Growth Driver of HDFC Bank & ways to increase ROE of the bank by understanding various banks products and also understanding the value tree which can significantly help the bank to improve it's ROE

2. METRICS Mar-20 Mar-19 Mar-18
CASA RATIO 42.18 42.35 43.48
GROSS & NET NPA 1.26% & 0.36% 1.36% & 0.39% 1.3% & 0.4%
NET INTEREST MARGIN 3.79% 3.97% 3.88%
OTHER INCOME/OPERATING COST 75.3% 67.84% 67.07%
CAPITAL ADEQUACY RATIO 18.9% 16.9% 14.82%
DEBT / EQUITY 7.95% 7.34% 9%

3. 1
2
3
45
6
7
Increasing
customer
base
Operational
efficiency
Geographic
-al
Reach
Wide
range of
Products /
Services
Healthy
asset
quality
Lower
cost
of funds
Re-Imagining the
branch channel
Leadership in
the payments
business
Strengthening presence
In semi-urban & rural
regions
Virtual Relationship
Management
Digitization
Subsidiaries
Environmental, Social
and Governance (ESG)

4. RETURN ON
EQUITY
PAT
OPERATING
COST
DEPRECIATION
TAX
REDUCTION OF
CLIENT LOSS RATE
CUSTOMER
RETENTION/ NEW
CUSTOMER ACQ
REDUCTION OF
EXPANSION COST
DIVERSE
PRODUCT/ADDITIO
NAL SERVICE
MANPOWER COST
3rd PARTY PRODUCT
PROCESSING FEE
TURN AROUND TIME
SOCIAL MEDIA
MARKETING/DIGITAL
PRESENCE
AUTOMATION( USE OF
AI & CLOUD
PLATFORMS)
DATAANALYTICS
INCREASE
EFFICENCY &
PRODUCT
TARGET, FOLLOW
UP, TIE UPS WITH
INSTITUTION
PERIODIC
TRAINNING
USE OF CREDIT
SCORE
USE OF SALE
ENABLEMENT
TOOLS
RESOLVING DAILY
& REPETITIVE
PROBLEMS
USE OF SCORECARD
CUSTOMER
RETENTION/ NEW
CUSTOMER ACQ
3rd PARTY PRODUCT
REDUCTION OF
EXPANSION COST
CUSTOMER
RETENTION/ NEW
CUSTOMER ACQ
3rd PARTY PRODUCT
MANPOWER COST
INCREASE
EFFICENCY &
PRODUCT
TARGET, FOLLOW
UP, TIE UPS WITH
INSTITUTION
MANPOWER COST INCREASE
EFFICENCY
DIVERSE
PRODUCT/ADDITIO
NAL SERVICE
REDUCTION OF
EXPANSION COST
MANPOWER COST