Exhibit I

New York Stock Exchange
New York
USA

Dear Sir,

We attach herewith the Audited Financial Results for the year ended 31^st March, 2007, segment reporting, summarized Balance Sheet as on 31^st March, 2007 and the press release in duplicate duly approved at the Board meeting held today.

We shall publish the results in the Business Standard and Mumbai Sakal within 48 hours from the conclusion of the Board meeting.

We are also pleased to inform that the Board of Directors have recommended dividend of Rs 7.00 per equity share of Rs.10/- each (i.e. 70 %) for the year ended 31^st March, 2007.

This is for your information and records.

Thanking you,

Yours faithfully,
For HDFC Bank Limited

Sanjay Dongre
Vice President (Legal) &
Company Secretary

NEWS RELEASE

HDFC BANK LIMITED FINANCIAL RESULTS
FOR THE YEAR ENDED MARCH 31, 2007

The Board of Directors of HDFC Bank Limited approved the annual audited (Indian GAAP) accounts for the year ended March 31, 2007 at their meeting held in Mumbai on Tuesday, April 24, 2007.

Financial Results:

Profit & Loss Account : Quarter ended March 31, 2007

For the quarter ended March 31, 2007, the Bank earned total income of Rs.2,384.2 crores as against Rs.1,682.7 crores in the corresponding quarter ended March 31, 2006, registering a growth of 41.7%. Net revenues (net interest income plus other income) were Rs.1,512.1 crores for the quarter ended March 31, 2007, an increase of 44.9% over Rs.1,043.6 crores for the corresponding quarter of the previous year. Interest earned (net of loan origination costs) increased from Rs.1,378.5 crores in the quarter ended March 31, 2006 to Rs.1,989.8 crores in the quarter ended March 31, 2007, up by 44.3%. Net interest income (interest earned less interest expended) for the quarter ended March 31, 2007 increased by 51.2% to Rs.1,117.7 crores, driven by average asset growth of 27.0% and an increase in core net interest margin to 4.5%. The sharp increase in net interest margin during the quarter was due to higher transactional floats, an increase in lending rates and a tactical move to temporarily reduce bulk fixed deposits in the quarter due to the then prevailing high interest rates.

Other income for the quarter ended March 31, 2007 was up by 29.7% to Rs.394.4 crores, consisting primarily of fees & commissions of Rs.356.3 crores, foreign exchange & derivatives revenues of Rs.103.3 crores, and loss on sale & revaluation of investments of Rs.65.6 crores, as against Rs.336.7 crores, Rs.46.3 crores and Rs.86.8 crores respectively for the quarter ended March 31, 2006. Losses on sale & revaluation of investments during the quarter were primarily a result of mark-to-market of non-SLR investments, reflecting the sharp increase in short term yields in the debt market in March 2007. A large portion of the non-SLR investments were bonds in which the bank had invested in previous years for meeting priority sector requirements. Operating expenses for the quarter at Rs.683.9 crores, were

45.2% of net revenues as against 46.2% of net revenues for the corresponding quarter of the previous year. Provisions and contingencies for the quarter were Rs.330.3 crores (against Rs.181.6 crores for the corresponding quarter ended March 31, 2006), and primarily comprised specific loan loss provisions & general provisions for standard assets of Rs.260.9 crores and amortisation of premia (for investments in the Held to Maturity category) of Rs.63.2 crores, as against Rs.110.3 crores and Rs.71.7 crores respectively for the corresponding quarter ended March 31, 2006. In January 2007, the Reserve Bank of India increased the general provision requirement for certain standard assets such as personal loans, credit card receivables, capital market exposures and real estate exposures resulting in an extraordinary one-time general provision of Rs.121.1 crores, which is included in the Rs.330.3 crores provisions made in the quarter. After providing Rs.154.4 crores for taxation, the Bank earned a Net Profit of Rs.343.6 crores, a 30.5% increase over the quarter ended March 31, 2006.

Profit & Loss Account : Year ended March 31, 2007

For the year ended March 31, 2007, the Bank earned total income of Rs.8,405.3 crores as against Rs.5,599.3 crores in the corresponding period of the previous year. Net revenues (net interest income plus other income) for the year ended March 31, 2007 were Rs.5,225.8 crores, up 42.4% over Rs.3,669.8 crores for the year ended March 31, 2006. Net Profit for year ended March 31, 2007 was Rs.1,141.5 crores, up 31.1%, over the corresponding year ended March 31, 2006.

Balance Sheet: As of March 31, 2007

During 2006-07, the Bank’s total balance sheet size increased by 24.1% to Rs.91,236 crores. Total deposits increased by Rs.12,501 crores from Rs.55,797 crores (as of March 31, 2006) to Rs.68,298 crores (as of March 31, 2007), of which savings account deposits were Rs.19,585 crores and current account deposits were Rs.19,812 crores. In the January to March, 2007 quarter, term (fixed) deposit rates in the banking system increased sharply to levels which the bank considered unattractive and unsustainable. The Bank, therefore, allowed some of its wholesale deposits to run-off, without affecting the liquidity position of the bank. As a result, demand (CASA) deposits were around 55% of total deposits during the last quarter as against the average proportion of around 50% through the financial year. During 2006-07, gross advances grew by 29.6% to Rs.49,780 crores. This was driven by a growth of 33.4% in retail advances to Rs.28,327 crores, and an increase of 24.9% in wholesale advances to Rs.21,452 crores. The bank’s core customer assets (advances plus credit substitutes like commercial paper, corporate bonds etc.)

increased by 28.2% to Rs.49,991 crores in March 2007. In addition, the bank held Rs.3,724 crores of investments in mortgage backed and asset backed securities where the underlying assets were primarily home loan and commercial vehicle/car loans receivables. Total customer assets (including securitisation investments) were therefore Rs.53,715 crores as of March 31, 2007.

Dividend:

The Board of Directors recommended an enhanced dividend of 70% for the year ended March 31, 2007, as against 55% for the previous year. This would be subject to approval by the shareholders at the next annual general meeting.

Capital Adequacy:

The Bank’s total Capital Adequacy Ratio (CAR) as at March 31, 2007 stood at 13.1% as against the regulatory minimum of 9.0%. Tier-I CAR was 8.6%.

During 2006-07, the Bank raised Rs.410 crores of subordinated debt qualifying as Lower Tier II capital, Rs.1,085 crores of Upper Tier II capital (including US$ 100 million in foreign currency) and Rs.200 crores of perpetual debt qualifying as Hybrid Tier I capital.

Business Update:

The year ended March 31, 2007, saw a healthy expansion in the bank’s distribution network with the total number of branches (including extension counters) increasing from 535 (in 228 cities) to 684 (in 316 cities) and the number of ATMs from 1,323 to 1,605. Based on receipt of regulatory approvals for new branches, the entire branch expansion was done in the second half of the year, with 101 branches being opened only in the last quarter. The bank’s focus on semi-urban and under-banked markets continued, with 61.8% of the bank’s branches now outside the top 9 cities. The bank also extended almost half of its retail loans in these non-metro markets. During the year, the bank consolidated its position as one of the leading players in various retail loan and card products and as a leading distributor of third party products like mutual funds and insurance.

During 2006-07, the bank also achieved healthy growth in its agriculture financing, micro-finance and SME financing activities. With products including the Kisan Gold Card, rural supply chain initiatives and commodity finance covering the entire agriculture financing cycle, the bank’s direct agriculture lending increased by 40% during the year. The business banking and emerging corporate customer segments witnessed strong growth driven by a wide range of offerings including working capital & term finance, cash management services, foreign exchange products and electronic banking. During the year, the bank’s corporate banking, financial institutions and treasury businesses also continued to expand with cash management and trade services volumes growing by 31% and 19% respectively over the previous year. The bank’s business mix based on revenues was well balanced between retail and wholesale businesses with the former contributing to 53% of net revenues and the latter contributing to 46% of net revenues.

Portfolio quality as of March 31, 2007 remained healthy with gross non-performing assets at 1.2% and net non-performing assets at 0.4% of customer assets. The Bank’s strategy of balancing growth, margins and asset quality held it in good stead. As a result, asset quality, delinquencies and losses remained largely within product parameters for various loan products. The Bank’s provisioning policies for specific loan loss provisions remained higher than regulatory requirements.

Note: (i) Rs. = Indian Rupees
(ii) 1 crore = 10 million
(iii)All figures and ratios are in accordance with Indian GAAP

Certain statements are included in this release which contain words or phrases such as “will,” “aim,” “will likely result,” “believe,” “expect,” “will continue,” “anticipate,” “estimate,” “intend,” “plan,” “contemplate,” “seek to,” “future,” “objective,” “goal,” “project,” “should,” “will pursue” and similar expressions or variations of these expressions that are “forward-looking statements.” Actual results may differ materially from those suggested by the forward-looking statements due to certain risks or uncertainties associated with our expectations with respect to, but not limited to, our ability to implement our strategy successfully, the market acceptance of and demand for various banking services, future levels of our non-performing loans, our growth and expansion, the adequacy of our allowance for credit and investment losses, technological changes, volatility in investment income, cash flow projections and our exposure to market and operational risks. By their nature, certain of the market risk disclosures are only estimates and could be materially different from what may actually occur in the future. As a result, actual future gains, losses or impact on net income could materially differ from those that have been estimated.

In addition, other factors that could cause actual results to differ materially from those estimated by the forward-looking statements contained in this document include, but are not limited to: general economic and political conditions in India and the other countries which have an impact on our business activities or investments; the monetary and interest rate policies of the government of India; inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices; the performance of the financial markets in India and globally; changes in Indian and foreign laws and regulations, including tax, accounting and banking regulations; changes in competition and the pricing environment in India; and regional or general changes in asset valuations.

FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2007

(Rs. in lacs)

		Quarter ended			Quarter ended			Year ended			Year ended
		31-3-2007			31-3-2006			31-3-2007			31-3-2006
	Particulars	(unaudited)			(unaudited)			(audited)			(audited)
1	Interest Earned (a) + (b) + (c) + (d)		198976			137850			688902			447534
a	Interest / discount on advances / bills		129525			82266			433415			270020
b	Income on investments		60096			51260			229862			163166
c	Interest on balances with Reserve Bank of India and other inter bank funds		9315			4294			25294			14255
d	Others		40			30			331			93
2	Other Income		39443			30415			151623			112398
A	Total Income (1+2)		238419			168265			840525			559932
3	Interest Expended		87205			63909			317945			192950
4	Operating Expenses ( e) + (f)		68393			48232			242080			169109
e	Payment to and provision for employees		21533			13756			77686			48682
f	Other operating expenses		46860			34476			164394			120427
B	Total Expenditure (3) + (4) (excluding provisions & contingencies )		155598			112141			560025			362059
C	Operating Profit (A – B) (Profit before provisions and contingencies)		82821			56124			280500			197873
D	Other Provisions and Contingencies		33028			18160			116625			72522
E	Provision for Taxes		15436			11643			49730			38273
F	Net Profit (C-D-E)		34357			26321			114145			87078
5	Paid up equity share capital (face value Rs. 10 each)		31939			31314			31939			31314
6	Reserves excluding revaluation reserve								611376			498639
7	Analytical Ratios:
A	Percentage of shares held by Government of India	Nil			Nil			Nil			Nil
B	Capital adequacy ratio		13.1	%		11.4	%		13.1	%		11.4	%
C	Earnings per share (face value Rs. 10/- each)
	Basic		10.9			8.4			36.3			27.9
	Diluted		10.8			7.9			36.1			26.3
8	Aggregate of Non-promoter shareholding
	-No. of shares		250528608			244281408			250528608			244281408
	-Percentage of shareholding		78.4	%		78.0	%		78.4	%		78.0	%

Segment information in accordance with the Accounting Standard on Segment Reporting (AS17) of the three operating segments of the Bank is as under:

(Rs. in lacs)

	Quarter ended		Quarter ended			Year ended		Year ended
	31-3-2007		31-3-2006			31-3-2007		31-3-2006
Particulars	(unaudited)		(unaudited)			(audited)		(audited)
1. Segment Revenue
a) Retail Banking		217361		159279			776488		517384
b) Wholesale Banking		149442		86140			509446		285338
c) Treasury		24167		24845			71045		77389
Total		390970		270264			1356979		880111
Less: Inter Segment Revenue		152551		101999			516454		320179
Income from Operations		238419		168265			840525		559932
2. Segment Results
a) Retail Banking		21326		31921			87571		70167
b) Wholesale Banking		25720		5147			74674		53787
c) Treasury		2747		896			1630		1397
Total Profit Before Tax		49793		37964			163875		125351
3. Capital Employed
(Segment Assets-Segment Liabilities)
a) Retail Banking		223761		(1316	)		223761		(1316	)
b) Wholesale Banking		257770		207260			257770		207260
c) Treasury		127627		302572			127627		302572
d) Unallocated		34157		21437			34157		21437
Total		643315		529953			643315		529953

Note on segment information

The reportable primary segments have been identified in accordance with the Accounting Standard on Segment Reporting (AS-17) issued by the Institute of Chartered Accountants of India (ICAI).

The Bank operates in three segments: retail banking, wholesale banking and treasury services. Segments have been identified and reported taking into account, the target customer profile, the nature of products and services, the differing risks and returns, the organisation structure and the internal business reporting systems.

NOTES:

1.	The above results have been approved by the Board at its meeting held on April 24, 2007.
2.	The Board of Directors at their meeting proposed a dividend of Rs. 7 per share, subject to the approval of the members at the ensuing Annual General Meeting. Dividend paid will be tax free in the hands of the shareholders.
3.	During the quarter and the year ended March 31, 2007, the Bank allotted 4240200 shares and 6247200 shares respectively pursuant to the exercise of stock options by certain employees.
4.	During the year ended March 31, 2007, the Bank granted 3586500 stock options under its scheme titled “ESOS VIII” and 3046800 stock options under its scheme titled “ESOS IX” to its employees. The grant price of these options is Rs. 994.85, being the closing market price as on the working day immediately preceding the date of grant of options.
5.	Other income relates to income from non-fund based banking activities including commission, fees, foreign exchange earnings, earnings from derivative transactions and profit and loss (including revaluation) from investments.
6.	Provision for Taxes includes Rs. Nil and Rs. 1,200 lacs towards provision for Fringe Benefit Tax (FBT) for the quarter and the year ended March 31, 2007, respectively.
7.	Operating expense includes Rs. 8967 lacs and Rs. 34464 lacs towards professional fees and Rs. 5298 lacs and Rs. 21960 lacs for depreciation on bank’s property for the quarter and the year ended March 31, 2007, respectively.
8.	During the year, the Bank raised Rs. 63590 lacs as Upper Tier II capital at an annualized coupon ranging between 8.80 % to 9.20 %. The Bank also raised foreign currency borrowing of USD 100 million as Upper Tier II capital at an annualized coupon rate of 6-month USD LIBOR plus 120 bps. The bank raised Rs. 41000 lacs as Lower Tier II capital at an annualized coupon ranging between 8.45% to 9.10%. The Bank raised further Rs. 20000 lacs as unsecured non-convertible subordinated perpetual bonds (Innovative perpetual debt instruments) in the nature of debentures for inclusion as Tier I capital at an annualized coupon of 9.92 % payable semi annually.
9.	As on March 31, 2007, the total number of branches (including extension counters) and the ATM network stood at 684 branches and 1605 ATMs respectively.
10.	Information on investor complaints pursuant to Clause 41 of the listing agreement for the quarter ended March 31, 2007:
	Opening: nil; Additions: 47; Disposals: 47; Closing: nil.
11.	Previous period figures have been regrouped/reclassified wherever necessary to conform to current period’s classification.
12.	Rs. 10 lacs = Rs. 1 million Rs. 10 million = Rs. 1 crore

Place: Mumbai	Aditya Puri
Date: April 24, 2007	Managing Director

(Rs. in lacs)

Summarised Balance Sheet	As at 31-03-2007		As at 31-03-2006
CAPITAL AND LIABILITIES
Capital		31939		31314
Reserves and Surplus		611376		498639
Employees’ Stock Options (Grants) Outstanding		—		7
Deposits		6829794		5579682
Borrowings		281539		285848
Other Liabilities and Provisions		1368913		955149
Total		9123561		7350639
ASSETS
Cash and balances with Reserve Bank of India		518248		330661
Balances with Banks and Money at Call and Short notice		397140		361239
Investments		3056480		2839396
Advances		4694478		3506126
Fixed Assets		96667		85508
Other Assets		360548		227709
Total		9123561		7350639

UNAUDITED CONSOLIDATED FINANCIAL RESULTS OF HDFC BANK AND ITS SUBSIDIARY FOR THE YEAR ENDED
MARCH 31, 2007

(Rs. in lacs)

	Particulars	Year ended 31-3-2007		Period ended 31-3-2006
1	Interest Earned (a) + (b) + (c) + (d)		688724		447532
A	Interest / discount on advances / bills		433558		270026
B	Income on investments		229341		163109
C	Interest on balances with Reserve Bank of India and other inter bank funds		25494		14255
D	Others		331		142
2	Other Income		157728		115560
A	Total Income (1+2)		846452		563092
3	Interest Expended		317930		192918
4	Operating Expenses ( e) + (f)		247397		171479
E	Payment to and provision for employees		79986		49408
F	Other operating expenses		167411		122071
B	Total Expenditure (3) + (4) (excluding provisions & contingencies)		565327		364397
C	Operating Profit (A – B) (Profit before provisions and contingencies)		281125		198695
D	Other Provisions and Contingencies		116623		72509
E	Provision for Taxes		50156		38602
F	Share of minority shareholders		325		253
G	Earnings from associates		1075		825
H	Net Profit (C-D-E-F+G)		115096		88156
5	Paid up equity share capital (face value Rs. 10)		31939		31314
6	Reserves excluding revaluation reserve		615098		501410
7	Analytical Ratios:
A	Earnings per share (face value Rs. 10/- each)
	Basic		36.6		28.3
	Diluted		36.4		26.7

NOTES:
1.	The results have been consolidated for HDFC Bank Limited and its subsidiary HDFC Securities Limited.
2.	The above financial results are prepared in accordance with the principles and procedures for preparation and presentation of consolidated financial statements as set out in the Accounting Standard on Consolidated Financial Statements (AS 21) and in the Accounting Standard on Accounting for Investments in Associates in Consolidated Financial Statements (AS 23) as prescribed by the Institute of Chartered Accountants of India.

Consolidated Segment information of HDFC Bank and its subsidiary in accordance with the Accounting Standard on Segment Reporting (AS17) of the three operating segments of the Bank is as under:

(Rs. in lacs)

Particulars	Year ended 31-3-2007		Period ended 31-3-2006
1. Segment Revenue
a) Retail Banking		782937		520544
b) Wholesale Banking		508924		285338
c) Treasury		71045		77389
Total		1362906		883271
Less: Inter Segment Revenue		516454		320179
Income from Operations		846452		563092
2. Segment Results
a) Retail Banking		88720		71002
b) Wholesale Banking		74152		53787
c) Treasury		1630		1397
Total Profit Before Tax, Minority Interest & Earnings from Associates		164502		126186
3. Capital Employed
(Segment Assets-Segment Liabilities)
a) Retail Banking		225577		1698
b) Wholesale Banking		259932		207260
c) Treasury		127627		302572
d) Unallocated		33901		21194
Total		647037		532724

Note on segment information

The reportable primary segments have been identified in accordance with the Accounting Standard on Segment Reporting (AS-17) issued by the Institute of Chartered Accountants of India (ICAI).

The Group operates in three segments: retail banking, wholesale banking and treasury services. Segments have been identified and reported taking into account, the target customer profile, the nature of products and services, the differing risks and returns, the organisation structure and the internal business reporting systems. Net revenue of HDFC Securities Limited has been classified under retail segment.

Place : Mumbai	Aditya Puri
Date : April 24, 2007	Managing Director