#1HDFC Bank Day 2023 Classification - Public + HDFC BANK Commercial and Rural Banking#2Classification - Public COMMERCIAL AND RURAL BANKING Commercial and Rural Banking ECG Emerging Corporate Group BBG Business Banking Group EEG Emerging Enterprise Group RBG Rural Banking Group Assets 2 Year CAGR TFG Transportation Group • • CV CE IFG • Tractor HCF Healthcare Finance M 血 I | 26% 31% 49% 26% 30% 16% HDFC Bank Day 2023 CRB was formed on 1st May 2021 I I | ◉HDFC BANK CRB Business Metrics - FY '23 Asset Growth ~30% Pre-tax ROA >3% PSL >80% Self Funding ~100% Gross NPA ~1.5% 2#3COMMERCIAL AND RURAL BANKING HDFC Bank Day 2023 Classification - Public Business Key Accomplishments # 1 MSME lender Inclusion ◉HDFC BANK CRB Highest ECLGS Disbursement "Best SME Bank" award FY '22 Asiamoney and Euromoney CGTMSE award "Best Guarantee Coverage FY '23" # 1 Financier in the CVCE space Top in Vostro/Remittance business Self sufficient in Micro and Other PSL 2nd in LGSCAS Scheme #1 achievement in last three AIF campaigns #1 Private Bank in Stand up India 3#4COMMERCIAL AND RURAL BANKING Classification - Public CRB Goals #1 | Bank's PSL Engine | Total & core PSL % [Target 40%] ◉HDFC BANK CRB 40% 30% Mar '21 33% FY '21 CRB's PSL to ANBC is at 80.3% as of Mar '23 Percentages rounded off to nearest integer HDFC Bank Day 2023 46% 46% -Total PSL % 36% Core PSL % 33% Mar '22 Core PSL increase / Advances Increase % 36% FY '22 Mar '23 60% FY '23 In CRB, PSL contribution to incremental asset growth is 75.4% in FY '23 4#5COMMERCIAL AND RURAL BANKING Classification - Public CRB Goals | #2 | Growth and Income Clockwork Growth Mar '21 Jun '21 19.0% 25.1% CRB Sep '21 27.6% Dec '21 Mar '22 Jun '22 3% Pre-tax ROA 29.4% 30.4% 28.9% Industry Leading Returns ROA ◉HDFC BANK CRB Sep '22 Dec '22 Mar '23 ECG BBG EEG TFG RBG HCF 31.3% 30.1% 29.2% CRB average growth rate for FY '20 and FY '21 was 15% HDFC Bank Day 2023 Yield improvement to maintain commercially viable ROA CRB 5#6COMMERCIAL AND RURAL BANKING Classification - Public CRB Goals | #3 | Sustainability ◉HDFC BANK CRB 18.00% 12.00% 6.00% CRB GNPA -CRB CRB Excluding Agri 2.4% 2.2% 1.8% 1.80% 1.60% 1.37% Mar '19 Mar '20 Mar '21 Industry Level Gross NPA of MSME 1.6% 1.5% 1.18% 1.08% Mar '22 Mar '23 0.00% Dec '20 Mar 21 Jun '21 Sep '21 Dec '21 Mar '22 Jun '22 Sep '22 Dec '22 Source: Bureau data HDFC Bank Day 2023 HDFC Bank -NBFC PSB -Pvt Industry 6#7COMMERCIAL AND RURAL BANKING Classification - Public MSME - Perpetuating Market Leadership ◉HDFC BANK MSME I I | I I I I I I Expanding the Network Expansion for PSL build up, Risk containment and granularity Jammu & Kashmir Ladakh Division Presence Mar '21 Mar '22 Mar '23 ECG Cities 128 262 284 I BBG + EEG Districts 627 635 688 Mission 1+1 disbursement target achieved in Feb '23 itself Total achievement at 1.16x of plans HDFC Bank Day 2023 Rajasthan Punjab machal Pradestarakhand ayana Delhi Sikkim Uttar Pradesh Bihar Gujarat Madhya Pradesh Lakshadweep Goa Maharashtra Karnataka Telangana Andhra Pradesh Chhattisgarh Current Leadership Arunachal Pradesh Assam Nagaland Meghalaya Manipur Jharkhand West Mizoram Bengal Tripura Odisha Puducherry Tamil Andaman and Nadu Nicobar Islands Kerala #1 MSME Bank - 13 States #2 MSME Bank - 2 States #3 MSME Bank - 5 States HDFC Bank is catching up & getting ready to claim top spot Market leadership in market share in majority of businesses under CRB group Mission 1+1 new customer acquisition plan for FY '24 Doubling of customer base of FY '22 7#8COMMERCIAL AND RURAL BANKING Classification - Public MSME Performance 14,09,183 Mar '21 12.0 2,06,408 • • #1 Bank in lending to MSME segment Consistent growth in Market Share 4.5x Portfolio growth in last 6 years Source: Regulatory Publications HDFC Bank Day 2023 MSME Market Share ■Industry HDFC Bank 19,69,302 50%+ market share increase in two years 32.66% CAGR in two years . Present in 688 districts in MSME Segment One of the Lowest GNPA in MSME Segment Systematic approach to MSME Lending • • Mar '23 18.5 3,63,618 ◉HDFC BANK MSME Share up from 12% to 18.5% in two years Granular working for market share gain 16.6% share in Micro and Small Segment 8#9COMMERCIAL AND RURAL BANKING Geographical Spread Classification - Public MSME Geographical Spread N 38% W 33% 21% S E 24% 54% 18% Customer Base Distribution ◉HDFC BANK 28% 38% 34% MSME ■ Micro Enterprises ■Small Enterprises ■ Metropolitan ■ Semi Urban/ Rural ■ Urban ■Medium Enterprises HDFC Bank Branches Mar '23 [Mar '22] 7,817 [6,338] Branches with MSME customer 6,280 [5,331] MSME > 25% overall advances 3,364 [2,353] - Wide Spread Portfolio – Growing Footprints in Semi Urban and Rural Distributed Portfolio Across Segments Granular Portfolio with Complete Cash Flow HDFC Bank Day 2023 9#10COMMERCIAL AND RURAL BANKING Classification - Public Agriculture Finance Umbrella of Opportunities ◉HDFC BANK Rural Banking Village Penetration 1,30,741 98,926 KGC Supply Chain Finance Govt. Schemes Dairy Kisan Samrudhi 1,65,600 2,25,000 FY '21 FY '22 FY '23 FY '24E Agri Allied AIF/ PMFME / FPO (Non Crop) Horticulture Segment Secured/ Unsecured SMF Farmer Producer Organization Agri Loan Against Gold Security Expansion beyond KGC Saturation Diversification from staple crops Penetration in 2.25 Lakh villages HDFC Bank Day 2023 • Government scheme focus 10#11COMMERCIAL AND RURAL BANKING Source: Bureau data Classification - Public KCC Market Share Market Share - KCC Industry 6.86% 8,32,768 I 6.13% 7,53,133 5.67% 5.37% 6,70,197 6,97,018 Mar '19 Mar '20 Mar '21 Mar'22 HDFC Bank Day 2023 I I I ◉HDFC BANK Rural Banking & Targeted Market Share 9% (by FY '24) Dec '20 Dec '21 Dec '22 I Share 5.80% 6.40% 7.29% 11#12COMMERCIAL AND RURAL BANKING Similar Distribution Channel HDFC Bank Day 2023 Classification - Public Transforming Transportation Finance Strong OEM Relationship A 8 Existing Equipment Business Under-penetrated Equipment Business Non Equipment Business Common Customer Base Overlapping Geography ◉HDFC BANK TFG Current Market Position # 1 Future Business Potential 1x to > 3x 12#13COMMERCIAL AND RURAL BANKING Classification - Public Preparing for Digital Revolution ◉HDFC BANK CRB --- Origination and Login 00 Credit Underwriting ~90% digital origination Data linkage through API . Linkage with GST, IT . Digital document login for customer ● Staff Bandwidth release and customer delight . Portal, Bureau etc for faster proposal Assessment Analytics based internal behavioural scores HDFC Bank Day 2023 • . Documentation and Disbursement Self Service ~75% digital documentation Largely digital Prefilled Sanction Letter Prefilled Documentation Digital document execution Interest & balance confirmations Loan statements & repayment schedules Pre-approved STP-TOD Security details 13#14COMMERCIAL AND RURAL BANKING Classification - Public Conclusion ◉HDFC BANK CRB FY '22 FY '25 2x FY '23 FY '26 2x HDFC Bank Day 2023 14#15Classification - Public COMMERCIAL AND RURAL BANKING HDFC Bank Day 2023 THANK YOU HDFC BANK 15