The year 2017-18 has been a crucial year of change and challenges for the bankingsector. Major reforms initiated by the Government have encouraged a digital environmentwhich in turn has given the much-needed thrust to the vision of a cashless economy.Against this backdrop your Bank has executed new propositions to enhance customerconvenience basis responsive innovation. The year 2017-18 was also marked by your Bank'sdesire of Bringing India to Bharat' by extending the bene3ts and features ofdigitisation (India) to Bharat (rural India) as they are an integral part of a progressiveeconomy.
To elucidate further the urban parts of our country are su3ciently exposed to Bankingand Fintech - making many tenured customers familiar with digital banking and mobile apps.In contrast there are many individuals in semi-urban and rural India who are yet toexperience the bene3ts of a structured 3nancial system. At IndusInd Bank we are committedto change this scenario for the better. Towards this we have begun introducing thecombination / bene3ts of Finance and Technology to the poor and hitherto the unbankedmasses leading to 3nancial inclusion and sustainable livelihood creation.
In fact the decision to merge Bharat Financial Inclusion Ltd. (BFIL) into IndusIndBank announced in October 2017 was prompted by the same endeavour: Bring India to Bharatand create a stronger and more sustainable platform for Financial Inclusion. The merger isa good 3t to your Bank's rural banking and micro3nance theme and has provided the Bankwith access to best-in-class micro-lending capabilities and domain expertise inmicro3nance. BFIL has 1408 branches across 347 districts which complement IndusInd Bank's1400-strong branch network (including ~250 rural branches) and 999 vehicle 3nanceoutlets. Post the merger the Bank will have 3600-plus banking points (excluding ATMs)serving more than 16.8 million customers.
Another notable initiative of your Bank has been the journey towards CustomerExperience (CEX) transformation and the Customer First' philosophy that has madegood progress in integrating the business and behavioural mindsets of employees towardscustomers. We have tried to rede3ne the Customer Journeys across the Bank and havefocussed on embedding the principles of convenience - Seamless Easy Fast Transparentinto the core of our organisation.
The year 2017-18 has also been a year of major partnerships and collaborations withwell established brands to o3er a personalised Customer Convenience. In its endeavour tostitch up the fragmented but fast growing payment ecosystem your Bank entered intopartnerships with Fintech and Government entities viz. MobiKwik and Delhi Metro to o3erco-branded mobile wallets and cards in order to provide seamless payment experiencebetween the customers' bank accounts and their wallet / transit cards.
That's not all. Your Bank collaborated with a leading app aggregator to launch the'All-in-One Store' that allows users to access multiple m-commerce services via native APIintegrations. With this the customers are now experiencing seamless and highlypersonalised services of ordering food booking movie tickets or getting a cab. And allthis using the IndusMobile app.
At IndusInd Bank we remain focused on running our business in a way which generatesvalue for our customers employees and other stakeholders. We realise that we need toextend our sphere of activities beyond business. One such initiative is harnessing thepower of Sport for Change through our IndusInd For Sports' initiative. This yearwe launched our third marquee programme under the Sports Vertical - The Girl PowerProgramme - an initiative in partnership with Inspire Institute of Sport the sporting armof JSW Steel.
Our Net Pro3t rose 26 per cent in the year to `3606 crores. Net Interest Income was up24 per cent at `7497 crores. Non-Interest Income rose 14 per cent to `4750 crores. TheReturn-on-Assets stood at 1.90 per cent. Total Advances and Deposits grew by 28 per centand 20 per cent respectively.
It is gratifying to see that our hard work throughout the year was acknowledged andrewarded by numerous accolades. We were honoured by 'The Forrester Indian Mobile BankingBenchmark Report 2017' as the 3rd Best Bank amongst the participating banks forIndusMobile App. We were mentioned amongst the winning category for the Best IT Risks andCyber Security Initiatives Best Payment Initiatives. We bagged the runner-up category forthe Best Financial Inclusions initiatives and for the Best Technology Bank.
I would like to thank the regulatory authorities and agencies for their constantsupport. Finally my sincere appreciation to my colleagues and members of the Board forguiding and supporting the management team in its endeavours.
|Yours Sincerely |
|Romesh Sobti |
|Managing Director & CEO |