General Updates

Classification | REGULATORS IRC: F48:108:229:2026 13.07.2026 The Manager, The Manager, National Stock Exchange of India Ltd, BSE Limited, Exchange Plaza, 5th Floor, Phiroze Jeejeebhoy Towers, Plot No. C-1, ‘G’ Block, Dalal Street, Bandra- Kurla Complex, Mumbai – 400001 Bandra (East), Mumbai – 400051 Scrip Code: KARURVYSYA Scrip Code: 590003 Dear Sir/Madam, Sub: Disclosure under Regulation 34 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (SEBI LODR) - Business Responsibility and Sustainability Report (BRSR) for FY 2025-26 ****** Pursuant to Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we herewith attach the Business Responsibility and Sustainability Report (BRSR) for the FY 2025-26, which forms part of the 107th Integrated Annual Report. The copy of the same is also uploaded on the website of the Bank at https://www.kvb.bank.in/investor-corner/annual-general-meeting/agm-business-report/index.html Kindly take the same on record. Yours faithfully, Srinivasarao Maddirala Company Secretary & Compliance Officer Encl : As above Annexure IV Business Responsibility and Sustainability Report FY 2025-26 Business Responsibility and Sustainability Report Our Approach to Responsible Business During the reporting period, the Bank strengthened the foundations of responsible business practices by refining The Bank believes that responsible business conduct forms internal processes and building organizational capabilities the foundation of sustainable value creation. As a financial to address evolving stakeholder expectations and regulatory institution, responsibilities extend beyond delivering financial developments. These efforts reflect the belief that long-term performance to creating positive outcomes for stakeholders, success can only be achieved through transparency, fostering an inclusive and supportive workplace for employees, accountability, prudent decision-making, and an unwavering supporting environmental stewardship, and contributing to the commitment to ethical conduct. Progress across ESG economic and social progress of the communities served. priorities further demonstrates the commitment to translating Opportunities for growth are pursued with discipline in principles into meaningful action and measurable outcomes. decision-making and consistency in value delivery, recognizing Guided by the National Guidelines on Responsible Business that long-term success can only be achieved through Conduct (NGRBC), which underpin the Business Responsibility transparency, accountability, and responsible business and Sustainability Reporting (BRSR) framework, responsibility practices. is embedded across all aspects of operations. An inclusive, The principles of Environmental, Social and Governance (ESG) safe and empowering workplace for employees, effective are embedded within the broader commitment to responsible management of environmental footprint, and delivery of banking. These principles influence risk management, sustainable value to customers and communities remain customer and employee engagement, and operational central to this approach. practices. Sustainability is not treated as a standalone initiative or parallel agenda; it is an integral part of the way business is conducted. IInntteeggrraatteedd AAnnnnuuaall RReeppoorrtt 22002255--2266 113366 Business Responsibility and Sustainability Report Statutory Reports Financial Statements Corporate Overview Effective governance remains central to this approach. for Acceptance of Green Deposits, the Bank continued Oversight of the Bank's sustainability agenda is provided its Green Deposit initiatives and channelled the proceeds by the Board-level CSR & ESG Committee, which offers towards financing eligible green activities that contribute to strategic direction on ESG priorities and monitors progress environmentally responsible development, while also assessing against established objectives. Supported by the management and reporting the environmental impact of such allocations in team and cross-functional stakeholders, this governance accordance with the applicable framework. framework helps integrate sustainability considerations into Environmental stewardship remains an important aspect of business decisions and reinforces accountability across the our responsible business journey. During the reporting period, organization. During the year, the Bank further strengthened the Bank continued its efforts to improve resource efficiency its governance practices through the appointment of a Lead and reduce the environmental impact of its operations Independent Director and enhanced gender diversity on the through initiatives focused on renewable energy adoption and Board, reinforcing its commitment to effective oversight, energy efficiency. The Bank expanded the number of branches independent judgement, inclusive leadership and sound operating on solar energy, reaffirming its commitment to corporate governance. progressively strengthening the use of renewable energy Our actions are guided by a robust ESG Policy that articulates across its operations and advancing its environmental the principles of responsible banking and provides a framework objectives. for managing environmental and social considerations. As Transparency and accountability are fundamental to part of this commitment, the Bank maintains an Exclusion maintaining stakeholder confidence. The Bank prepares List that establishes clear boundaries for activities considered its disclosures in accordance with the requirements of inconsistent with our values and sustainability objectives. By Regulation 34(2)(f) of the SEBI (Listing Obligations and defining what we choose not to finance, we reinforce our Disclosure Requirements) Regulations, 2015 as amended, commitment to responsible lending, prudent risk management read with the SEBI Master Circular (HO/49/14/14(7)2025- and the promotion of sustainable economic development. The CFD-POD2/I/3762/2026), dated January 30, 2026. The Bank also continued to support inclusive growth through its Bank has also voluntarily aligned its reporting "with reference efforts towards advancing financial inclusion and extending to" Global Reporting Initiative (GRI) Standards. Together, credit to priority sectors, reflecting our purpose of enabling these frameworks enable us to provide stakeholders with broader economic participation and shared prosperity. Further, meaningful, reliable and decision-useful information on our in alignment with the Reserve Bank of India's Framework sustainability performance. 113377 During the reporting period, the Bank further strengthened The Bank was also independently assessed under other the credibility of its disclosures through independent external ESG assessment frameworks based on publicly assurance of its BRSR Core indicators by M/s. SGS India available information, receiving an NSE ESG Rating of 74 Pvt Ltd., in line with the BRSR Core framework prescribed and an ESG Risk AI Rating of 70. Collectively, these external by SEBI Master Circular (HO/49/14/14(7)2025-CFD- assessments provide valuable insights that support the POD2/I/3762/2026), dated January 30, 2026. This external refinement of internal processes, enhancement of disclosures assurance reinforces stakeholder confidence in the reliability, and the continuous strengthening of the Bank's ESG maturity accuracy and robustness of the Bank's sustainability in line with evolving stakeholder’s expectations. disclosures. 74 70 The Bank's ESG performance is subject to independent assessment by SEBI-registered ESG Rating Providers (ERPs) NSE ESG Rating ESG Risk AI Rating based on publicly available information. Under the subscriber- pay model, the rating agencies arrive at their assessment 68 through independent evaluation frameworks. During the reporting period, CRISIL ESG Ratings assigned an ESG rating CRISIL ESG Rating of 68 to the Bank based on an asses [Showing first 8,000 characters — download PDF for full document]