later than one year and not later than five years 62.34 118.30
- Later than five years 3.20 35.72
There are no provisions relating to contingent rent.

5.7. Movement in fixed assets capitalised as application software (included in other fixed assets)
(` in crores)
At cost at the beginning of the year 2,203.10 1,791.38

Additions during the year* 593.38 450.45
Deductions during the year (4.73) (38.73)
Accumulated depreciation as at 31 March (1,809.86) (1,500.58)
Closing balance as at 31 March 981.89 702.52
Depreciation charge for the year 312.82 264.69
*includes movement on account of exchange rate fluctuation

5.8. The major components of deferred tax assets and deferred tax liabilities arising out of timing differences are as under:
(` in crores)
As at 31 March, 2022 31 March, 2021
Deferred tax assets on account of provisions for loan losses 5,242.37 5,936.99
Deferred tax assets on account of provision for employee benefits 12.99 9.15
Deferred tax assets on other items 2,302.96 1,615.67
Deferred tax assets 7,558.32 7,561.81
Deferred tax liabilities on account of depreciation on fixed assets 42.74 32.11
Deferred tax liability on creation of Special Reserve under Income Tax Act [Refer note 18 (4.1) 153.32 -
(b) (iii)]
Deferred tax liabilities on account of other items 0.42 9.93
Deferred tax liabilities 196.48 42.04
Net Deferred tax assets 7,361.84 7,519.77
5.9. Employee Benefits

Provident Fund
The rules of the Bank’s Provident Fund administered by a Trust require that if the Board of Trustees are unable to
pay interest at the rate declared for Employees’ Provident Fund by the Government under para 60 of the Employees’
Provident Fund Scheme, 1952 for the reason that the return on investment is less or for any other reason, then the
deficiency shall be made good by the Bank.
Further effective FY 2021-22, pursuant to change in the methodology for assessment of such deficiency, the shortfall
if any, due to fluctuations in price or impairment, in the aggregate asset values of the Trust as compared to the market
value has also been considered. Previous period numbers of fair value of plan assets reported in below disclosures are
hence not comparable with the current year numbers.
Based on an actuarial valuation conducted by the independent actuary, there is no deficiency in the Trust observed as at
the Balance Sheet date.
The following tables summarise the components of net benefit expenses recognised in the Profit and Loss Account and
funded status and amounts recognised in the Balance Sheet for the Provident Fund benefit plan (including staff deputed
at subsidiaries).
Profit and Loss Account
Net employee benefit expenses (recognised in payments to and provisions for employees)
(` in crores)
31 March, 2022 31 March, 2021
Current Service Cost* 170.96 135.39

Interest on Defined Benefit Obligation 192.23 161.94
Expected Return on Plan Assets (259.83) (218.33)
Net Actuarial Losses/(Gains) recognised in the year (66.83) 56.39
Effect of the limit in Para 59(b) of Accounting Standard – 15 134.43 N.A.
Total included in “Employee Benefit Expense” [Schedule 16(I)] 170.96 135.39
Actual Return on Plan Assets 530.56 205.45
* includes contribution of `0.23 crores towards staff deputed at subsidiaries (previous year `0.27 crores)
245
Standalone
Balance Sheet
Details of provision for provident fund
(` in crores)
31 March, 2022 31 March, 2021
Fair Value of Plan Assets 3,538.64 2,861.59

Present Value of Funded Obligations (3,404.21) (2,861.59)
Net asset 134.43 -
Amount not recognized as an asset (limit in Para 59(b) of Accounting Standard -15) (134.43) N.A.
Net Asset/(Liability) - -
Amounts in Balance Sheet
Liabilities - -
Assets - -
Net Asset/Liability - -
Changes in the present value of the defined benefit obligation are as follows:
(` in crores)
31 March, 2022 31 March, 2021
Change in Defined Benefit Obligation

Opening Defined Benefit Obligation 2,861.59 2,494.37
Current Service Cost 170.96 135.39
Interest Cost 192.23 161.94
Actuarial Losses/(Gains) 203.90 43.51
Employees Contribution 343.79 293.85
Liability transferred from/to other companies (26.17) (29.52)
Benefits Paid (342.09) (237.95)
Closing Defined Benefit Obligation 3,404.21 2,861.59
Changes in the fair value of plan assets are as follows:
(` in crores)
31 March, 2022 31 March, 2021
Change in the Fair Value of Assets

Opening Fair Value of Plan Assets 2,861.59 2,494.37
Expected Return on Plan Assets 259.83 218.33
Actuarial Gains/(Losses) 270.73 (12.88)
Employer contribution during the period 170.96 135.39
Employee contribution during the period 343.79 293.85
Assets transferred from/to other companies (26.17) (29.52)
Benefits Paid (342.09) (237.95)
Closing Fair Value of Plan Assets 3,538.64 2,861.59
Experience adjustments
(` in crores)
31 March, 2022 31 March, 2021 31 March, 2020 31 March, 2019 31 March, 2018
Defined Benefit Obligations 3,404.21 2,861.59 2,494.37 2,245.71 2,006.65
Plan Assets 3,538.64 2,861.59 2,494.37 2,245.71 2,006.65
Surplus/(Deficit) 134.43 - - - -
Experience Adjustments on Plan 169.83 43.51 4.24 (27.40) 12.10
Liabilities
Experience Adjustments on Plan Assets 270.73 (12.88) (32.62) (57.29) (30.95)

Major categories of plan assets (managed by Insurers) as a percentage of fair value of total plan assets
31 March, 2022 31 March, 2021
(in percentage) (in percentage)
Government securities 54 56
Bonds, debentures and other fixed income instruments 11 15
Equity shares 8 5
Others 27 24
Principal actuarial assumptions at the Balance Sheet date
31 March, 2022 31 March, 2021

Discount rate for the term of the obligation 6.80% 6.55%
Average historic yield on the investment portfolio 8.61% 8.80%
Discount rate for the remaining term to maturity of the investment portfolio 6.90% 6.50%
Expected investment return 8.51% 8.85%
Guaranteed rate of return 8.10% 8.50%
The contribution to the employee’s provident fund (including Employee Pension Scheme) amounted to `272.91 crores
for the year (previous year `231.37 crores) .
Superannuation
The Bank contributed `14.10 crores (previous year `14.21 crores) to the employees’ superannuation plan for the year.
National Pension Scheme (NPS)
During the year, the Group contributed `8.55 crores (previous year `6.83 crores) to the NPS for employees who have
opted for the scheme.
Gratuity
The following tables summarise the components of net benefit expenses recognised in the Profit and Loss Account and
funded status and amounts recognised in the Balance Sheet for the Gratuity benefit plan.
Profit and Loss Account
Net employee benefit expenses (recognised in payments to and provisions for employees)
(` in crores)
31 March, 2022 31 March, 2021
Interest on Defined Benefit Obligation 35.89 32.17
Expected Return on Plan Assets (34.13) (34.55)
Net Actuarial Losses/(Gains) recognised in the year 6.68 (24.70)
Past Service Cost 0.78 0.78
Total included in “Employee Benefit Expense” [Schedule 16(I)] 76.34 35.29
Actual Return on Plan Assets 43.58 40.93
Balance Sheet
Details of provision for gratuity
(` in crores)
31 March, 2022 31 March, 2021
Fair Value of Plan Assets 559.68 508.22
Present Value of Funded Obligations (547.55) (516.43)
Unrecognised past service cost - 0.77
Net Asset/ (Liability) 12.13 (7.44)
Amounts in Balance Sheet
Liabilities - (7.44)
Assets 12.13 -
Net Asset/(Liability) (included under Schedule 11 Other Assets /Schedule 5 – Other 12.13 (7.44)
Liabilities)
247
Standalone
Changes in the present value of the defined benefit obligation are as follows:
(` in crores)
31 March, 2022 31 March, 2021
Change in Defined Benefit Obligation
Opening Defined Benefit Obligation 516.43 469.30
Interest Cost 35.89 32.17
Actuarial Losses/(Gains) 16.13 (18.32)
Benefits Paid (88.02) (28.31)
Closing Defined Benefit Obligation 547.55 516.43
Changes in the fair value of plan assets are as follows:
(` in crores)
31 March, 2022 31 March, 2021
Change in the Fair Value of Assets
Opening Fair Value of Plan Assets 508.22 467.75
Expected Return on Plan Assets 34.13 34.55
Actuarial Gains/(Losses) 9.45 6.38
Contributions by Employer 95.90 27.85
Benefits Paid (88.02) (28.31)
Closing Fair Value of Plan Assets 559.68 508.22
Experience adjustments
(` in crores)
31 March, 2022 31 March, 2021 31 March, 2020 31 March, 2019 31 March, 2018
Defined Benefit Obligations 547.55 516.43 469.30 402.15 342.56
Plan Assets 559.68 508.22 467.75 391.91 323.72
Surplus/(Deficit) 12.13 (8.21) (1.55) (10.24) (18.84)
Experience Adjustments on Plan Liabilities 25.88 (9.28) (8.33) 7.50 4.39
Experience Adjustments on Plan Assets 9.45 6.38 (6.74) 9.36 4.59
Major categories of plan assets (managed by Insurers) as a percentage of fair value of total plan assets
31 March, 2022 31 March, 2021
Government securities 39% 47%

Bonds, debentures and other fixed income instruments 25% 44%
Money market instruments 10% 5%
Equity shares 5% 3%
Balance in bank & others 21% 1%
Principal actuarial assumptions at the Balance Sheet date:
31 March, 2022 31 March, 2021

Discount Rate 6.80% p.a. 6.55% p.a.
Expected Rate of Return on Plan Assets 7.00% p.a. 7.00% p.a.
Salary Escalation Rate 7.00% p.a. 5.80% p.a. until
year 1, then
7.00% p.a.
Employee Turnover
- 21 to 30 (age in years) 24.00% 24.00%
- 31 to 44 (age in years) 14.00% 14.00%
- 45 & above (age in years) 8.00% 8.00%

The estimates of future salary increases considered in actuarial valuation take account of inflation, seniority, promotion
and other relevant factors.
The expected rate of return on plan assets is based on the average long-term rate of return expected on investments of
the Fund during the estimated term of the obligations.
As the contribution expected to be paid to the plan during the annual period beginning after the balance sheet date is
based on various internal/external factors, a best estimate of the contribution is not determinable.
The above information is as certified by the actuary and relied upon by the auditors.
Provision towards probable impact on account of Code of Social Security 2020
The Code on Social Security 2020 (‘Code’) relating to employee benefits during employment and post-employment
received Presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date
on which the Code will come into effect has not been notified and the final rules/interpretation have also not yet been
issued. The Bank has carried out an impact assessment of the gratuity liability based on an actuarial valuation and on a
prudent basis holds a provision of `225.30 crores as on 31 March, 2022 (`208.00 crores as on 31 March, 2021). This is
over and above the provisions made in normal course based on extant rules and as reported in the above disclosure.
The above information is as certified by the actuary and relied upon by the auditors.
5.10. Provisions and contingencies
a) Movement in provision for frauds included under other liabilities is set out below:
(` in crores)
31 March, 2022 31 March, 2021
Opening balance at the beginning of the year 88.61 77.66

Additions during the year 50.23 12.15
Reductions on account of payments/reversals during the year (16.85) (1.20)
Closing balance at the end of the year 121.99 88.61
b) Other liabilities include provision for reward points made on actuarial basis, the movement of which is set out below:
(` in crores)
31 March, 2022 31 March, 2021
Opening provision at the beginning of the year 305.36 266.10
Provision made during the year 70.35 191.40
Reductions during the year (125.42) (152.14)
Closing provision at the end of the year 250.29 305.36
c) Movement in provision for other contingencies is set out below:
(` in crores)
31 March, 2022 31 March, 2021
Opening provision at the beginning of the year 3,006.25 2,842.99
Provision made during the year 1,299.24 287.09
Reductions during the year (183.84) (123.83)
Closing provision at the end of the year 4,121.65 3,006.25
Closing provision includes provision for legal cases, additional provision for delay in implementation of resolution plan,
provision for other contingencies and provision for COVID-19 over and above regulatory requirement
249
Standalone
5.11. Small and Micro Enterprises

Under the Micro, Small and Medium Enterprises Development Act, 2006 which came into force from 2 October, 2006,
certain disclosures are required to be made relating to Micro, Small and Medium enterprises. Following are the details of
delayed payments to MSMED registered vendors.
For the year ended 31 March, 2022:
(` in crores)
Particulars Principal Interest
The principal amount and the interest due thereon remaining unpaid to any supplier 52.38 0.04
The amount of interest paid by the buyer in terms of Section 16, along with the amount of the payment 95.61 0.34
made to the supplier beyond the due date
The amount of interest due and payable for the period of delay in making payment (which have been N.A. 1.57
paid but beyond the due date during the year) but without adding the interest specified under MSMED
Act, 2006
The amount of interest accrued and remaining unpaid N.A. 1.61
The amount of further interest remaining due and payable even in the succeeding years, until such date N.A. 1.61
when the interest dues as above are actually paid to the small enterprise, for the purpose of disallowed
as a deductible expenditure under Section 23
For the year ended 31 March, 2021:
(` in crores)
Particulars Principal Interest

The principal amount and the interest due thereon remaining unpaid to any supplier 10.32 0.01
The amount of interest paid by the buyer in terms of Section 16, along with the amount of the payment - -
made to the supplier beyond the due date
The amount of interest due and payable for the period of delay in making payment (which have been N.A. -
paid but beyond the due date during the year) but without adding the interest specified under MSMED
Act, 2006
The amount of interest accrued and remaining unpaid N.A. 1.73
The amount of further interest remaining due and payable even in the succeeding years, until such date N.A. 1.73
when the interest dues as above are actually paid to the small enterprise, for the purpose of disallowed
as a deductible expenditure under Section 23
The above is based on the information available with the Bank which has been relied upon by the auditors.
5.12. Corporate Social Responsibility (CSR)
a) Amount required to be spent by the Bank on CSR during the year `138.06 crores (previous year `90.65 crores).
b) Amount spent towards CSR during the year and recognized as expense in the statement of profit and loss on CSR related
activities is `138.25 crores (previous year `90.93 crores), which comprises of following-
(` in crores)
31 March, 2022 31 March, 2021
Yet to be paid in cash Yet to be paid in cash
In cash Total In cash Total
(i.e. provision)1 (i.e. provision)
Construction/acquisition of any asset - - - - - -

On purpose other than above 113.19 25.06 138.25 85.06 5.87 90.93
1. An amount of `24.88 crores has been transferred to the “Axis Bank Limited-Unspent CSR Account for FY 2021-22” to be utilized
towards on-going project(s)/program(s) in line with the provisions of the Companies (Corporate Social Responsibility Policy) Amendment
Rules, 2021.
5.13. Disclosure required as per Ministry of Corporate Affairs notification dated 24 March, 2021
During the year ended 31 March, 2022, other than the transactions undertaken in the normal course of banking business
and in accordance with extant regulatory guidelines and Bank’s internal policies, as applicable:
1. the Bank has not granted any advance/loans or investments or provided guarantee or security to any other
person(s) or entities with an understanding, whether recorded in writing or otherwise, to further lend or invest on
behalf of the Bank or provide guarantee or security or the like to any other person identified by the Bank.

2. the Bank has not received any funds from any person(s) or entities with an understanding, whether recorded in
writing or otherwise, that the Bank shall further lend or invest or provide guarantee or security or the like in any
other person on behalf of and identified by such person(s)/entities.
5.14. Expenses exceeding 1% of the total income
Details of items under other expenditure (Schedule 16 – Operating Expenses) exceeding 1% of total income of the Bank
are given below:
Sr. No. Nature of Expense (` in crores)
1. Fees paid for purchase of Priority Sector Lending Certificates 1,246.63

2. Commission paid to Direct Sales Agents (DSA) 1,333.77
3. Fees paid to Collection Agencies 869.12
Sr. No. Nature of Expense (` in crores)
1. Fees paid for purchase of Priority Sector Lending Certificates 1,013.69
5.15. Description of contingent liabilities

a) Claims against the Bank not acknowledged as debts
These represent claims filed against the Bank in the normal course of business relating to various legal cases currently
in progress. These also include demands raised by income tax and other statutory authorities which are disputed by the
Bank. In addition, the Bank holds provision of `297.07 crores as on 31 March, 2022 (previous year `81.76 crores) towards
claims assessed as probable .
b) Liability for partly paid investments
This represents amounts remaining unpaid towards liability for partly paid investments.
c) Liability on account of forward exchange and derivative contracts
The Bank enters into foreign exchange contracts, including non-deliverable forward (NDF) contracts, currency options/
swaps, exchange traded currency options, non-deliverable options, interest rate/ currency futures and forward rate
agreements on its own account and OTC for customers. Forward exchange contracts are commitments to buy or sell
foreign currency at a future date at the contracted rate. A non-deliverable forward contract is a currency derivatives
contract to exchange cash flows between the contracted forward exchange rate and prevailing spot rates. Currency
swaps are commitments between two counterparties to exchange streams of interest payments and/or principal amounts
in different currencies on specified dates over the duration of the swap at a pre-agreed exchange rate. Interest rate
swaps are commitments to exchange fixed and floating interest rate cash flows. Interest rate futures are standardised,
exchange-traded contracts that represent a pledge to undertake a certain interest rate transaction at a specified price,
on a specified future date. Forward rate agreements (FRA) are financial contracts between two counterparties, in which
a buyer will pay or receive, on the settlement date, the difference between a pre-determined fixed rate (FRA rate) and
a reference interest rate, applied on a notional principal amount, for a specified forward period. A foreign currency
option is an agreement between two parties in which one grants to the other the right to buy or sell a specified amount
of currency at a specific price within a specified time period or at a specified future time. An Exchange Traded Currency
Option contract is a standardised foreign exchange derivative contract, which gives the buyer the right, but not the
obligation, to exchange money denominated in one currency into another currency at a pre-agreed exchange rate on a
specified date on the date of expiry. A non-deliverable option contract is a currency derivatives contract that offers the
right, but not the obligation to either purchase or sell a currency against another currency and the contract is settled
at the difference between the contracted exchange rate and prevailing spot rate on the expiry date. Currency Futures
contract is a standardised, exchange-traded contract, to buy or sell a certain underlying currency at a certain date in the
future, at a specified price. The amount of contingent liability represents the notional principal of respective forward
exchange and derivative contracts.
d) Guarantees given on behalf of constituents
As a part of its banking activities, the Bank issues guarantees on behalf of its customers to enhance their credit standing.
Guarantees represent irrevocable assurances that the Bank will make payments in the event of the customer failing to
fulfill its financial or performance obligations.
251
Standalone
e) Acceptances, endorsements and other obligations

These include documentary credit issued by the Bank on behalf of its customers and bills drawn by the Bank’s customers
that are accepted or endorsed by the Bank.
f) Other items for which the Bank is contingently liable
Other items represent outstanding amount of bills rediscounted by the Bank, estimated amount of contracts remaining
to be executed on capital account, notional principal on account of outstanding Tom/Spot foreign exchange contracts,
contracts for purchase of investments where settlement is due post balance sheet date, contingent liability relating
to undertakings issued towards settlements under resolution plan in respect of non-performing assets, commitments
towards underwriting and investment in equity through bids under Initial Public Offering (IPO) of corporates as at the
year end, and amount transferred to Depositor Education and Awareness Fund (DEAF).
During earlier years, the Bank, through one of its overseas branches, had arranged Trade Credit (Buyers Credit loans)
against Letters of Undertaking (LOUs) issued by Punjab National Bank (PNB), which were subsequently alleged as
fraudulent by PNB. Prior to this declaration by PNB, such buyer’s credit loans were sold down in the secondary market
by the overseas branch to various participating banks under Risk Participation Agreements. As on 31 March, 2022, there
is no funded exposure outstanding in the overseas branch pursuant to such sell down. PNB has repaid the aggregate
amount of all LOUs due, pursuant to an undertaking issued to PNB, and made remittance to the overseas branch which
has been passed on for onward payment to the participating banks. Based on the facts and circumstances of the case,
internal findings and legal opinion, the Bank does not expect PNB has any valid right at this point in time, for refund by
the Bank of the aggregate amount paid by PNB towards LOUs. However, as a matter of prudence, the aggregate amount
of LOUs issued by PNB to the overseas branch against which buyer’s credit was extended, aggregating to `4,474.35
crores has been disclosed as part of Contingent Liabilities in the Balance Sheet.
The Bank has a process whereby periodically all long term contracts (including derivative contracts) are assessed for material
foreseeable losses. At the year end, the Bank has reviewed and recorded adequate provision as required under any law/
accounting standards for material foreseeable losses on such long term contracts (including derivative contracts) in the books
of account and disclosed the same under the relevant notes in the financial statements, where applicable.
6. Previous year figures have been regrouped and reclassified, where necessary to conform to current year’s presentation.




Place: Mumbai

Axis Bank AR 2021-22 - Standalone Financial Statements

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Axis Bank AR 2021-22 - Standalone Financial Statements

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Standalone

Capital and Liabilities

Schedules referred to above form an integral part of the Balance Sheet

In terms of our report attached. For Axis Bank Ltd.

For M P Chitale & Co. Rakesh Makhija

Ashutosh Pednekar Rajiv Anand Amitabh Chaudhry

Manish Sampat Sandeep Poddar Puneet Sharma

Date : 28 April, 2022

172 Annual Report 2021-22

Profit & Loss Account

For M P Chitale & Co. Rakesh Makhija

Ashutosh Pednekar Rajiv Anand Amitabh Chaudhry

Manish Sampat Sandeep Poddar Puneet Sharma

Date : 28 April, 2022

Cash Flow Statement

Year ended Year ended

Cash flow from operating activities

174 Annual Report 2021-22

Year ended Year ended

Cash flow from financing activities

In terms of our report attached. For Axis Bank Ltd.

For M P Chitale & Co. Rakesh Makhija

Ashutosh Pednekar Rajiv Anand Amitabh Chaudhry

Manish Sampat Sandeep Poddar Puneet Sharma

Date : 28 April, 2022

SCHEDULES FORMING PART OF THE BALANCE SHEET

Schedule 2 - Reserves and Surplus

176 Annual Report 2021-22

Schedule 5 - Other Liabilities and Provisions

I. Bills payable 84,993,581 70,326,546

Schedule 6 - Cash and Balances with Reserve Bank of India

I. Cash in hand (including foreign currency notes) 98,400,898 126,731,503

178 Annual Report 2021-22

Schedule 10 - Fixed Assets

Schedule 11 - Other Assets

I. Inter-office adjustments (net) - -

180 Annual Report 2021-22

Schedule 12 - Contingent Liabilities

I. Claims against the Bank not acknowledged as debts 9,516,734 20,538,600

SCHEDULES FORMING PART OF PROFIT & LOSS ACCOUNT

Schedule 13 - Interest Earned

Schedule 14 - Other Income

Schedule 15 - Interest Expended

Schedule 16 - Operating Expenses

17 SIGNIFICANT ACCOUNTING POLICIES TO THE STANDALONE FINANCIAL STATEMENTS

4. Changes in accounting policies

5. Significant accounting policies

All other investments are classified as AFS securities.

184 Annual Report 2021-22

Non-performing advances and provision on non-performing advances

186 Annual Report 2021-22

5.6 Translation of Foreign Currency items

188 Annual Report 2021-22

Asset Estimated useful life

Asset Estimated useful life

190 Annual Report 2021-22

192 Annual Report 2021-22

18 NOTES FORMING PART OF THE FINANCIAL STATEMENTS