Climate Change Data

Environmental Metrics

Social Achievements

• Launched HomY app, downloaded by over 6 lakh individuals; Griha Varishtha scheme launched for pensioners.

Governance Achievements

• Complied with Indian Accounting Standards (Ind AS); maintained capital adequacy as prescribed by NHB (13.89% as at 31st March, 2020); followed directions/guidelines/circulars issued by SEBI, MCA; complied with Housing Finance Companies (NHB) Directions, 2010 and other directions/guidelines prescribed by NHB.

Climate Goals & Targets

Environmental Challenges

• Impact of COVID-19 pandemic on real estate sector, causing income uncertainty, poor consumer sentiment, construction delays, reduced demand, liquidity issues, and increased stress in the housing finance sector; reduced demand for housing loans and increase in delinquencies; slowdown in home loan disbursals; reduced disbursement; increase in gross NPA (2.86%) and net NPA (1.99%); challenges in credit appraisal due to lockdown restrictions; impact on cash flows and cost of funds.

Mitigation Strategies

• 4-R strategy (Retail, Recovery, Retention, Re-engineering); investments in technology to offer e-solutions and reduce future disruptions; revamped IT platform; improved risk management practices; focus on retail-based loans; recovery of pending dues; retention of existing borrowers; re-engineering work environment for business continuity; HomY app launched for customer convenience; all-time low home loan interest rates; new scheme Griha Varishtha for pensioners; recovery teams established; customer relationship managers guiding borrowers through tech-led processes; educating borrowers through videos; electronic payment options made available; initiatives to mitigate risk of delinquencies; enabling remote working; offering services digitally; online payment options, moratorium requests, and loan rewriting; onboarding new customers through HomY app; implementing e-KYC; digital loan validation and authorization; standardized KYC procedures; anti-money laundering systems; chatbots for online engagement; Security Operation Centre (SOC); business process re-engineering; passing on benefits of reduced interest rates to borrowers; maintaining strong asset quality; raising resources at low cost through NCDs, bank loans, CPs, and public deposits; selectively taking quality exposures; bringing about changes in the liability mix; reducing overall weighted average cost of funds; improving net interest margins; recovering NPAs; focusing on retail loans of moderate ticket size with large volumes; launching a product with interest rate linked to CIBIL score.

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• Data Quality Award by Transunion CIBIL; Best Housing Finance Company at National Real Estate Congress Leadership & Awards; Outperforming Housing Finance Company 2019 by Outlook Business; Best Private Issuer 2019 on Electronic Bidding Platform by National Stock Exchange; Top 10 Most Consistent Wealth Creators by Motilal Oswal 24th Annual Wealth Creation Study, 2019.

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• COVID-19 disruptions impacting business operations and collection efficiency.
• Increased competition in the housing finance market.
• Liquidity and funding issues.
• Concerns about asset quality, particularly in the restructured loan book.
• Macroeconomic concerns from the Russia-Ukraine conflict (cost inflation, interest rates, currency volatility).

Mitigation Strategies

• Stricter underwriting practices during and after COVID-19.
• Focus on collection efficiency and recovery management.
• Diversification of liability sources.
• Revamping processing centers and strategic tie-ups.
• Emphasis on affordable housing.
• Digital transformation initiatives to improve efficiency and customer service.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Global CSR, Excellence & Leadership Award 2021-22
• Recognized as one of “The Best Organization for Women” by Economic Times
• Economic Times awarded LIC HFL as one of the “Best Brands for 2021”
• Recognized by Kendriya Sainik Board for valuable contribution to Veer Naaris

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Affordable Housing
• Workforce Diversity & Inclusion
• ESG Training
• Environmental Risk Management
• Social Initiatives
• Digitization

Environmental Achievements

• Deployment of video conferencing technologies to cut air travel and associated emissions
• Installed energy-efficient lighting equipment, replacing CFL lighting with LED lights across most premises
• Monitoring emissions and energy consumption trends to identify energy-saving opportunities

Social Achievements

• Commitment to promoting inclusive development nationwide through various CSR projects
• Focus on building self-sustaining communities by empowering them with sustainable livelihood opportunities
• 100% return to work rate for employees who took parental leave

Governance Achievements

• Established a risk management framework to proactively identify and manage potential risks to the business and to mitigate them effectively
• ESG Committee at the board level steers sustainability decisions

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Preferential procurement policy for MSMEs/small producers (0.50% in FY23-24)

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not Applicable

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed