INDIAN RAILWAY FINANCE CORPORATION LIMITED

CERTAIN CONVENTIONS, USE OF FINANCIAL INFORMATION, INDUSTRY AND MARKETDATA AND CURRENCY OF PRESENTATIONCertain ConventionsAll references in this Prospectus Tranche-1 to “India” are to the Republic of India and its territories andpossessions.Financial DataUnless stated otherwise, the financial data in the Prospectus Tranche-1 and the Shelf Prospectus is derived from(i) our audited financial statements, prepared in accordance with Indian GAAP and the Companies Act for thefinancial years ended on March 31, 2008, 2009, 2010, 2011 and 2012; and (ii) financial statements of theCompany for the half year ended on September 30, 2012 and/or audited by M/s. Bansal Sinha & Co., StatutoryAuditors of the Company. In this Prospectus Tranche-1, any discrepancies in any table between the total and thesums of the amounts listed are due to rounding off. All decimals have been rounded off to two decimal point.The current financial year of the Company commences on April 1 and ends on March 31 of the next year, so allreferences to particular “financial year”, “fiscal year” and “Fiscal” or “FY”, unless stated otherwise, are to the12 months period ended on March 31 of that year.The degree to which the Indian GAAP financial statements included in the Prospectus Tranche-1 and the ShelfPropsectus will provide meaningful information is entirely dependent on the reader‘s level of familiarity withIndian accounting practices. Any reliance by persons not familiar with Indian accounting practices on thefinancial disclosures presented in this Prospectus Tranche-1 should accordingly be limited.Currency and Unit of PresentationIn this Prospectus Tranche-1, references to “`”, “Indian Rupees”, “INR” and “Rupees” are to the legal currencyof India and references to “US$”, “USD”, and “U.S. dollars” are to the legal currency of the United States ofAmerica, references to “Yen” and “JPY” are to the legal currency of Japan. For the purposes of this ProspectusTranche-1 data pertaining to the Company will be given in ` in lakhs. In the Prospectus Tranche-1, anydiscrepancy in any table between total and the sum of the amounts listed are due to rounding off.Industry and Market DataAny industry and market data used in this Prospectus Tranche-1 consists of estimates based on data reportscompiled by government bodies, professional organizations and analysts, data from other external sources andknowledge of the markets in which we compete. These publications generally state that the informationcontained therein has been obtained from publicly available documents from various sources believed to bereliable but it has not been independently verified by us or its accuracy and completeness is not guaranteed andits reliability cannot be assured. Although we believe the industry and market data used in this ProspectusTranche-1 is reliable, it has not been independently verified by us. The data used in these sources may have beenreclassified by us for purposes of presentation. Data from these sources may also not be comparable. The extentto which the industry and market data is presented in this Prospectus Tranche-1 is meaningful depends on thereader’s familiarity with and understanding of the methodologies used in compiling such data. There are nostandard data gathering methodologies in the industry in which we conduct our business and methodologies andassumptions may vary widely among different market and industry sources.Exchange RatesThe exchange rates (in `) of the US$, JPY and Euro as of fiscal years ended 2008, 2009, 2010, 2011 and 2012and period ended September 30, 2012 and October 31, 2012 are provided below:Currency Fiscal Year ended Period ended2008 2009 2010 2011 2012 September 30, 2012* October 31, 20121 USD 40.11 51.45 45.58 45.14 50.93 52.86 53.931 JPY 0.4029 0.5265 0.4900 0.5484 0.6212 0.6812 0.67631 Euro 63.26 67.60 60.64 63.46 67.97 68.30 70.13*since September 30, 2012 being a Sunday, exchange rate as on September 28, 2012 has been taken(Source: SBI T.T. Selling Rate)10