Muthoot Finance Limited
Climate Impact & Sustainability Data (2022-04 to 2023-03, 2023-04 to 2024-03)
Reporting Period: 2022-04 to 2023-03
Environmental Metrics
Total Carbon Emissions:Not disclosed
Scope 1 Emissions:11,643 tCO2e/year
Scope 2 Emissions:54,936 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:306,117 GJ/year
Water Consumption:133,805 KL/year
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Environment
- People
- Community
- Governance
- Financial Inclusion
Environmental Achievements
- Distribution of steel water bottles to schools
- Donation of an E-Auto to an NGO
- Commissioning on-grid solar project in Bangalore
- Installation of EV charging points
- Distribution of solar home lighting kit
- Construction of a butterfly and herbal garden
Social Achievements
- Certified as a ‘Great Place to Work’ for the 2nd year in a row
- Muthoot Career Development Programme
- Pathshala internship programme
- Adhyayana Buddy and Mentorship programme
- Internal Job Posting Programme (IJP)
- Employee engagement events
- Aarambha family meet programme
Governance Achievements
- Robust internal audit and risk management system
- Adherence to Listing Regulations and Corporate Governance compliance
- Appointment of Chief Compliance Officer
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Not disclosed
Environmental Challenges
- Impact of low rate gold loan schemes
- Decrease in Interest Income
- Operational challenges due to decentralized gold loan operations
- Short-term nature of Gold Loans
- High operational expenses
Mitigation Strategies
- Record-breaking performance in the final quarter
- Focus on improving capabilities and expanding brand recall
- Strong risk management system
- Diversification of loan portfolio
- Digital transformation initiatives
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Preferential procurement policy for marginalized groups
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Regulatory changes
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: BRSR
Certifications: Great Place to Work
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Chanakya Award – 2022
- e4m Golden Mikes Award 2022 (two Gold awards)
- The Best of Bharat Award
- TRA’s Brand Trust Report ranking
- Afaqs Media Brand Awards
- ACEF Global Customer Engagement Awards 2023
- CSR Journal Excellence Award 2022
- 9th National CSR Times Award 2022
Reporting Period: 2023-04 to 2024-03
Environmental Metrics
Total Carbon Emissions:992 tCO2e (Scope 1) + 20,548 tCO2e (Scope 2) = 21,540 tCO2e
Scope 1 Emissions:992 tCO2e
Scope 2 Emissions:20,548 tCO2e
Water Consumption:152,746 KL (third-party water)
ESG Focus Areas
- Financial Inclusion
- Community Welfare
- Corporate Governance
- Environmental Sustainability
- Renewable Energy
Environmental Achievements
- Reduced carbon footprint by focusing on renewable energy (owns three windmills in Tamil Nadu)
- Installed a 25 KWp solar power plant at the Kerala Museum
Social Achievements
- Allocated a significant budget of ₹135 million for FY 2023-24 for CSR initiatives
- Certified as a Great Place to Work for the third consecutive year
- Executed 10 projects advancing various Sustainable Development Goals (SDGs)
- Presented Muthoot M George Excellence Awards to 122 students
Governance Achievements
- Established an ESG committee to oversee policies, practices, and performance
- Adheres to stringent compliance protocols and high ethical standards
- Maintains transparency with all stakeholders
Climate Goals & Targets
Long-term Goals:
- Net-zero emissions by 2050 (implied)
Medium-term Goals:
- Achieve 100% renewable energy in office buildings by 2030
- Double the number of existing EV charging stations by 2030
Short-term Goals:
- Integrate water-efficient technologies in all existing buildings by 2025
Environmental Challenges
- Global uncertainties, supply chain disruptions, and inflationary pressures
- Risks related to gold price volatility
- Strong competition from banks and NBFCs
- Challenges in maintaining asset quality in non-gold loan segments
- High operational expenses
- Operational challenges related to decentralized gold loan operations and security risks
Mitigation Strategies
- Strengthening digital strategies for transformative growth
- Diversifying loan portfolio to reduce risk
- Robust internal audit and risk management practices
- Focus on operational efficiencies and cost optimization
- Implementing advanced security systems
Supply Chain Management
Responsible Procurement
- Sustainable Sourcing and Preferential Procurement Policy
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: BRSR
Certifications: Great Place to Work
Third-party Assurance: Tibu & Niyas Chartered Accountant
Awards & Recognition
- Best NBFC Award by FICCI Kerala State Council
- Inspiring Leader Award
- Best Use of TV, Best Use of Integrated Marketing, Best Use of Digital Marketing/Social Media at the e4m Indian Marketing Awards South 2023
- Best Content Marketing Award at the 8th edition of Indian Content & Marketing Awards 2023
- Indian Marketing Award 2023
- Most Effective ROI Driven Campaign at the Pitch BFSI Marketing Awards 2023
- 10th National CSR Times Award (Gold)
- Bronze Award for ‘Cup of Life’ initiative
- Issuer of the Year - Public Issuance by ASSOCHAM
- BRICS - CCI Business Excellence Award in Leadership
- Exceptional NCD Issuer of the Year at the Times Business Awards 2024
- India’s No. 1 Most Trusted Financial Services Brand by TRA’s Brand Trust Report 2024