India’s National Export Credit Agency

Investor Presentation

1
Presentation Outline

Exim Key Credit Highlights

The India Story

The Exim Bank Story

Appendix

2
Exim Key Credit Highlights

3
 Exim Key Credit Highlights

1  Set up under an Act of Parliament in 1981 by the Government of India

India: Strong Macro  100% owned by the Government of India (“GoI”).

backed by supportive
policy Environment
 An Instrument of Government policy as India’s official Export Credit Agency.
5 2
Management India’s engine Exim:  Assists GoI in policy formulation and project selection under Economic
Strength for growth of Proxy to Sovereign
Diplomacy.
International
Trade
 International investment grade ratings at par with Sovereign and BBB+ rating

Policy Role at by JCR.

Financial Highlights
National Level
 Policy Business Guaranteed / Insured by the Sovereign.
4 3
 Strong regulatory capital position.

 Strong access to multiple sources of liquidity, both onshore and offshore.

4
The India Story

5
 India: Strong Macro backed by supportive Policy Environment
Resilient GDP Growth(1,2,3)
6000 8.2 9 7.1% 7.3% 7.4%
7.4 6.7%
7.1 8
5000 6.4 6.7
7 6.9%
6.7% 6.6%
Nominal GDP (US$ bn)

4000 2271.0 2576.5 6 6.2%

2043.3 2147.2
1919.4 5 3.7% 3.7% 3.7%
3000 3.2%
4
2000 53.8% 3
51.8% 52.5% 52.8% 2.9%
50.6% 2 2.5%
1000 29.1% 2.2%
30.8% 30.0% 29.8% 29.3% 1
18.6% 1.5%
0 18.2% 17.7% 17.9% 17.1% 0
FY 14 FY 15 FY 16 FY 17 FY 18E CY 2016 CY 2017 CY 2018(p) CY 2019(P)
Agriculture (%) Industry (%) Services(%) Real GDP Growth (%)
India China United States World

 World’s 6th largest economy based on nominal GDP in CY 2017.(2)

o Nominal GDP for CY 2017: ~US$ 2.6 tn.(2)
 World’s 3rd largest economy based on GDP measured in PPP terms in CY2017.(2)
o GDP in PPP terms for CY 2017: ~US$ 9.5 tn.(2)
 India jumped up 23 notches to the 77th position from 100 during 2017-18 on the World Bank’s ‘Ease of Doing Business’ Index 2019.
 GDP growth for Q1 2018-19 (Apr-Jun) estimated at 8.2%, as against 7.0% in Q3 (Oct-Dec) and 7.7% in Q4 (Jan-Mar).(3)
 Favorable demographic profile: 66% of the population is between the age of 15 to 64 years.(4)

Source: (1) Institute of International Finance (IIF); (2) IMF World Economic Outlook October 2018. Data for CY; (3) Ministry of Statistics and Programme Implementation (MOSPI); (4) World Bank Database;
6
FYxx means financial year ended March 31, 20xx.; E- Estimated P - Projected;
 Indian Economy: Key Economic Indicators
General Government Debt (% of GDP) (1) Current Account Deficit (2) Currency Movement (4)(6)

FY 19
Centre State
FY 14 FY 15 FY 16 FY 17 FY 18 (Apr-Jun)
67.1 66.6 68.2 67.7 67.7 67.3 -14.3
-26.8 -22.1 -15.8
-32.3
16.6 -0.6% -48.7
14.9 15.2 17.6 18.6 18.7 -1.0%
-1.3%
-1.7% -2.4%
52.2 51.4 51.6 50.1 49.1 47.7
-1.9%
Nov-14 Nov-15 Nov-16 Nov-17 Nov-18
FY 14 FY 15 FY 16 FY 17 FY 18E FY 19F
Current Account Balance (US$ bn) % of GDP INR RUB BRL CNY IDR PHP

CPI Inflation Rate (2)** Key Macroeconomic Metrices

9.3%
CPI WPI Key Parameters FY10 FY14 FY18 Change
5.8% Gross National Saving (% of GDP) (3) 33.7 32.1 30.0# (210 bps)
5.2% 4.9% 4.5% 5.3% Gross Domestic Investment (% of GDP) (3) 36.3 33.8 30.6# (320 bps)
3.6%
Gross Fixed Capital Formation (% of GDP) (3) 31.7 31.2 28.5 (270 bps)
3.3%
1.7% Capital Expenditure(3)(5) 9.4 12.0 12.3## 30 bps
1.2% 2.9%
Fiscal Deficit (% of GDP) (3) 6.5 4.5 3.3## (120 bps)
Revenue Deficit (% of GDP) (3) 5.2 3.2 2.2## (100 bps)
FY 14 FY 15 FY 16 FY 17 FY 18 FY 19
(Apr-Oct) FDI Inflows (US$ bn) (2) 37.7 36.0 61.0 69.44%
Exchange Rate (INR/US$, avg.) (2) 47.4 60.5 64.4 6.45%
-3.7%
Source: (1) Institute of International Finance (IIF) Database; (2) Reserve Bank of India, Press Release and Online Database (accessed online on 20/11/2018); (3) Central Statistics Office; (4) Bloomberg (Rebased to 100);
(5) % of Total Expenditure for FY10 & FY14 and % of Budget estimate for FY19; # Data pertains to FY17 Revised Estimates; ## Data pertains to Budget Estimates FY19 ; ** Base year for CPI Inflation FY14-FY18 is 7
2012=100. (6) INR: Indian Rupee; RUB: Russian Ruble; BRL: Brazilian Real; CNY: Chinese Yuan; IDR: Indonesian Rupiah; PHP: Philippines Peso
 Sound External Sector
Trend of Merchandise Trade(1) Trend of Services Trade(2)
(US$ bn) 195
450 448 466 163 (US$ bn)
381 384 152 158 154
314 310 262 276 304 304 118
191 79 82 85 96 101
63

-102 -82 -52 -55 -71 -55

FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 (Apr-
FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 (Apr- Sep)
Exports Imports Oil Balance Oct) Exports Imports

India’s Export Pattern(1) India’s Import Pattern(1)

FY 2014 US$ 314 bn FY 2014 165 58 32 36 31 25 22 13 68

41 31 63 37 22 33 18 22 47 US$ 450 bn

FY 2018 42 38 37 36 28 27 25 23 47 US$ 303 bn FY 2018 109 75 52 40 39 32 27 22 64 US$ 466 bn

Gems & Jewellery Chemicals Petroleum Products
Petroleum Products Gems & Jewellery Electronics Items
Textiles Base Metals Agri & Allied Products Chemicals Machinery Ores & Minerals
Machinery Transport Equipments Others Base Metals Agri & Allied Products Others

 Merchandise trade (exports + imports) as percentage of GDP stood at 29.7% in FY18.(1) India’s share in global merchandise trade stood at 2.1% (2017).(3)
 India emerged as the 20th largest merchandise exporter in 2017; and accounted for 1.7% of global merchandise exports in the same year.(3)
 India is the 9th largest exporter of services in 2017, accounting for 3.4% of global services exports.(3)

8
Source: (1) MOCI/IIF; (2) Balance of Payment Statistics, RBI; (3) World Trade Organization (accessed on 20/11/2018).
 External Debt vis-à-vis External Reserves
403% 393% 391% 386% External Reserves :
371%
301% External Debt
269%
FC Assets : External Debt

71%63%94% 68%62%90% 72%67%92% 74% 69%87% 79%73%86% 80%75%87% 79%74%87% Volatile Capital Flows:
External Reserves
FCA: Short-term debt
(US$ bn)
FY13 FY14 FY15 FY16 FY17 FY 18 FY 19 (Apr-Jun)

External Debt 409.4 446.2 474.7 485.0 471.3 529.7 514.4

External Reserves 292.0 304.2 341.6 360.2 370.0 424.5 406.1

External Debt External Reserves

FY 13 FY 18 FY 13 FY 18
2% 2% 1%
Commercial 5%
6% 4% 5%
Borrowings Foreign
11% 9% Currency
Short Term
14% 34% 38% Assets
Gold
Non Resident
24%
17% Multilateral SDRs /
24% 19% 89% 94% Reserve
Bilateral Tranche
Trade Credit
 India has the 6th largest total reserves in the world[3]

(1) ‘Volatile Capital Flows’ is defined to include cumulative portfolio inflows and short-term debt (RBI). For FY18, Volatile Capital Flow data pertains to end-Dec’17; (2) Volatile Capital Flows to Reserves ratio peaked at
9
97.4% in September 2013; (3) Source: RBI/Ministry of Finance, Government of India; [3] Source: https://data.worldbank.org/indicator/FI.RES.TOTL.CD?view=chart&year_high_desc=true accessed on 27/11/2018.
 India’s Twin Balance Sheet Problem
 Investment-GDP Ratio soared by 11% points to 38% in four years to FY08.
 Expectations of sustained double digit growth by corporates.
 In three years to FY09, bank credit doubled.
 Indian companies aggressively acquired companies overseas (e.g.: TATA Steel’s
acquisition of Corus Steel, Hindalco’s acquisition of Novelis Inc).
Pre Global Financial Crisis
 Accommodative monetary policy tightened due to Post Global Financial Crisis
rise in inflation:
o Repo rates increased from 4.75% in April 2009 to
8.50% in October 2011.
 INR Depreciation added to the stress in FC debt servicing:
o USD/INR depreciated from 52.97 in February 2013 to 68.36 in August 2013.
 In 2013, 33% of corporate debt was owed by companies with ICR < 1; increased to
above 40% in late 2016.
 Capacity Utilization in Industry declined from 80.9% in Q3FY10 to 73.8% in Q1FY19.
Source: RBI Economic Survey 2016-17 & 2017-18, Bloomberg Database.
* Financial Stability Report, RBI, June 2018; # Monetary Policy Report, RBI, October 2018
 GNPA Ratio for Scheduled Commercial Banks (SCBs) soared from 2.3% as on March
31, 2008, to 11.3% as on June 30, 2018#. GNPA ratio for Public Sector Banks (PSBs)
as on March 31, 2018 was 15.6%*.
 SCB’s GNPA Ratio projected to increase to 12.2% by March 2019*.
 Bunching of bad loan recognition due to previous regulatory forbearance.
 Not a systemic failure - exogenous factors / delay in recognition.
Bad-Loan-
Encumbered Banks
Resolution
 Asset Quality Review (AQR).
 Schemes - 5:25 Flexible Refinancing, Strategic Debt Restructuring (SDR), Scheme for
Sustainable Structuring of Stressed Assets (S4A) - withdrawn w.e.f. February 12,
2018.
 The Insolvency and Bankruptcy Code, 2016 (IBC).
 Announcement of INR 2.11 tn capital infusion into PSBs, including re-capitalisation
bonds of INR 1.35 tn (INR 820 bn capital already allocated to PSBs). In July, GOI
infused INR 113 bn in 5 banks (PNB, Allahabad Bank, Andhra Bank, IOB and
Corporation Bank). INR 420 bn to be infused by mid-December. 2018
10
Economic, Institutional and Structural Reforms

 Make in India.
 Liberalisation of FDI-25 Focus Sectors.
 Relaxed FDI Norms: 100% permitted in single-brand retail and construction development.
 Aadhaar backed Direct Benefit Transfer (DBT).
 The Real Estate (Regulation and Development) Act, 2016 (RERA).
 The Insolvency and Bankruptcy Code, 2016 (IBC).
 The Banking Regulation (Amendment) Act, 2017.
 Constitution of Monetary Policy Committee (MPC) under the Monetary Policy Framework Agreement.
 Currency Exchange (Demonetisation).
 Goods and Service Tax (GST).
 Bank Recapitalisation Bonds.
 Targets set by N K Singh Committee on Fiscal Discipline:
o Debt-to-GDP ratio of 40% for Central Government, 20% for State Governments and fiscal deficit of 2.5% of GDP by FY23.
 India jumped up 23 notches to the 77th position from 100 during 2017-18 on the World Bank’s ‘Ease of Doing Business’ Index 2019:
o Among the top 10 performers consecutively for the second year
o India decreased border and documentary compliance time for both exports and imports
 Moody's upgrades India's Government bond rating to Baa2(stable) from Baa3(positive):
o Based on the reforms carried out, India’s structural credit strength and global competitiveness have improved.

11
The Exim Story

12
Bank : India’s Export Credit Agency

Genesis

Set up under an Act of Parliament in 1981 by the Government of India

Objectives
“for providing financial assistance to exporters and importers, and for functioning as the principal financial institution for coordinating the working
of institutions engaged in financing export and import of goods and services with a view to promoting the country’s international trade…”
“… shall act on business principles with due regard to public interest”

Vision

“To develop commercially viable relationships with a target set of externally oriented companies by offering them a comprehensive range of
products and services, aimed at enhancing their internationalisation efforts”

13
 Bank: Proxy to Sovereign
Ongoing Government Support

 An instrument of Government policy as India’s official Export Credit

Policy Bank Agency.

 100% owned by Government of India (“GoI”)

Insurance on
Buyers Credit 100% owned o Cannot be liquidated without GoI approval
– NEIA by GoI
Portfolio o A track record of GoI capital infusion

 Proxy to the India Sovereign in international debt markets.

Proxy to  Board of Directors are appointed by GoI
Guarantees India
on GoI Lines Sovereign in o Comprises top officials from key GoI ministries (Finance,
of Credit International
Debt Markets Commerce and Industry and External Affairs) and Reserve Bank
of India.
Directors  Guarantees are provided by GoI for Lines of Credit extended by
Appointed by
GoI Exim which are on behalf of and supported by the GoI.

 Insurance cover provided by NEIA* for assistance under Buyer’s

Credit - NEIA.
14
* National Export Insurance Account
Bank: Capital Infusion / Proxy to Sovereign

Exim’s credit rating has been on par with India

Government Capital Injection sovereign rating since its establishment

International Rating is BBB+ (Stable)

International Rating is Baa2 (Stable)

International Rating is BBB- (Stable)

International Rating is BBB- (Stable)

Domestic Rating is AAA (Stable)

o Continued GoI support evidenced by capital infusion
o Budget allocation of INR 5 bn for FY 19 from GoI towards capital,
received in July 2018 Domestic Rating is AAA (Stable)

Domestic Rating is AAA (Stable)

15
 Exim Bank’s Line of Business
Loan Portfolio[1][4] Non-Funded Portfolio[1]
Export Finance INR 1120 bn INR 135 bn Export Capability Creation
Term Loans
Lines of Credit /
CFS Working Capital

Buyer’s Credit – Export Product

NEIA Development

Export Facilitation
Pre-Shipment
Credit
Overseas
Investment
Post-Shipment Finance
Credit
Country Exposure[1][2][4] Risk Exposure[1][3]
Import Finance
Guarantees and Guarantees and
L/Cs L/Cs

16
[1]: As on September 30, 2018; [2] Excluding India; [3] Classification of Net Loans outstanding on the basis of associated Risk; [4] Exposures value of less than 1% are excluded
 Asset Quality
Gross Loans outstanding by Major Industries(1) (2)(4) Non Performing Loans(2) (3) Incremental Non Performing Loans(5)

Particulars INR bn %

As per IRAC(7) Norms 20.72 50.63%

Additional NPAs in
compliance with RBI
20.20 49.37%
Circular dated Feb 12,
2018

Total 40.92 100.00%

As per RBI guidelines the PCR (6) is 75.06% (2)

 Current NPL primarily due to downgrade of the restructured legacy assets and RBI circular on revision of extant
instructions on resolution of stressed assets.
 NPLs are essentially recognition of watchlist assets.
 49% of the Incremental NPLs during FY18 were due to revision of instruction by RBI on resolution of stressed assets.
 Credit watchlist of INR 37.46 bn for FY19 including Videocon Group Companies (60.67% of the credit watchlist). INR
26.17 bn NPAs already recognized till September 30, 2018. Current credit watchlist of INR 14.59 bn including IL&FS
% of Total Loan outstanding NPLs as % of Total GNPLs Group (INR 4.72 bn ).
 Solvency ratio for the Bank is 2.28 times as on September 30, 2018.
17
Note: [1] Excludes advances under Lines of Credit, Buyer’s Credit under NEIA and staff loans which cannot be classified under any particular sector; [2] As on September 30, 2018; [3] Excludes restructured standard Loans;
[4] Others includes industries with exposure less than 1% of the Gross Loan Outstanding; [5] During FY 2017-18; [6] PCR: Provision Coverage Ratio; [7] Income Recognition and Asset Classification Norms of RBI.
 Analysis of NPAs

Reason for Slippage of GNPAs(1) Program wise Major Non Performing Loans(1)

No. of % of
Particulars % of Total NPAs as % of
Accounts GNPAs[2] Lending Program
NPAs[2] Gross Loans[3]
Industry Downturn 48 62.64 Overseas Investment Finance 33.12% 4.28%
Impact of Global Economic Crisis 30 14.11 Export Oriented Units 20.08% 2.60%
Liquidity Issues 15 9.98
Import Finance 8.53% 1.10%
Project Cost and Time Overrun 9 11.33
Claims under Guarantee 7.95% 1.03%
Fraud 4 1.47
Marketing Problems 4 0.45 Long Term Supplier's Credit 4.91% 0.64%

Management Issues 2 0.02 Others 25.41% 3.28%

Total 112 100.00 Total 100.00 12.93

18
Note: [1] As on September 30, 2018; [2] NPAs as % of Gross NPAs of the Bank; [3] NPAs under the program as % of Gross Loans Outstanding under the Program.
 Insolvency and Bankruptcy Code: Faster NPL Resolution

Regulatory and Policy Thrust Exim’s Loan Accounts under Exposure to NCLT[1]
INR bn
Key Highlights Net
Provision Expected
 38 large defaulters identified by RBI over 2 lists. Outstanding Book
(%) Recovery
 Maximum time for resolution is 270 days under the Act. Value
(A) Exim Loans 46.92 82% 8.71 8.50
 On admission to NCLT#, resolution professional replaces existing management.
 Existing management accountable for suspect transactions in the previous (B) Guarantors
46.04 65% 16.14 8.27
three years. for Exim Loans[2]
 Upfront provisioning norms set out for banks on admission to NCLT. Total 92.96 73% 24.85 16.77
 ‘Willful defaulters‘ excluded from bidding.

• Exim Bank has 73% provision for its portfolio under NCLT.
What does it mean for Lenders?
• In the current FY, the Bank has recovered INR 10.87 bn from the
 Shift to ‘creditor in control’. accounts under NCLT.
 Process can be initiated by any creditor. • Strengthened the Specialised Group handling stressed loans and
 Short resolution time. recoveries.
 Minority dissenting financial creditors to be paid pro-rata liquidation value. • Status of stressed loans and recoveries monitored by the Audit
Committee (a sub-committee of the Board), every quarter.
 Clear priority of distribution (waterfall) upon liquidation; Government dues
subservient to secured creditors and unsecured financial creditors.

# National Company Law Tribunal;

19
[1] As on September 30, 2018; [2] Corporates under NCLT which are Guarantor to the Loans extended by Exim Bank
 Financial Highlights
Capital Strength Total Assets, Loans and Advances(1)

15.81% 1,152 1,172 1,235 1,167

14.32% 15.34% 14.55% 984 1,026 1,075 1,017
871 991
1.52% 849
1.54% 1.51% 746
1.54% 10.35% 9.85%
1.53% 1.18%
12.78% 13.80% 14.29%
13.04%
8.82% 8.67%

FY14 FY15 FY16 FY17 FY18 1HY19 FY14 FY15 FY16 FY17 FY18 1HY19
Tier I (%) Tier II (%) CAR (%) Total Assets (INR bn) Loans and Advances (INR bn)

Profitability
2.14%
1.97%
2.67%
2.17%
1.70%

16.52
18.12

25.30

61.61
24.10

13.90

20.74

22.72
20.76

24.81
19.39
21.68

19.31

14.21
21.62

1.38%
7.10

9.39
7.26

3.16

0.41

8.70
7.83

(5.08)
(29.24)
FY14 FY15 FY16 FY17 FY18 1HY19

Operating Profit (INR bn) Net Interest Income (INR bn) Provisions (INR bn) Net Profit (INR bn) NIM (%)

[1] Includes loans and advances to industrial concerns, scheduled banks, foreign governments and other financial institutions and bills of exchange and promissory notes discounted / rediscounted. Amounts stated are net
20
of provisions for non-performing loans (NPLs).
 Profitability Analysis
Analysis of Operating Profit for FY 2017-18 Breakup of Provisions
INR mn INR mn

Particulars Actuals Anticipated[1] Particulars Actuals Anticipated[1]

Less: Aging Provision for NPAs 10,625 10,624
Normal Operating Profit 21,907 21,907
Less: Provision for Incremental NPAs in “ Normal
Less: Interest Income Reversal on account 8,474 8,474
1,378 1,346 Course”
of NPAs
Less: Provision for Incremental NPAs on account
3,234 -
Less: Interest Income of LOCs not booked of RBI’s circular dated February 12, 2018
1,217 1,217
due to overdues past 90 days
Less: Incremental provisions on account of NCLT 2,703 -
Operating Profit for FY 2017-18 19,311 19,344
Less: Provision for Videocon accounts 17,044 -
Less: Provision for Gitanjali accounts 1,804 451
Provision for Contingencies 61,610 37,374
Less: Provision for Standard Assets -2,310 -2,209
Less: Provision for SRs 3,113 3,113
Profit / (Loss) Before Tax (42,298) (18,031)
Provision for Tax 1,646 1,657 Less: Provision for depreciation on GOI-Secs 1,116 1,116
Deferred Tax (14,707) (6,320) Less: Provision on other investments 1,350 1,350
Total Provision for Tax (Net of DTA) (13,061) (4,662) Less: Bad Debts 14,456 14,456
Profit / (Loss) After Tax (29,237) (13,368) Total: Provision for Contingencies 61,610 37,374

[1]: As anticipated prior to RBI circular dated February 12, 2018, on revision of extant instructions on resolution of stressed assets 21
 Asset Liability Management

Foreign Currency Asset Liability Gaps[1] Total Resources/ Loans[1]

Total Resources Total Loans and Deposits

 Fully hedged position on currency and basis risk. Both Assets and Liabilities on floating LIBOR basis.
 Exim Bank’s quasi sovereign status enables issuance at benchmark rates.
 Debut 10 year 144A issuance in July 2016 and the second 10 year 144A issuance in January 2018 for USD 1 bn each under GMTN Program.
 Regular issuer in the International debt markets with 25 issuances since 2004 under the MTN including 4 Uridashi and 2 144A issuances. 4 Samurai issuances
since February 2006.
 Issuances across currencies including AUD, CHF, CNY, JPY, MXN, SGD, TRY and ZAR
22
[1] As on September 30, 2018
 Issuances in International Debt Markets

•USD 250 mn Reg-s •AUD 39 mn + JPY

•JPY 5.55 bn Reg-s • USD 200 mn Reg-s 2.90 bn + ZAR 370
•USD 500 mn Reg-s •USD 1 bn 144A /
• JPY 15 bn Reg-s mn Reg-s (Uridashi)
•JPY 23 bn Samurai •JPY 20 bn Samurai Reg-S
• JPY 20 bn Samurai •USD 500 mn Reg-s •USD 500 mn Reg-s
•JPY 26 bn Samurai
• USD 110 mn Reg-s •SGD 250 mn Reg-s
•USD 50 mn Reg-s
•USD 750 mn Reg-s
•JPY 24 bn Reg - S

Upto March 2009 | FY 2009-10 | 2010-11 | 2011-12 | 2012-13 | 2013-14 | 2014-15 | 2015-16 | 2016-17 | 2017-18

•USD 500 mn Reg-s

•AUD 200 mn Reg-s •CNY 300 mn Reg-s •USD 400 mn Reg-s
•JPY 11.27 bn + MXN •CNY 300 mn Reg-s (Formosa)
•USD 150 mn Reg-s •CHF 190 mn Reg - S 286.10 mn + TRY 59.60 •AUD 164.50 mn + •USD 1 bn 144A /
•USD 300 mn Reg-s mn Reg-S (Uridashi) USD 42.80 mn Reg-s Reg-s
•JPY 15 bn Reg-S (Uridashi)
(Uridashi) •USD 500 mn Reg-s

23
Samurai Issuance; Uridashi Issuance; 144A Issuance
Exim Bank - Board of Directors
Ramesh Abhishek T.S. Tirumurti
Secretary, Department of Industrial Policy and Promotion, Ministry of Commerce Secretary (Economic Relations), Ministry of External Affairs
and Industry

Anup Wadhawan Kalyanaraman Rajaraman

Secretary, Department of Commerce, Ministry of Commerce and Industry Additional Secretary (Investment), Department of Economic Affairs, Ministry of Finance

Pankaj Jain Michael Debabrata Patra

Joint Secretary, Department of Financial Services, Ministry of Finance Executive Director, Reserve Bank of India

Rajnish Kumar Geetha Muralidhar

Chairman, State Bank of India Chairman-cum- Managing Director, ECGC Ltd.

Dinabandhu Mohapatra Rajkiran Rai Gundyadka

Managing Director and CEO, Bank of India Managing Director and CEO, Union Bank of India

David Rasquinha Debasish Mallick

Managing Director Deputy Managing Director

Directors representing Ministries of Finance, Commerce and External Affairs Director representing regulator - RBI

24
Directors representing major Indian Public Sector Banks Director representing India’s Export Credit Insurance Company Whole Time Directors
Exim Bank - Senior Management

Highly Experienced Management Team with Government of India (GoI) Sponsorship

Mr. David Rasquinha, Managing Director

 Mr. David Rasquinha has been appointed by GoI as Managing Director of Exim since August 2017.
 He has been with Exim since 1985 and prior to his current role he has held post of Deputy Managing Director. He has handled a wide range of
functions including Lines of Credit and Trade Finance and was Representative at Exim’s Washington DC Rep Office from 1999–2004.
 Mr. Rasquinha holds a first class graduate degree in Economics from Mumbai University and a post graduate qualification in Business Management
from the XLRI, Jamshedpur.

Mr. Debasish Mallick, Deputy Managing Director

 Mr. Debasish Mallick has been appointed by GoI as Deputy Managing Director of Exim since July 2014.
 Mr. Mallick was the Managing Director and CEO of IDBI Asset Management Company Ltd and has nearly three decades of experience in the Banking
industry. He has vast experience in the areas of Corporate Banking, International Banking, Resource Mobilisation and Treasury, among others.
 He holds a post-graduate degree in Economics and is a Certified Associate of Indian Institute of Bankers.

25
Exim Bank - Institutionalised Risk Management Culture
 Officer of the rank of Chief General Manager designated as Chief Risk Officer for credit, market and operational risks.
Risk Management Group
 Tasked with risk management of the Bank’s business processes and driving the Bank’s risk management strategy.

Asset-Liability  Chaired by Deputy Managing Director and comprises Group Heads of Business Groups, Treasury and Accounts Group, and the
Management Committee Chief Risk Officer.
(ALCO)  It addresses issues of asset-liability management, interest and exchange rate risks, liquidity risk, etc.

 Chaired by Deputy Managing Director and comprises Group Heads of Business Groups, Treasury and Accounts Group, and the
Credit Risk Chief Risk Officer.
Management Committee
(CRMC)  The CRMC addresses rating and pricing standards, prudential limits on various exposure categories (country, sector, single and
group borrower and unsecured exposures, program-wise exposures etc.), provisioning, sector-wise outlook, etc.

 Chaired by Deputy Managing Director and comprises senior executives who do not have direct line responsibilities and the Chief
Risk Officer.
Integrated Risk  Reviews Bank’s risk profile, risk concentrations, operational risk, compliance with prudential limits and overseeing the operations
Management Committee of CRMC and ALCO.
 Reviews the Bank’s risk management policies, investment policies and strategy, and regulatory and compliance issues in relation
thereto.

 Chaired by Deputy Managing Director and comprises of directors appointed on to the Board by the respective institutions (IDBI,
ECGC) or the Central Government and the Chief Risk Officer.
Audit Committee  RMC is responsible for implementing the Risk Management Policy of the Bank, monitoring adherence to various risk limits
specified by the RBI / Board, evaluation of overall risks faced in the activities of the Bank and also reviewing the roles and
responsibilities of other Risk management Committees.

26
Appendix

27
Financial Highlights
Balance Sheet

Figures in INR mn FY14 FY15 FY16 FY17 FY18 HY19

Cash and Bank Balance 51,241 45,119 54,438 36,909 28,155 12,878
Investments 39,163 49,820 53,555 51,029 56,969 52,788
Loans and Advances(1) 745,983 849,100 991,168 1,026,410 1,075,321 1,017,441
Fixed Assets 807 1,041 1,002 1,298 1,259 1,203
Other Assets 34,296 39,169 52,015 56,427 73,486 82,605
Total Assets 871,490 984,249 1,152,178 1,172,074 1,235,190 1,166,914
Paid up Capital & Reserves(2) 83,097 99,026 114,868 120,239 96,002 101,002
Deposits 23,728 20,145 20,958 3,726 2,861 2,852
Notes, Bonds and Debentures 548,868 654,814 758,416 806,930 865,817 773,092
Borrowings 142,225 112,146 153,792 150,073 172,973 181,799
Profit and Loss Account 73,572 98,118 316 41 - (5,079)
Other Liabilities & Provisions 871,490 984,249 103,828 91,065 97,537 113,249
Total Liabilities 83,097 99,026 1,152,178 1,172,074 1,235,190 1,166,914

Note: (1) Includes loans and advances to industrial concerns, scheduled banks, foreign governments and other financial institutions and bills of exchange and promissory notes discounted/rediscounted.
28
Amounts stated are net of provisions for non-performing loans (NPLs). ; (2) Includes paid-up capital and reserves.
Financial Highlights
Profit and Loss Summary
Figures in INR mn FY14 FY15 FY16 FY17 FY18 HY19
Interest Earned 68,464 71,479 82,938 84,411 82,384 42,988
Interest Expended 46,840 53,355 60,221 65,022 65,863 35,155
Net Interest Income 21,624 18,124 22,717 19,389 16,521 7,833
Non-Interest Income 4,301 4,728 4,873 7,942 5,399 2,311
Operating Income 25,925 22,852 27,590 27,331 21,920 10,144
Non-interest Expense 1,826 2,109 2,292 2,525 2,608 1,444
Provisions and Contingencies 17,001 13,484 22,140 21,680 61,610 14,207
Net Profit 7,098 7,259 3,158 412 (29,237) (5,079)

Key Ratios

FY14 FY15 FY16 FY17 FY18

Net Interest Margin 2.67% 1.97% 2.17% 1.70% 1.41% 1.23%
Gross NPA 2.10% 2.94% 4.17% 9.24% 10.37% 12.93%
Net NPA 0.43% 0.60% 0.86% 4.68% 3.75% 4.14%
ROAA 0.85% 0.79% 0.29% 0.04% -ve -ve
ROAE 9.24% 7.89% 2.93% 0.62% -ve -ve
CRAR 14.32% 15.34% 14.55% 15.81% 10.35% 9.85%

29
30