Climate Change Data

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Sustainable Development
• Governance

Environmental Achievements

• Installation of capacitors to save power; Introduction of Tablets in branches; Replacement of conventional lighting with Light Emitting Diode (LED) lights; Automatic power shutdown of idle monitors; Creating environmental awareness by way of distributing the information in electronic form; Minimising air-conditioning usage; Shutting off all the lights when not in use; Education and awareness programs for; and Constant reminders to employees to switch off all the computers and other equipements that isn’t being used.

Social Achievements

• Expanded its reach to Tier 2 and Tier 3 cities in different states of India through its financial inclusion centers and experiential outlets to impart knowledge of financial services and improve the access affordable financial products.
• Empowering women employees by expanding their presence in all forms and across several verticals within our ecosystem.
• Set up an in-house Customer Facing Contact Centre which not only have inbound & outbound process to address customer queries and concerns, following stringent SOP’s for pre & post disbursements, capturing the customer’s overall experience but also comprises a team of Direct Sales resources, which onboards customers directly through tele-communications on leads generated through our performance marketing initiatives. More than 50% of the team comprises of experienced women professionals from varied fields and have been the frontline force of “Dhanvarsha Contact Centre” since inception of the vertical.

Governance Achievements

• Upgraded credit rating to IVR BBB (Stable Outlook) by Infomerics Ratings and CARE BBB (Stable outlook) by CARE ratings.
• Strong governance with a board comprising of nine members, of which five are independent directors.
• Implemented several best Corporate Governance practices as prevalent globally.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic affecting countries, businesses and individuals in India and across the world.
• Lockdown and restrictions imposed on various activities due to the pandemic.
• Impact of the pandemic coupled with the lockdown and relief measures provided by RBI had a bearing on the performance of the Company.

Mitigation Strategies

• Technological investments and timely and decisive steps towards remote working ensured business continuity.
• Extended wholehearted support to vulnerable sections of society during this period in a number of ways.
• Embracing the challenges faced by the world, country, and sector to continue growing our business in a sustainable manner.

Supply Chain Management

Responsible Procurement

• Responsible sourcing initiatives

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Ind AS

Third-party Assurance: Haribhakti & Co. LLP

Sustainable Products & Innovation

• Atmanirbhar Loans
• Upskilling and Medical Loans

Environmental Metrics

ESG Focus Areas

• Covid-19 Initiatives
• Financial Inclusion
• Responsible Lending
• Customer Satisfaction
• Employee Well-being
• Diversity and Equal Opportunity
• Governance and Business Ethics
• Stakeholder Engagement

Environmental Achievements

• Installation of capacitors to reduce power consumption; Employing of Laptops and Tablets in branches to reduce paper consumption and efficient use of technology to drive operations electronically; Conventional lighting have been replaced with Light Emitting Diode (LED) lights; Enabling automatic power shutdown of idle monitors; Creating awareness about conservation of energy and opting for efficient solutions by way of distributing the information in electronic form; We reach out with regular communication to the staff to minimize the use of air-conditioners; Wherever possible, we make purchase requests for electronic goods that are rated 4 star and above; Shutting off all the lights when not in use; Designing an office infrastructure that maximises use of natural light during the day to further conserve power; Education and awareness programs for employees; and Constant reminders to employees to switch off all the computers and other equipments that are not in use.

Social Achievements

• Initiatives to promote credit access and financial inclusion by onboarding new-to-credit users; Training sessions to sensitize employees to conduct transactions with empathy; Training sessions for senior management, middle management and front line staff on gender inclusion; Pandemic assistance and outreach through an enhanced Group Mediclaim Insurance policy; Vaccination of all employees and their families; Timely free COVID 19 tests; Flexibility of work from home/offices for all employees; Dhanvarsha Cricket League; Employee satisfaction surveys; Health check-up camps; Training programs on ‘gender neutral sourcing policy for lending’; Women health workshop.

Governance Achievements

• Implementation of several best Corporate Governance practices; Adoption of a ‘zero tolerance’ approach to bribery and corruption; Whistle Blower Policy; Exhaustive manual and online portal on human resources; Training programs for employees to abide by Company policies; Code of Conduct for all board members and senior management; Vigil Mechanism/Whistle Blower Policy; Code for prevention of Insider Trading; Compliance with mandatory and non-mandatory provisions of Corporate Governance norms.

Climate Goals & Targets

Environmental Challenges

• Deadlier second wave of COVID-19; Increased competitive pressures from Gold NBFC’s post the sunset of pandemic induced relaxation in LTV for banks; Global uncertainty on the pandemic; Lingering supply-side disruptions; Slowdown in China; Spiralling inflation; Intensifying financial market volatility; Heightened inflationary pressures; Lagged impact of pandemic on asset quality.

Mitigation Strategies

• Investment in talent, processes and emerging technologies for building advanced risk management capabilities; Well-defined risk management framework; Systematic approach to risk identification, categorization, assessment, control building, and monitoring; Additional risk governance and policy measures to monitor credit risks; Branch charter and branch score card for regular feedback to field sales team; Monthly monitoring of business unit and branch level profitability for efficient capital allocation; Co-lending arrangements with Central Bank of India and EZ Capital; Building branch network to serve customers.

Supply Chain Management

Responsible Procurement

• Responsible sourcing initiatives

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Responsible Lending
• Customer Satisfaction
• Employee Well-being
• Diversity and Equal Opportunity
• Corporate Governance and Business Ethics
• Stakeholder Engagement

Environmental Achievements

• Installation of capacitors to reduce power consumption
• Employing of Laptops and Tablets in branches to reduce paper consumption
• Conventional lighting replaced with LED lights
• Enabling automatic power shutdown of idle monitors
• Removal of single-use plastic from premises

Social Achievements

• Increased women customers from 6,208 in FY’22 to 16,478 in FY’23
• Health care and financial literacy outreach campaigns
• Various initiatives for employee welfare (leaves, insurance, health checkups)

Governance Achievements

• Strengthened gold valuation and appraisal processes
• Enhanced customer experience through digitization
• Implemented a robust risk management process

Climate Goals & Targets

Environmental Challenges

• Global economic downturn causing market slowdown
• Unanticipated changes in regulatory norms
• Increasing competition
• Liquidity squeeze affecting lending capability

Mitigation Strategies

• Expanding reach to untapped markets
• Prioritizing compliance with regulatory norms
• Strengthening gold valuation and appraisal processes
• Enhancing technological capabilities, deploying data analytics

Supply Chain Management

Responsible Procurement

• Responsible sourcing initiatives

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Sustainable Development Goals

Sustainable Products & Innovation

• Unsecured MSME Loans
• Loans against collateral of Gold

Environmental Metrics

ESG Focus Areas

• Financial Inclusion
• Responsible Lending
• Customer Satisfaction
• Employee Well-being
• Diversity and Equal Opportunity
• Corporate Governance and Business Ethics
• Stakeholder Engagement

Social Achievements

• Paramedical skills training program for 31 underprivileged young women, with 19 completing internships.
• 31 SRH awareness sessions reaching 774 women and young people.
• HPV vaccinations administered to 75 adolescent girls.
• Financial literacy training for women's groups.

Governance Achievements

• Established a robust internal control, compliance, and audit framework.
• Constituted various Board level committees in accordance with the applicable provisions of the Act and Listing Regulations.

Climate Goals & Targets

Environmental Challenges

• Compression in Net Interest Margin due to liability side factors and increased operating expenses from expanding branch network.
• Funding challenges for smaller NBFCs.

Mitigation Strategies

• Strategic alliances with 5 leading public and private sector banks and 7 financial institutions for Co-Lending and Business Correspondent arrangements.
• Raising equity to strengthen balance sheet and expand co-lending relationships.
• Improving branch productivity and profitability.
• Investing in technology to enhance operational efficiency.

Supply Chain Management

Climate-Related Risks & Opportunities