Dear Shareholders,
 
 The Board of Directors and the Management Team of IDBI Bank are
 privileged to present the Bank''s Annual Report for the Financial Year
 2010-2011. I am extremely happy to state that we have been able to
 exhibit robust financial performance during last financial year. I
 attribute this success to the stellar efforts of our employees in
 delivering impeccable banking service to your Bank''s customers.  This
 Annual Report takes you through the odyssey of your Bank during the
 previous financial year and presents before you the fruits of this
 journey. Also, I am grateful to all the stakeholders for extending
 support and co-operation to me during first year of my tenure as CMD of
 your Bank.
 
 As rightly stated by our Hon''ble Union Finance Minister Shri Pranab
 Mukherjee, Indian banking sector is one of the most secured in the
 world. Good economic growth, favourable demographics and
 under-penetration is benefiting the growth of banking sector in the
 country. Indian economy grew by 8.5% last fiscal and all of us expect
 the growth momentum to continue this year as well. To capitalize on
 this, your Bank will continue providing a delightful experience to its
 customers across all branches in the country. We remain focused on
 partnering India''s growth for the long-term and also are expanding the
 Bank''s branch network in a bid to promote financial inclusion in the
 country.
 
 Banking operations have become very customer centric in India.  With
 phenomenal rise in the country''s young population and increased demand
 for banking services, speed, service quality and customer satisfaction
 have become key parameters to succeed in the Indian banking sector. The
 presence of foreign and new-generation private banks in India, and the
 paradigm shift in management style of state-owned banks in the country
 have stressed the strategic importance of satisfaction, quality and
 loyalty for winning consumer preferences and maintaining sustainable
 competitive advantages.  Your Bank is fully prepared to meet the
 competition. IDBI Bank believes in customer delight that reiterates the
 philosophy of Mahatma Gandhi: A customer is the most important visitor
 on our premises; he is not dependent on us. We are dependent on him.
 He is not an interruption in our work. He is the purpose of it. He is
 not an outsider in our business. He is part of it. We are not doing him
 a favor by serving him. He is doing us a favor by giving us an
 opportunity to do so.
 
 In the years to come, your Bank''s focus on growth in retail business
 would continue, without compromising its pre-eminent position in the
 corporate banking business. IDBI Bank today rides on the back of a
 robust business strategy, highly skilled, dedicated and young but
 experienced workforce and efficient organization structure.  Your Bank
 is taking all the necessary steps to be an effective partner to every
 Indian in fulfiling their dreams and aspirations.
 
 With best wishes to each one of you and your family members.
        
                                                    Yours s incerely,
 
                                                        R. M. Malla 
  
 April 19, 2011                          Chairman & Managing Director