INDIAN RAILWAY FINANCE CORPORATION LIMITED

RECENT DEVELOPMENTThe Company has on December 14, 2012, allotted on a private placement basis, tax-free bonds, in the nature ofsecured, redeemable, non-convertible bonds of face value ` 10,00,000 each, through a seperate series (85 series)having a coupon rate of 7.19% aggregating to ` 9,500 lakhs. Hence, the Company is proposing to issue theBonds upto an aggregate amount of ` 8,88,640 lakhs through this Issue during the Fiscal 2013 out of the totalpermissible amount of ` 10,00,000 lakhs, as approved by its Board through its resolution dated July 31, 2012.Further, the Company received an order dated November 21, 2012 by way of a facsimile on December 14, 2012after business hours from the MoR wherein it was communicated to the Company that Ms. Sharmila Chavalyhas been appointed as the part time government director on the board of the Company in place of Mr. RajeshKumar Khullar, with immediate effect i.e., from November 21, 2012.Further, there are no recent developments in relation to the Company except as disclosed in the Shelf Prospectusand the sections titled “Risk Factors”, “Summary of Industry”, “Summary of our Business”, “SummaryFinancial Information”, “Capital Structure”, “Industry Overview”, “Our Business”, “Regulations andPolicies”, “History and Certain Corporate Matters”, “Our Management”, “Financial Indebtedness”,“Outstanding Litigation and Material Developments”, “Main Provisions of Articles of Association” andAnnexure I to Annexure IV, which would make them misleading in any material respect.All disclosures made in this Prospectus Tranche-1, read together with the Shelf Prospectus as the “Prospectus”,with respect to the Tranche-1 Issue, are true, fair and adequate to enable the investors to make a well informeddecision as to the investment in this proposed Tranche-1 Issue. The Prospectus is true and correct in all materialrespects and is not misleading in any material respect, that the opinions and intentions expressed herein arehonestly held and that there are no other material facts, the omission of which makes the Prospectus as a wholeor any such information or the expression of any such opinions or intentions misleading in any material respect.12