Bajaj Finance LTD - ESG Report

CONTENTS
01 About the Report Details of our ESG Initiatives
02 About Bajaj Finance Limited

15-29
03 M
essage from the Chairman and Corporate Governance
Managing Director
06 Awards and Recognition 30-35

Reaching Financial Services
07 K
ey Initiatives Undertaken
to Millions of Indians and
till Date
Providing Sustainable and
08 Our Focus Areas Safe Products and Services
09 J
ourney towards Alignment
36-44
with United Nations Sustainable
Development Goals (UN SDGs) Preserving and Protecting the
Environment
10 Key ESG Highlights
45-53
Empowering Society
54-64
Customer Obsession
About the cover
At every juncture in business, there’s a trade-off, a balance. Between inclusion and 65-80
increasing profits. Governance and growth. Short-term goals and society. It’s a Human Capital Management
balance we choose to maintain at Bajaj Finance.
Our commitment to sustainability has led us to make some tough choices over the 81-89
years. To conserve the environment by setting up not just solar panels but also Information Security, Cyber
large windmill farms, to digitise so we can save on millions of reams of paper and Security and Fraud Controls
upskill youth in small cities through our in-house teams so we have better control of
Scan to know more
the outcomes.
or 90-98
Sustainability is about finding this fine balance. It’s been deeply intertwined in the Visit our website Stakeholders’ Engagement
fabric of our everyday business for 100 years. www.bajajfinserv.in
Even today, this commitment is rock solid. As we continue to embrace our
responsibility towards communities and the environment.
About the Report
Bajaj Finance Limited (‘BFL’, ‘Bajaj Finance’, the National Guidelines on Responsible Business
‘the Company’) and our subsidiaries (hereby Conduct (NGRBCs) and BRSR requirements
collectively referred to as ‘BFL Group’ or ‘We’) under SEBI (Listing Obligations and Disclosure This Report outlines the
present its Environmental, Social and Governance Requirements) Regulations, 2015, as amended.
(ESG) Report for FY2024. This Report provides Further, certain other initiatives that are covered
approach adopted by BFL
insights on the ESG processes followed by in the Annual Report of the Company and its Group towards:
the Company as it endeavors to deliver on the subsidiaries for FY2024 (available on Company’s
principles of responsible business conduct. website –
https://www.aboutbajajfinserv.com/finance-
The ESG Report primarily provides a holistic view Creating an Creating positive Its
investor-relations-annual-reports) have not
of the key initiatives undertaken by the Company, employee- environmental and Commitment
necessarily been repeated here.
driven by the triple bottom line attributes viz. friendly social outcomes for enhancing
environmental, social, and economic. The Report The ESG philosophy of BFL group aims at workplace through its business customer
also narrates initiatives undertaken by BFL towards adopting sustainable business practices that operations, experience
ESG aspects. Additionally, initiatives and actions ensure long‑term success and have a positive conducted in a
taken by its subsidiaries towards furtherance of impact on the environment and society. responsible, ethical,
ESG objectives have also been provided throughout BFL Group continuously strives to promote and inclusive manner
the Report wherever relevant. Bajaj Finance long‑term sustainable growth in the economy
Limited has also published its BRSR for FY2024 through business initiatives and responsible
which forms part of its Annual Report, in line with corporate citizenship.
01 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

About Bajaj Finance Limited
Bajaj Finance Ltd. is a subsidiary of Bajaj Finserv Ltd. It is a deposit-taking Non-Banking Financial Company (NBFC-D) registered with the
Reserve Bank of India (RBI) and is classified as an NBFC-Investment and Credit Company (NBFC-ICC). Since 30 September 2022, it has been
categorised as an upper layer NBFC (NBFC-UL) pursuant to the Scale Based Regulation (SBR) put forth by the RBI.
BFL is engaged in the business of lending, partnership Product offerings

and services, payments, and acceptance of deposits.
It focuses on twelve broad categories. These are:
37 years
The Company has a diversified lending portfolio across
retail, SMEs (small and medium sized enterprises), and
commercial customers with significant presence in both
of operations
urban and rural India. It accepts public and corporate
deposits and offers a variety of financial services Consumer Lending Mortgages
products to its customers.
Bajaj Finance has two wholly owned subsidiaries. These
83.64 million
are: (i) Bajaj Housing Finance Limited (‘BHFL’ or ‘Bajaj
Housing’), which is registered with the National Housing Personal Loan SME Lending
Bank as a Housing Finance Company (HFC); and (ii)
Customers served
Bajaj Financial Securities Limited (‘BFSL’, ‘BFinsec’, ‘Bajaj
Broking’), which is registered with the Securities and
Exchange Board of India (SEBI) as a Stock Broker and
Gold Loan Auto Financing
Depository Participant.
₹330,615 crore
BFL also has two associate companies: (i) Snapwork
Technologies Private Limited (‘STPL’) and (ii)
Pennant Technologies Private Limited (‘PTPL’). BFL Loan against Securities Rural Lending
Assets under management
acquired a 26.53% stake on a fully diluted basis in
PTPL on 19 January 2024 hence, it has become an
associate company.
BFL is present in 4,145 locations across the country,
4,145 locations
including 2,576 locations in rural/smaller towns Commercial Lending Micro-finance Lending
and villages and operates through 198,250+ active
distribution points across India.
Geographic presence
Public and Corporate Partnerships and

Deposits Services

Message from the Chairman and Managing Director
Continuously transforming for sustainability
We foster a culture of
fairness with customers,
transparency with
stakeholders, empathy and
equity with employees, and
inclusion with society.
We continue to follow a
rigorous risk management
process and strive to be fully
compliant with regulations
and laws governing
our businesses.
Sanjiv Bajaj Rajeev Jain

Chairman Managing Director

CONTINUOUSLY TRANSFORMING FOR SUSTAINABILITY
Every day, we are witness to a wave of change in the

world around us. Be it events triggered by climate
a spend of H 200.95 crore on corporate social
responsibility programmes.
K 5,000 crore
change, consumer preferences driven by technology or pledged for social impact
Initiatives taken up under each of the ESG focus areas are over five years by Bajaj Group
new challenges faced by communities.
detailed in this report along with how they have enabled
We therefore consider sustainability as a journey of
continuous transformation. Our plans are constantly
financially stronger communities and made a positive
difference to the environment.
19,434
reviewed and course-corrected in the context of the women empowered
evolving challenges faced by society and our planet. Powering Youth Employment We also focus on empowering women from marginalised
A Legacy of Responsibility and Entrepreneurship communities and rural areas with skills necessary
to secure employment or take up entrepreneurial
Enabling employability for youth from disadvantaged
For 37 years, we have been steadfast in our commitment opportunities. In FY2024, 19,434 women benefitted from
backgrounds and thereby enabling financial stability is
to create long-term, sustainable value for customers, these initiatives.
an area of focus for us. Our efforts toward this include
employees, the environment, and communities.
skilling and employability programmes and supporting
This commitment reflects the legacy of the larger Bajaj self-employment and entrepreneurial ventures.
More Financial Inclusion with
Group, which, for close to a century, has been built
Our flagship skilling programme, the Certificate
Less Carbon Footprint
on principles of social empowerment, environment Our sustainability journey is interconnected with Bajaj
Programme in Banking, Finance & Insurance (CPBFI),
protection, and contribution to national good. Finance’s journey of continuous transformation in
empowers first-generation graduates from smaller
It is no surprise then that we strive to take this towns to be job ready for the financial services the digital space, the business lines we add and the
responsibility several notches higher with each industry. So far, 53,000 youth have been skilled for expansion of our geographic footprint. With each of these
passing year. employment and enterprise under this programme. initiatives, we are bringing financial inclusion to millions,
About 66% of participants are first-generation graduates, making it more convenient for people to access financial
A key highlight of Bajaj Group’s commitment to services, while simultaneously reducing carbon footprint.
predominantly from Tier 2 or 3 cities; 70% are women.
sustainability in FY2024 was the announcement
of Bajaj Beyond, a new identity for the Group’s CSR FY2024 also saw the collaboration of Bajaj Finserv with We ended FY2024 with a customer franchise of 83.64
programmes. Under this, the Group pledged H 5,000 the National Skill Development Corporation (NSDC) million and our network reached 4,145 locations with
crore to social impact initiatives over five years, with a under the aegis of the Ministry of Education; the over 198,250 active distribution points. The Bajaj Finserv
strong focus on skill development. This will benefit over initiative enables students to receive joint certification App and Web went through a major upgrade, significantly
two crore youth, enabling them to gain from employment on completing CPBFI training. A similar partnership with expanding products, services and new features. The App
and entrepreneurial opportunities offered by India’s All India Council for Technical Education (AICTE) will see now has 52.41 million net installs.
growing economy. collaboration in deeper geographies of India. We are on track to create rapid access to financial
At Bajaj Finance, sustainability is a strategically important services, and in doing so, we are mindful of the impact on
priority for the management. It reflects in our business the environment.
strategy, our operating model, products, and processes. Here’s how.
In FY2024, we continued to invest in our
In FY2024, we continued to invest in our Environmental, Environmental, Social and Governance In the last five years, we extended credit to more than
Social and Governance (ESG) framework. We framework. We implemented 209 projects in 19.8 million new-to-credit customers.
implemented 209 projects in FY2024, involving FY2024, involving a spend of K 200.95 crore on Over the past three years, we disbursed loans of more
corporate social responsibility programmes. than H 86,000 crore to over 13.12 million women,

CONTINUOUSLY TRANSFORMING FOR SUSTAINABILITY
empowering them economically and enhancing their Total emission intensity per crore of Consolidated Total Over 4.44 lakh children benefitted from education
self-reliance. In FY2025, we plan to expand our reach to Revenue from Operations was lower at 0.89 in FY2024 as initiatives alone, of which 17,250 children gained from our
around 18,000 villages, covering 95 districts to support compared to 1.19 in FY2023. digital teaching interventions.
4 lakh women.
The year saw collaborations with various organisations
In FY2024, we introduced tractor financing and micro-
Adopting Emerging Technologies and hospitals in Pune and the wider Maharashtra state
financing to promote financial inclusion in rural locations. to Transform Lives to provide financial assistance to children with heart
Transformation for sustainability is interlinked to digital conditions, cancer, cleft lips/palates, Type 1 diabetes
Our Rural Lending and Gold Loans business with an AUM
transformation. This needs a deep understanding of and epilepsy.
of H 28,415 crore, grew 18% over last year.
emerging technologies.
Separately, in the last three years we disbursed over Staying Accountable and
₹ 58,000 crore to SMEs and over ₹ 2,020 crore to the We are investing in data, computing, AI, cyber security,
health and wellness sector. converging technologies and leveraging the India digital Compliant
stack such as UPI, Account Aggregator and ONDC. With We foster a culture of fairness with customers,
To reduce impact of our operations on the environment, this, we are moving towards digital-led sustainability. transparency with stakeholders, empathy and equity with
in the last three years over H 18 crore was disbursed employees, and inclusion with society.
to fund over 5,100 solar panels. In last three years, Some tech-driven initiatives include using cloud-
consumption of paper was reduced by approximately based virtual servers to increase energy efficiency We continue to follow a rigorous risk management
5,050 million sheets, saving around 6 lakh trees. and data security, E-agreements and OTP-based process and strive to be fully compliant with regulations
agreements, digital KYC, digital EMI cards, paperless and laws governing our businesses.
We supported clean mobility and lower emissions in loans, dissemination of insurance, extended warranty,
transportation by financing over 54,000 Electric Vehicles comprehensive asset care policies and bureau reports by Measurable Strides towards a
(EVs), disbursing over H 700 crore. To empower the partners through a digital medium.
underprivileged and underserved segments of society Sustainable Future
in the past three years, we financed more than 399,000 E-mandate for EMI repayment now contributes to nearly At Bajaj Finance, our sustainability goals are built into our
three-wheeler passenger vehicles, disbursing over 59% of new business. mid-to-long term business plan. While a good deal has
H 9,700 crore. Deploying emerging technologies is also giving us a real been accomplished in FY2024, we are excited about the
competitive advantage. It enables sustainable changes times to come.
Other environment-friendly initiatives included the
adoption of Electric Vehicles (EVs) for inter-office shuttle at scale, makes our processes faster, transactions more We thank our Board, our customers, our partners
services, use of ozone-friendly refrigerants, drawing secure and customer experiences better. and our 53,000 employees for being part of our
around 5.90 lakh units of clean energy produced by sustainability journey.
rooftop solar panels at our offices, procuring recycled Inclusion in Health and
paper to meet 80% of our requirement and planting of Education
over 70,000 saplings.
We have supported projects that have a lasting impact on
children, in areas such as health, education, protection Sanjiv Bajaj Rajeev Jain
54,000+ and inclusion of Persons with Disability. Chairman Managing Director
Electric Vehicles (EVs) financed in FY2024

Awards and Recognition

Key Initiatives Undertaken till Date
Implementation of Adoption of Gender-
Environment, Health Neutral POSH policy
Adoption of Code of and Safety (EHS)
Ethics and Personal manual across BFL Group
Conduct across BFL
Group employees
Voluntary constitution Constituted an empowered Procured 80% FSC
of a Customer Service ESG committee certified recycled papers
Committee of the Board of management at BFL during FY2024
Opening of 100 Installation of 626.80 Digitisation efforts Planted ~3.45 lakh

Micro-finance KW of solar panels saved ~600,000 trees saplings during last
branches to serve across 7 locations by reducing paper four years
the underserved consumption by ~5,050
Introduced 20 Electric Reparation Policy - million sheets
Vehicles (EV) for inter- based on principles
office shuttle transport of transparency and
fairness in treatment
of customers
ESG Awareness Employee well-being Implemented dedicated

series for stakeholders initiatives: Purelife ESG training module
and Spectrum across BFL Group
a. Annual Health and

dental checkup
b. Embracing
motherhood with ease
c. Mental well-being
d. Ensuring
women safety

Our Focus Areas
The ambit of ESG is wide and evolving. In our Responsible and Sustainable Business Conduct policy, we have identified following as our areas
of focus which are aligned with NGBRCs as well as our NBFC business model. To achieve our ESG objectives and have a greater impact, we are
concentrating our efforts on these identified areas:
Preserving & Protecting

Corporate Governance Financial Inclusion Empowering Society
Environment
Conduct and govern business with Provide access to relevant and Strive to adopt environmental Promote social welfare activities
integrity in a manner that is ethical, affordable financial products and practices and processes that for inclusive growth, equitable
transparent and accountable services that meet the needs of minimise/eliminate the adverse development, and well-being of
larger society impact on environment due to society
company operations
Information Security,
Human Capital Stakeholders’
Customer Obsession Cyber Security and
Management Engagement
Fraud Controls
Innovate/invest in products, Create a thriving, safe and Adopt robust information security, Engage with relevant stakeholders
technologies and processes that inclusive workplace for employees cyber security and fraud control for enhancing the sustainable and
enhance customer experience and provide merit-based practices responsible business practices
and promote professional, fair and opportunities for professional
transparent dealings development and growth

Journey towards Alignment with United Nations Sustainable
Development Goals (UN SDGs)
End Extreme Reduce Inequality Within
01 10
Poverty in all Forms and Among Countries
End Hunger, Achieve Food Security Make Cities and Human Settlements
11
02 and Improved Nutrition and Promote Inclusive, Safe, Resilient and Sustainable
Sustainable Agriculture
01 Ensure Sustainable Consumption and
17 12
Ensure Healthy Lives and Promote PARTNERSHIPS
NO
POVERTY Production Patterns
03 16
FOR THE
GOALS 02
Well-Being for all at all ages PEACE,
JUSTICE
ZERO
HUNGER
AND STRONG
INSTITUTIONS
03 Take Urgent Action to Combat
15 13
Ensure Inclusive and Equitable Quality LIFE ON
GOOD
HEALTH AND
WELL-BEING
Climate Change and its Impacts
LAND
04 Education and Promote Lifelong
Learning Opportunities for all
14 04 Conserve and Sustainably use the
QUALITY
LIFE BELOW
WATER
EDUCATION
14 Oceans, Seas and Marine Resources for
Achieve Gender Equality and Empower
05 Sustainable Development
All Women and Girls
13 05
CLIMATE
GENDER
ACTION
EQUALITY Protect, Restore and Promote Sustainable
Ensure Availability and Sustainable
use of Terrestrial Ecosystems, Sustainably
06 Management of Water and 06
12 15 Manage Forests, Combat Desertiﬁcation,
Sanitation for all RESPONSIBLE CLEAN
CONSUMPTION
AND PRODUCTION
WATER AND
SANITATION and Halt and Reverse Land Degradation
and Halt Biodiversity Loss
Ensure Access to Affordable, 11 07
SUSTAINABLE
07 Reliable, Sustainable, and Modern CITIES AND
COMMUNITIES
AFFORDABLE
AND CLEAN
Energy for all 10

REDUCED
08
ENERGY
Promote Peaceful and Inclusive Societies
INEQUALITIES
09 DECENT WORK
AND ECONOMIC for Sustainable Development, Provide
INDUSTRY, GROWTH
INNOVATION AND 16 Access to Justice for all and Build
Promote Sustained, Inclusive, and Sustainable INFRASTRUCTURE
Effective, Accountable and Inclusive

08 Economic Growth, full and Productive
Institutions at all Levels
Employment and Decent Work for all
Build Resilient Infrastructure, Strengthen the Means of Implementation

09 Promote Inclusive and Sustainable 17 and Revitalise the Global Partnership for
Industrialisation and Foster Innovation Sustainable Development

Key ESG Highlights
Corporate
Governance
• Board-approved Responsible and Sustainable • Strong governance model for debt management − Consolidated gross NPA at 0.85% and net NPA
Business Conduct Policy consisting, the essence of services’ practices. at 0.37% are amongst the lowest in the industry.
ESG and NGBRCs.
• Code of Ethics and Personal Conduct for employees • Policy for Compensation of Key Managerial
• Board-approved ESG Committee led by Executive across BFL Group. Personnel (KMP) and Senior Management contains
director and consisting of senior management. provisions regarding deferral of variable pay as well
• Two Internal Ombudsman (IOs) responsible for dealing
as principles of malus and clawback provision.
• Voluntary constitution of a Customer Service with customer concerns and complaints.
Committee of the Board, to strengthen the • Board-approved policies are reviewed every
• Board-approved framework for good corporate
customer experience, engagement, and year to ensure consistency with the Regulatory/
governance for subsidiaries.
monitoring process. Operational changes.
• The Risk Management Committee and the Board of the
• Robust internal controls system across all • Adoption of the Group’s Tax Governance Policy.
Company reviews ESG matters and are updated with
processes, units, and functions, driven by various
progress made on various ESG related initiatives at • More than 90% of BFL group employees completed
well-formulated procedures and policies.
the Company. mandatory course training (ESG, Code of Ethics
• Dedicated compliance function headed by a Chief and Personal Conduct, POSH, KYC/AML, Data
• Prudent and responsible business conduct:
Compliance Officer (CCO), which acts as second privacy, cyber security etc.)
line of defence. − CRAR of 22.52% versus regulatory stipulation
of 15%.
• Comprehensive risk management framework across
the organisation and across all risks, including − Strong Asset Liability Management (ALM) with
ESG risk. cumulative positive gap across all time buckets.

KEY ESG HIGHLIGHTS
• Provided financing access to more than 13.12 million • Launched Micro-finance business operations
Reaching Financial women borrowers amounting more than ₹ 86,000 in over 100 branches across Uttar Pradesh
crore during last 3 years. and Karnataka.
Services to Millions of
• Rural Lending and Gold Loans business closed FY2024 • Higher Fixed Deposit (FD) rates for senior citizens
Indians and Providing with AUM of ₹ 28,415 crore, registering a growth of - additional interest of 0.40%. Till date over 8.3 lakh
Sustainable and Safe 18% over the previous year. FDs placed.
Products and Services • Enabled livelihood of individuals through • Distribution of the Micro Insurance Products to
three‑wheeler passenger vehicle financing of more increase insurance penetration across rural and
• Provided financial services by expanding the than ₹ 9,700 crore and SME lending of more than semi-urban geographies.
company’s presence in 4,145 locations across ₹ 58,000 crore during last 3 years.
• Over the last 3 years, we have disbursed more than
the country, including 2,576 in rural/smaller
• Disbursed over ₹ 2,020 crore across more than ₹ 1,340 crore through more than 2.2 lakh loans for
towns and villages and financed approximately
3.58 lakh loans towards medical procedures and educational purposes.
83.64 million customers.
health and wellness during last 3 years.
• Extended financing to over 19.8 million
• Launched tractor financing in FY2024 for promoting
new-to-credit customers during last 5 years.
financial inclusion - AUM of tractor financing stood at
₹ 26 crore.
• Procured 80% Forest Stewardship Council (FSC) • Ramped up the adoption of environment-friendly
certified recycled papers at BFL during FY2024. electric vehicles (EVs) for inter-office shuttle services.
Preserving & Protecting
• Financed more than 54,000 e-vehicles and disbursed • Planted over 70,000 saplings in FY2024, taking the
Environment over ₹ 700 crore during the year, thereby enabling total count of saplings planted to 345,000+ till date.
customers to access environment-friendly modes
• Aligning with the highest standards of energy
• Green initiative with a continuous focus on of transport.
efficiency, and reduced environmental impact
reducing consumption of papers through digital • Facilitated access to environment friendly renewable – BFL supports acquisition of 5-star rating and
initiatives like digital agreements, digital KYC, digital energy sources by financing solar panels - disbursed above devices.
communication, etc. more than ₹18 crore through more than 5,100 loans in
• Extensive awareness campaigns to promote
• During last three years, BFL group reduced last three years.
sustainable living and practices amongst employees
consumption by around 5,050 million sheets of • Generated over 5.90 lakh units of solar energy through and other stakeholders.
paper, saving approximately 600,000 trees installed capacity of 626.80 KW of rooftop solar power
(1 tree = 8,333 sheets of paper). plants across 7 locations.

KEY ESG HIGHLIGHTS
with colleges and training partners to deliver expert- • Sector-Specific or Need-Based training - 38,966
designed training modules, supported by over 240 youth have been benefitted from these programmes.
Empowering industry-experienced trainers across 22 states • Support projects linked to child health, child
Society and 410 colleges nationwide. This initiative has education, child protection and inclusion for PwDs:
transformed the lives of over 53,000 students to date.
33,537 were supported through
• In FY2024, 209 projects were implemented • 19,434 women empowered through skilling initiatives
Health interventions
with a CSR Spend of ₹200.95 crore - towards which focuses on earning a sustainable income and
areas of Skilling, Child Education, Child Health, enhance their economic independence.
444,537 benefitted from
Child Protection, and Inclusion for Persons Education‑related initiatives
• Empowering individuals with disabilities to generate
with Disabilities. income and enhance their economic independence - 14,582 supported under Children protection
• Our flagship programme, Certificate Programme in 9,057 PwDs have benefitted from the programmes.
99,189 Persons with Disabilities
Banking, Finance & Insurance (CPBFI) collaborates were supported
• Provisioned a ‘Dynamic Missed Call Service’ for getting • Dedicated debt management service desks across
life-stage-based details of the latest relationships the top 38 branches to address debt related queries
Customer with BFL. of walk-in customers. DMSCA (Debt Management
Obsession • Introduction of DIY home loan application process Services Change Agent) training programme for its
by BHFL to transform customer experience and the agents using four modules.
• Established a citizen charter framework to protect journey is digital and seamless. • Monitoring transactional customer satisfaction
interest of customers. • Launched BFSLTRADE a mobile app, along with (CSAT) scores across all channels for multiple
• Key Fact Statement (KFS) offered to all customers, a SAMADHAN platform through BFSL, offering service interactions.
both digital and non-digital, across retail and customer services via self-help Q&As and ticket-based • Conducted various consumer awareness campaigns
MSME products at pre-sanction stage. KFS and query resolution. and educational videos:
various collaterals made available in 20 vernacular • Business transformation efforts focused on building an
ervice-related
S oan Repayment
L
languages. ‘omnichannel’ model to deliver significant improvement
Campaigns: Campaigns:
• Initiation of multilingual response for queries in customer experience.
received on social media platform in various • ‘9 am to 9 pm Calling’ initiative is a consent-based − Life Easy With NACH − Just Ask For It
regional languages. calling system, launched for queries received on social − Time Pe EMI − No Mukti Only Nuskaan
• Customer communications through IVR and mobile platform which helped improve customer satisfaction − Coverage Hai Zaroori − Loan Ka The End
apps, are available to customers in English and and turn-around-time for resolution. − Know Your 1st EMI − Wait Nahi, Update Karo
vernacular languages. − What’s The Matter − Har Koi Bajaj Nahi
• Implemented over 25+ service modules and more than
− Doori Hai Zaroori From
• Established localised presence at 4 locations to 325 service processes on both the App and Website.
Loan Settlement
ensure quick response and resolution to customer • Centralised call recording and monitoring − Har Time EMI On Time
complaints and escalation received from regulators. infrastructure for outsourced debt management − Charges For What
services agency networks.

KEY ESG HIGHLIGHTS
Human Capital
Management
• Recognised by Great Place to Work™ as India’s Best • Spectrum policy - provides several benefits to women • In FY2024, over 18,000 employees were
Workplaces™ Building a Culture of Innovation by All employees relating to safety, cab facility, travel policy, recognised for their outstanding performance and
(2023-2024) and India’s Best Workplaces™ in BFSI flexible working hours, preferential transfer policy, significant contribution.
(2023-2024). maternity-linked benefits, crèche benefits, etc.
• DAAN Utsav – an employee engagement initiative
• Promotion of equal employment opportunities and • Launched ‘Pure Life’ initiative focused on physical, for the well-being of the society.
nurtures diversity amongst BFL Group employees. mental, and emotional wellness for all employees:
• Total expenditure on learning and development by
− 1-to-1 counselling – More than 582 employees
• Implementation of Gender-Neutral Prevention of the BFL Group in FY2024 was over ₹ 53 crore, which
benefitted.
Sexual Harassment (POSH) Policy. translates to approximately ₹ 9,800 on average
per employee.
• 14 cultural anchors which form the backbone of − Walk-a-thon – more than 70,000 saplings
our culture. were planted to celebrate achievements of the
• Around 83% of the female employees and
employees who completed the set goals.
90% of the male employees during the year
• RISE - (Respectful, Inclusive & Safe Work • In FY2024, we enabled an emergency financial participated in at least one of the functional/skill
Environment) awareness series - 93 RISE assistance through ‘i-Care programme’ – over 230 upgradation trainings.
sessions were conducted across corporate and employees availed assistance of over ₹ 13 crore.
branch offices. • Registered more than 6 lakh training hours across
BFL Group employees.

KEY ESG HIGHLIGHTS
• Robust Data Loss Prevention (DLP) solutions. • Robust framework/policy on fraud risk
Information Security, • Data security and information technology security
management in place, along with a pro-active
fraud detection process.
Cyber Security and systems compliant with ISO 27001:2013, 22301:2012.
Fraud Controls • Regular internal security audits, vulnerability
• Sitti Pitti Gul: awareness campaigns
for stakeholders:
assessments and penetration testing of its systems,
• ‘Information Technology Strategy Committee’ − Bano Cyber Smart
products and practices affecting user data, in
consisting of Board members and Senior − Settle Karna Hai Loan
compliance with ISO 27001 standards.
management. Well-established information security − Pehle Pucho Aap Kaun
framework, cyber security policy, data privacy • Instituted a formal policy for incident management. − Fake Loan Ka Danger Zone
policy and Business Continuity Policy (BCP).
• Strong IT governance structure. • Clenched the esteemed title of ‘Digital Enterprise
• Dedicated information security, cyber risk, and of India – BFSI’ at The Economic Times CIO
fraud control unit. Awards 2024.
• Conducted ESG awareness campaigns for our − Part of the panel discussion on ‘Gaps in
stakeholders to encourage them for upholding the ESG Implementation of Fair Lending Practices by
Stakeholders’ values, and principles in their dealings. NBFC’s’ and ‘Handling of complaints related to
Engagement • As on 31 March 2024, more than 16,000 participants
credit information & challenges and Action plan’.
are DRA-certified with the support of 79 certified − Our Internal Ombudsman was invited to give
facilitators as per IIBF norms. a session on the ‘Effectiveness of Internal
• Implemented Corporate Communication Policy that
Ombudsman Process’, organised by RBI.
defines the approach to communicate with media. • Well-crafted Stakeholders Relationship Committee
in place to review the grievances of debenture and − During the year, BFL organised awareness and
• Ensured one of the highest standards of business
deposit holders, in addition to the shareholders of education programmes for customers/general
information disclosure amongst financial services
the Company. public/students and for DMS agents/agencies in
companies in India.
coordination with RBI.
• Engagement with regulators:
• The ‘Samvaad – (Dialogues to Success)’ was
organised in-person for 22 days; over 1,500 − Participation in Nodal Officers’ meetings and
retailers participated and interacted live with the regional conferences, Customer Awareness
senior management physically. Townhalls and Outreach Programmes.

Our commitment to utmost
transparency, accountability,
and ethical conduct with all
CORPORATE
stakeholders is paramount.
It defines who we are as an
organisation and shapes how
we do business every day.
Sandeep Jain
GOVERNANCE
Chief Operating Officer
& Chief Financial Officer
The Corporate Governance philosophy of Bajaj Finance

Limited is built on a foundation of integrity, ethical
business practices, transparency, and trust in dealing
with all stakeholders to achieve the Company’s vision
and objectives.
UN SDGs Aligned
CORPORATE GOVERNANCE
Experience/expertise of Board of Directors

Steering Growth through Board of Directors Composition as on
31 March 2024
Robust Corporate Governance
Executive Directors (EDs)
As a proud member of the Bajaj Group, we are deeply
ingrained with its nationalist ethos. The Group’s Management Regulatory, Public Policy
commitment to stringent corporate governance predates and Governance and Economics
the mandates of the SEBI (Listing Obligations and
Disclosure Requirements) Regulations 2015 and other Non-Executive Directors (NEDs)
9 Directors 7 Directors
Regulatory Laws.
We are committed to integrating the values of Bajaj Group
and contemporary business practices into our operations.
BFL Group embodies the values of ethics, transparency, Independent Directors (IDs) Understanding of Consumer Behaviour,
accountability, and responsible business conduct. These Accounting and Sales, Marketing, and
values are diligently upheld in our day-to-day operations. Financial Statements Customer Experience
Our corporate governance aligns with transparent
disclosures about our performance and business, in strict
8 Directors 6 Directors
Total
adherence to all regulatory guidelines.
Board of Directors 8 1
The Board comprises members with diverse experience Business Transformation Financial Services
and Strategy
and skills, such that it best serves the governance
Board Gender Average Tenure of 6 Directors
and strategic needs of the Company. The Directors
are persons of eminence in areas such as profession,
Diversity (%) Board of Directors 8 Directors
business, industry, finance, law, administration, research,
banking, etc. and bring with them experience/skills which
89 4
further contribute to enhance the performance of the
Technology Risk, Assurance and
Board. The Directors are selected purely based on merit
and Innovation Internal Controls
with no discrimination on race, colour, religion, gender, 11 3
or nationality. The eminent Directors play a pivotal role in 7 Directors 9 Directors
driving our success with their field expertise, adding value
to the Board’s performance. 2
In compliance with SEBI Listing Regulations, the Less than 5 years

Company has ‘Board Diversity Policy’ in place. The (3 IDs and 1 ED) Human Resource
Board, via the Nomination and Remuneration Committee, Male
upholds the Board Diversity policy. Directors are chosen Female Between 5 to 10 years 8 Directors
on merit without any discrimination to serve the (2 IDs and 1 ED)
Company’s governance and strategic needs. For more detailed information regarding the Board, skills, expertise,
More than 10 years
and competence of our Board, please refer to our Corporate
(2 NEDs) Governance section of the Annual Report. Page 62

Leadership Team BFL has established an executive ESG The Committee is responsible for driving
Our work ethics, entrepreneurial mindset, and high committee, led by Executive Director, BFL’s ESG agenda and providing strategic
ethical standards define our leadership team, comprising comprising key stakeholders including the direction, considering relevant risks and
of experienced professionals who play a pivotal role Chief Financial Officer (CFO), and heads of Tax, opportunities. We have devised a Responsible
in emerging BFL Group as one of the most diversified Legal, Compliance, Operations, Information and Sustainable Business Conduct Policy and
and rapidly expanding financial services companies in Technology, Risk, Human Resource, Corporate an Environment Policy framework to align our
the country. Secretarial and representative from subsidiaries ESG goals and strategy with ESG standards and
and Group companies for implementing and guidelines as per relevant applicable laws.
monitoring ESG-related aspects.
Board’s ESG
Oversight
More details are available on the website at During FY2024, the Risk Management Two (2) meetings of the ESG Committee were
https://www.aboutbajajfinserv.com/finance- Committee and the Board of the Company held during the year and a presentation to the
people-and-committees-leadership-team reviewed ESG matters and were provided with Board of Directors of the Company was made
updates on progress made on various ESG- on overall ESG strategy.
related initiatives at the Company. The Board of
Directors and the Risk Management Committee
are apprised of the Company’s sustainability
approach, targets, and key initiatives periodically.
ESG Governance Structure
Board of Directors and

Risk Management Committee
ESG Committee
Dedicated ESG team working under CFO’s

guidance for monitoring and tracking of
ESG Initiatives

Ethical Conduct for Board of

Committing to Ethical Integrity Directors and Leadership
A A pillar of our corporate governance philosophy C Our Disciplinary Action Committee (DAC), A BFL has a separate Code of Conduct (CoC) for
is our focus on ethics. The Board-approved periodically reports significant incidents to Directors and Senior Management. The CoC
Code of Ethics and Personal Conduct (CoEPC) the Managing Director (MD) and the Audit mandates that our top leadership shall observe
encompasses a culture of good work and integrity Committee, ensuring continuous monitoring the highest standards of ethical conduct and
norms. This code articulates the standards of of ethical behaviour. Key components of integrity and shall work to the best of their
professional conduct and ethics, we expect our CoEPC include a commitment to health, ability and judgement.
our employees to imbibe and guides them to safety, and the environment, alongside a focus
adopt practices that promote anti-bribery, anti- to comply with environmental regulations
money laundering, insider trading, discrimination, and standards applicable to its operations B All the Board members and Senior Management
confidentiality of information, conflict of interest, to minimise environmental pollution and to personnel have affirmed compliance with
whistle blower, environment, health and safety contribute to environmental protection. the Code for the year ended 31 March
among other aspects linked to ethics. 2024. A declaration to this effect signed by
the Managing Director forms a part of the
Annual Report.
B The Company has mechanisms in place to ensure D Employee performance appraisal systems
effective implementation of its Code of Ethics integrate compliance/Code of Conduct.
and Personal Conduct. The comprehensive Code Disciplinary actions taken on employees
includes provisions for Disciplinary Action Policy during the financial year impacts performance
and Whistle-blower Policy, allowing directors, evaluation/rating of an employee. Disciplinary
employees, business/vendor partners, and other actions are categorised as follows:
stakeholders to report grievances, including a. Counselling, b. Warning, c. Warning and
harassment, fraud, unethical behaviour, and Incentive Docking, d. Separation
process/policy violations to designated personnel (Termination/Resignation).
in the Company and its subsidiaries.
47,000+ E In FY2024, over 47,000 employees were

provided with training on CoEPC which
Employees received translates to about 88% coverage across the
Code of Conduct training BFL Group.

Zero Tolerance for Unethical

Practices
• BFL Group maintains a zero-tolerance stance towards
unethical business practices, thus we strictly ensure
compliance of the CoEPC with respect to anti‑bribery,
conflict of interest, fraudulent activities, and the
protection of Company assets and information,
including customer data.
• Comprehensive policies addressing Code of Conduct,
Prevention of Insider Trading, Prevention of Money
Laundering, Prevention of Sexual Harassment at
the Workplace and the handling of Related Party
Transactions are in place and reviewed by the
Board periodically.
• The Company has in place a Board-approved
‘Know Your Customer’ policy to ensure the effective
establishment and implementation of Company culture
opposing money laundering and terrorism financing.
The same is based on RBI guidelines and in conformity
with the Prevention of Money Laundering Act, 2002
(PMLA) and the Prevention of Money-Laundering
More than 51,000 employees completed KYC training Persons and Insiders are informed about the contents
(Maintenance of Records) Rules, 2005 (PML Rules)
which translated to about 95% coverage across the of the Code from time to time and their trades are
and UIDAI Guidelines. Further, the said policy includes:
BFL Group. monitored continuously.
a. Customer due diligence (CDD); • Our policies safeguard employees against victimisation
b. Non-face-to-face CDD;
51,000+ for reporting insider trading. These policies are subject
to periodic reviews and updation wherever applicable.
c. Terrorist financing; Employees completed KYC training The Board views any non-compliance seriously and
d. Politically exposed persons (PEPs); initiates action commensurate with proven violations.
e. Senior management to sign off PEP customers; • Complete adherence to the Code of Practices and • The Company, through its Parent Company i.e.
Procedures for Fair Disclosure of Unpublished Price Bajaj Finserv Limited (BFS), has signed charters of
f. Record keeping for all anti-money-laundering/
Sensitive Information (UPSI) is ensured at BFL and Confederation of Indian Industry (‘CII’): 1) Model
terrorism financing-related documents;
its subsidiaries, as applicable. According to SEBI code of conduct for ethical business practices, 2)
g. Independent evaluation of the compliance functions (Prohibition of Insider Trading) Regulations, 2015, Charter on fair and responsible workplace guidelines
of BFL policies and procedures; as amended, a Board-approved, Code of Conduct to for collaborative employee relations, and 3) Charter
Regulate, Monitor and Report Trading by Designated on fair and responsible workplace guidelines for
h. Concurrent/Internal Audit system to verify the
Persons is laid down in connection with dealing our contract labour.
compliance with KYC/AML policies and procedures.
securities and our holding Company. The Designated

• BFL Group respects its employee’s opinion, views

Imbued with a Culture of and involvement or contribution towards political
Accountable Empowerment in
Transparency affairs party or candidate of their choice. However, Governance
• BFL Group believes in adherence to transparency employees need to be completely apolitical and not • At BFL Group, empowerment and accountability
and fairness in dealings with customers in letter as indulge in any political activities such as canvassing for go hand-in-hand. BFL Group upholds the spirit of
well as in spirit. We ensure that none of our products any party/position/person while at work or within the accountability. The Group is managed by competent
withhold any relevant information needed by the Company premises. and qualified professionals, while being proficiently
customers to make informed choices. Information • No BFL Group funds or any other Group asset may be overseen by their respective Board of Directors.
relating to products is disclosed as per the regulatory used for political purposes. All corporate contributions • Periodically, we benchmark the remuneration of
requirements, and the same is available on the website to political candidates for public office must be made in senior management with appropriate peer groups,
of BFL Group at www.bajajfinserv.in. strict compliance with governing law and with the prior and remunerate them through a mix of fixed pay,
• With our focus on transparency, we pursue a approval of the Managing Director/Chief Executive annual variable payout, and long-term incentive in
transparent and detailed communication protocol with Officer. The same is explicitly covered in our CoEPC. the form of stock options. Policy for Compensation
stakeholders. This includes investor presentations, • During the FY2024, BFL did not make any contributions of Key Managerial Personnel (KMP) and Senior
quarterly and event-based updates to stakeholders, to and for political campaigns, political organisations, Management also contains provisions regarding
publishing of earnings call transcripts, prompt lobbying organisations, trade associations, and other deferral of variable pay as well as principles of malus
dissemination of price-sensitive information, tax-exempt groups. and clawback provision.
and updates on the half-yearly performance of
the Company.
• We are focused on ensuring symmetry of information in To promote Environment, Social, and Governance
line with the principles of fair and uniform disclosures. (ESG) goals, the BFL has linked performance pay
After the end of each quarter, the Company voluntarily of senior management team members, including
provides provisional key financial metrics of that that of Executive Directors and Managing Director
quarter to the stock exchanges within seven days from to various critical initiatives and organisational
the end of the quarter. objectives such as innovation, digitalisation,
keeping attrition under control, adherence to
• The senior management at BFL conducts open appropriate compliances, sustainable lending,
Townhall sessions, Confluence, as forums to engage customer experience, as applicable.
with all employees every quarter to share the financial
performance of the Company, updates on business, as
• All practices at BFL Group maintain high standards of
well as new initiatives undertaken in HR, operations,
governance, which in certain cases extends beyond
and technology, amongst other things. Employees
legal requirements.
can also make suggestions, raise concerns, and seek
direct responses from the senior management on any
queries/concerns.

Initiatives and Practices

• BFL has voluntarily constituted a Customer Service
Committee of the Board (CSCB) headed by an
Independent Director, in line with the requirements
applicable to banks, to strengthen the customer
experience, engagement, and monitoring process.
• Number of Board and Committee meetings are more

than the statutory requirement, including meetings
dedicated for discussing strategy, operating plans,
and risks.
• BFL’s Board comprises of Directors from diverse
backgrounds and substantial experience, who are
able to provide appropriate guidance to the executive
management as required.
• BFL and BHFL have panel of independent directors
with outstanding track records and reputation.
• BFL’s Board comprise of majority of Independent
Directors. All the major Committees are chaired
by Independent Directors. The Company’s Audit
Committee comprises only of Independent Directors,
which is beyond the requirement of Law.
• Independent discussions by BFL’s respective
Committees with Chief Internal Auditor, Chief Risk • Complete and detailed information is provided to • We follow a confidential Board evaluation process,
Officer, and Chief Compliance Officer without presence Board members in advance to enable them to review where each Board member evaluates the
of Managing Director (including other members of all matters carefully for meaningful discussions. performance of every Director, Committees of
senior management) on a quarterly basis. the Board, the Chairman of the Board, as well as
• Risk management policy of the Company includes
the Board.
• Separate meeting of independent directors sustainability (particularly, ESG-related risks)
without presence of Non-Independent Directors or assessment and risk minimisation procedures. • BFL has Board-approved guidelines for good
executive management. Half-yearly communication corporate governance for subsidiaries which includes:
• A meeting of the Risk Management Committee is
from the Chairman to all shareholders/debenture
scheduled along with quarterly Board meetings, - Minimum information to be placed before the Board
holders of the Company giving an update on the
in which all directors participate; the scope of risk of BFL and its Committees
Company’s performance.
management includes credit risk, operations risk, - Related Party Transaction vis-a vis subsidiaries
• Pre-Committee meetings of the Committee’s Chair debt management services, human resource (HR)
with statutory auditors, internal auditor, Chief - Review of Loans and Advances to subsidiaries,
risk, investment risk, financial risk, technology risk,
Risk Officer, Chief Human Resources officer, and including investments made therein
ESG risk, and legal and compliance risk.
members of executive management who are the - Disclosure to the exchanges with reference
process owners. to subsidiaries

• BFL has implemented the RBI introduced, Internal e. Fair Practices Code in English and all
Ombudsman (IO) Scheme to deal with customer vernacular languages;
concerns and complaints. The Scheme is extended to
f. Employee Charter on Human rights;
NBFCs on a selective basis in which the IO at the apex
of the NBFC shall independently review the resolution g. Equal Employment Opportunity and
provided by the NBFC, in case there are any wholly Non‑Discrimination Policy;
or partially rejected complaints. BFL has appointed
h. Compensation policy for Directors, Key Managerial
two IOs, who will independently review the resolution
Personnel and Senior Management;
provided by the Company.
i. Data Privacy Policy;
• On an ongoing basis, the Company through its
familiarisation programme, endeavours to keep the j. Responsible and Sustainable Business
Board including Independent Directors abreast with Conduct Policy;
matters relating to the industry in which Company
k. Code of Ethics and Personal Conduct;
operates, its business model, risk metrics, its
mitigation and management, governing regulations, l. Deputation and Advisory Policy for employees
information technology including cyber security, within group;
their roles, rights and responsibilities and major
m. Tax Governance Policy;
developments and updates on the Company and
group, etc. n. Employee Health and Safety Manual;
• Adoption of key governance policies in line with • Board-approved policies are reviewed every
the best practices, which are made available to year to ensure consistency with the Regulatory/
stakeholders for downloading/viewing from the Operational changes.
Company’s website. These include:
a. Whistle Blower Policy/Vigil Mechanism;

Full details of the Company’s Corporate Governance
b. Policy of Materiality of Related Party Transaction practices and procedures are presented separately in
specifying thresholds; the Corporate Governance section of the
Annual Report at Page 56.
c. Dividend Distribution Policy;
d. Policy on Prevention of Sexual Harassment

at Workplace;

risk, debt management services, investment risk, financial

Tax Strategy and Governance Risk Governance, Management risk, technology, and cyber risk, ESG risk (half yearly
BFL Group is committed to comply with existing laws Process and Culture update), legal and compliance risk, fraud risk, reputational
and regulations and have a policy of zero tolerance to risk, and human resource (HR) risk. The RMC met four
non-compliance. BFL Group endeavours to undertake Governance (4) times in FY2024.
all statutory tax compliances in all jurisdictions/states s an NBFC, BFL is exposed to credit, liquidity,
A
it operates within prescribed timelines. Technologies operational, market and interest rate risk. It continues to he Board has appointed a Chief Risk Officer (CRO) in
T
have been deployed to track the compliances within invest in talent, processes, and emerging technologies line with the RBI guidelines on Risk Management System
the timeframe provided with suitable escalations to build advanced risk management capabilities. The – Appointment of Chief Risk Officer (CRO) for NBFCs.
and reviews. Company’s sustained efforts to strengthen its risk The Board/Risk Management Committee (RMC) inter-
framework have resulted in stable risk metrics. alia reviews the status and progress of the risks and
Through adoption of the Group’s Tax Governance Policy, risk management system on a regular basis. Meeting of
our approach to tax and governance processes is Bajaj Finance promotes a strong risk culture that is the RMC is held along with the meeting of the Board of
designed to achieve these goals. Under our tax risk embedded across the organisation. At the highest Directors. In addition to the members, all Directors are
management strategy, we manage our tax affairs taking level, the Board of Directors has established a Risk invitees to the meeting of the RMC.
into consideration building long term shareholder value Management Committee (RMC), which assists the
and to maintain our reputation as a responsible taxpayer Board in maintaining oversight and review of the risk The Company has a well-established Risk Management
with tax authorities and regulators. management principles and policies, strategies, risk function headed by CRO who reports to the MD. The
appetite, processes, and controls. This is enabled by CRO is assisted by Risk Heads and Risk Managers.
a robust governance system and review mechanisms The function acts as second line of defence and is
which include quarterly risk management review. structurally independent of the business lines. The
function is responsible for establishing policy, monitoring
he terms and reference of RMC, inter alia, includes
T risk profiles, and forward-looking risk identification
formulation of a detailed Risk Management and management.
Policy, reviewing and guiding the Management very quarter, the CRO presents updates to the RMC and
E
on reputational and market (investment) risk, the Board on the risk exposure, performance against risk
ensuring that appropriate methodology, processes appetite and the risk profile. In addition, formal updates
and systems are in place to monitor and evaluate on various portfolios, latest-risk management practices
risks associated with the business of the Company, and risk specific information/awareness are provided to
monitoring and overseeing implementation of the RMC and the Board periodically.
the Risk Management Policy, including evaluating
the adequacy of risk management systems, FL has a robust asset liability management framework
B
appointment, removal and terms of remuneration and maintains enough liquidity buffer to meet its
of the Chief Risk Officer. The Company has a risk repayment obligation and emerging credit demand.
management framework duly approved by the By virtue of effective focus on capital and liquidity
Board. Please refer to Page 73 of the Annual management, reduction in operating expenses,
Report FY2024 for RMC composition. focus on debt management, servicing capability and
strengthening of underwriting norms combined with
meeting of the Risk Management Committee is
A a very sharp view on risk metrics, the Company ought
scheduled along with quarter end Board meeting, and the to continue to show higher level of efficiencies in
scope of risk management includes credit risk, operations all parameters.

he risks revolving around inflationary trends, elevated

T
interest rates and tighter systemic liquidity emerged as
challenges which needed to be addressed. BFL’s risk
framework has ensured that, despite these risks, its net
interest income, NPAs and liquidity management were
not impacted.
Risk Management Process

isk management is the process of identifying, prioritising
R
and responding to risks across an organisation. Risk
management includes activities to realise opportunities
while mitigating threats.
he Board of Directors have adopted a risk management

T
policy for the Company which provides for identification
of key events/risks impacting the business objectives
of the Company and attempts to develop risk policies
and strategies to ensure timely evaluation, reporting
and monitoring of key business risks. This framework, ending with formulation of action plans in response to the
inter alia, provides the set of components that provide observed trends in the identified metrics. This is achieved
the foundations and organisational arrangements for through determining key process areas, converting these
designing, implementing, monitoring, reviewing and to measurable and quantifiable metrics, setting tolerance
continually improving risk management throughout the thresholds for the same and monitoring and reporting on
organisation. It covers principles of risk management, breaches of the tolerance thresholds in respect of these
risk governance with roles and responsibilities, metrics. Corrective actions are initiated to bring back
business control measures, principle risks and business the breached metrics within their acceptable threshold
continuity plan. The Management identifies and controls limits by conducting the root cause analysis to identify
risks through a defined framework in terms of the the failure of underlying process, people, systems, or
aforesaid policy.
Our risk management strategy is
external events.
grounded in a deep understanding of the
FL has in place an internal Operational Risk Management
B The Company has opted for a bottom-up approach of complex and ever-changing business
(ORM) Framework to manage operational risk in an risk identification, where internal compliance teams have
effective and efficient manner. This framework aims at been created in respective businesses and functions to
context in which we operate. We continue
assessing and measuring the magnitude of risks, its drive ownership and culture of minimising operational risk to strengthen it as a key pillar of our
monitoring and mitigation. The key objective is to enable by developing a strong control culture by making first line corporate governance framework.
the Company to ascertain an increased likelihood of an of defence, which owns the risk.
operational risk event occurring in a timely manner to
take steps to mitigate the same. It starts with identifying In BFL, internal compliance consists of following units
and defining KRIs/KPIs through process analysis and which cover the length and breadth of the customer
life cycle. Fakhri Sarjan
President, Risk

The Company publicly reports in its Annual Report a

summary of the major risks faced by the Company, its
Sales Compliance Unit Technology Compliance Unit measurement, monitoring and management. Please refer
Embedded in business units with focus on controls Embedded in the information technology unit to page no. 289 under section Financial Risk Management
in the sales units around onboarding of customers with focus on internal and external environment of Annual Report FY2024.
across areas like information security, process lapse, consisting of network, applications, quality, cloud
Accordingly, BFL has institutionalised a Board-
misinformation, and misselling. services, data management, security and review of
approved ICAAP policy and document. The document
rules and regulations.
encompasses the assessment of material risks to which
the Company is exposed to and measures taken by the
Company to mitigate those risks. BFL has completed
its Internal Capital Adequacy Assessment for FY2023
in line with its Board-approved ICAAP policy. Based
on assessment of all the material risks applicable to
Debt Management Services (DMS) Risk Unit
the Company and reviewing the controls and risk
Compliance Unit Focus on product programme and related credit mitigation techniques, BFL is not required to maintain any
Embedded in debt management services with policy adherence in the loan book. The activity additional capital.
ensuring strict adherence of code of conduct policy aims at making sure that loans which are disbursed
and fair practice code by the debt management adhere to the policies and procedures put in place The Company, in its Board-approved ICAAP Policy
services agencies. DMS compliance framework lays by the organisation. has set out internal risk appetite limits for some of the
down a penal staircase for non-compliance. BFL parameters – capital risk, credit risk, market risk and
investigates every customer complaint pertaining to liquidity. Sensitivity analysis and stress testing are part of
debt management services and takes appropriate our Board-approved ICAAP document that is submitted
corrective, preventive, and penal action. to RBI on annual basis. We perform sensitivity stress
testing for credit, market, operational, interest rate
risk (IRR) and liquidity risk to test its impact on profit
and capital.
Risk-Based Internal Audit

In line with the RBI’s notification dated 3 February 2021,
BFL and BHFL had implemented Risk-Based Internal Audit
Process Compliance Unit
(RBIA) methodology from 1 April 2021. The RBIA is linked
Embedded in operations to monitor processes to the Company’s overall risk management framework.
focused on customer transaction, services and all
customer interactions. The Company has implemented controls through systems
and processes ensuring a robust control framework.
The scope of risk based internal audit of the Company

also includes system and process audits in respect of various strategic, business, compliance and regulatory
all critical processes. The Internal Audit department matters. During FY2024 following information was
and compliance function review the business unit’s provided to the Board: (i) Risk management system,
adherence to internal processes and procedures as well Risk Management Policy and strategy followed by
as to regulatory and legal requirements providing timely the Company (ii) Review of various policies framed
feedback to management for corrective action, including by Company from time to time covering, amongst
minimising the design risk, if any. others, Code of Conduct for Directors and Senior
Management, Whistle-blower policy, Fair Practices
he internal audit function provides an assurance to
T
Code, IT-related policies, Risk Management policy, etc.
the Audit Committee/Board of Directors and the Senior
Management on the quality and effectiveness of the • Financial incentives incorporate risk management
BFL’s internal controls, risk management and governance metrics wherein employees have their bonus/
related systems and processes. At the beginning of incentives linked to factors such as business/function
each financial year, an audit plan is rolled out after goal achievement, department performance and
company performance which include parameters
approval of the Audit Committee. The Audit Committee Risk Culture such as customer complaints, portfolio performance,
on a quarterly basis reviews the internal audit reports
ajaj Finance promotes a strong risk culture that
B compliance and fraud controls as applicable, apart from
based on the approved plan, which includes significant
is embedded across the organisation. In order to the business-related goals.
audit observations, corrective and preventive actions.
promote and enhance an effective risk culture
The Audit Committee of the Board also reviews the • Comprehensive training on risk management principles,
throughout the organisation, the Company has adopted
performance of the audit and compliance functions and including a dedicated 15-day training programme for
following strategies:
reviews the effectiveness of controls and compliance new hires in the Risk Management department. Ongoing
• T
he Board is presented with relevant information on fraud detection exercises and training for employees
with regulatory guidelines. In the opinion of Board and
various matters related to the working of the Company, in customer-facing roles. Awareness programmes
the senior management, internal control systems are well
especially those that require deliberation at the highest for dealers/partners focused on fraud prevention.
placed and work in a satisfactory manner.
level. Presentations are also made to the Board by Awareness through email communications.
re-Audit Committee meetings of the Committee’s Chair
P key members of Senior Management on important • Employees are empowered to proactively identify and
with statutory auditors, internal auditor and members matters from time to time. Directors have separate and report potential risks within the organisation. Report
of executive management who are the process owners. independent access to the officers of the Company. suspicious activity process (RSA) has been designed
Independent discussions by the Audit Committee In addition to items required to be placed before the to report suspected fraud cases to Risk & Fraud Control
members with Chief Internal Auditor without presence of Board for its noting and/or approval, information is Unit (RCU) for investigation. Employees are incentivised
Managing Director and Senior Management is held on a provided on various significant items. In terms of for highlighting confirmed frauds prior to disbursal.
quarterly basis. quality and importance, the information supplied by • The Company has in place measures which allows
Management to the Board is far ahead of the mandate continuous improvement in risk management practices
FL’s Risk Management, Operational Risk Management,
B
under the Companies Act and SEBI Listing Regulations. through the involvement of employees in structured
Information Technology and Cyber Security practices
The Independent Directors of the Company met on feedback process.
have been already elaborated in the Annual Report
20 March 2024 and expressed their satisfaction on the • Incorporating risk criteria in the product development
FY2024 at Page 32.
quality, quantity and timeliness of flow of information or approval process. Each business/product of the
between the Company’s Management and the Board. Company starts operations only after the Product
Pursuant to the various regulatory requirements and programme (Toll gate document) is approved and rolled
considering business needs, the Board is apprised on out by all relevant internal stakeholders.

Internal Controls the processes set for these functions are complied with Compliance is a fundamental aspect of our business
and gaps identified, if any, are set right on regular basis. operations. Compliance philosophy at BFL is strict
BFL has robust internal controls system in place, driven
The control functions implement, review and monitor the adherence to laws, regulations, and ethical standards
through various procedures and policies which are
standards and lay down policies and procedures by which to maintain the trust of the stakeholders i.e., regulators,
reviewed and tested periodically, across processes, units
the functions manage risks including compliance with customers, investors and employees.
and functions. Our risk and credit teams have inbuilt
regulatory guidelines and applicable laws, adherence to
processes to identify the existing and probable risks
operational controls and relevant standards of conduct.
and to mitigate identified risks. Senior management
also monitors the mitigating measures. The Company
has various committees including Risk Management
Committee and the Asset and Liability Committee, with
participation from various functions, which are designed Regulatory Compliance
to review and oversee critical aspects of BFL’s operations. BFL is committed to comply with all applicable laws,
regulations, and guidelines set by regulatory authorities.
Our internal controls mechanism consists of three lines
of defence: Customer Protection
BFL prioritises the protection of its customers’ interests and
data. Robust data protection measures maintained, and
Internal Operations
1st First privacy laws and regulations are strictly adhered to. BFL
Management and
Line of Defence strives to provide fair and transparent financial products and
Management Controls
services, ensuring that its customers make informed decisions.
Our compliance
Ethical Conduct
philosophy
BFL expects all its employees to uphold the
2nd Second Independent Risk and revolves around highest ethical standards in their dealings
Line of Defence Compliance Function the following with customers, partners, and colleagues.
principles:
Risk Management
BFL has implemented robust risk management
Third Independent Internal frameworks and processes to identify, assess,
3rd
Line of Defence Audit Function and mitigate risks associated with our operations.
BFL has dedicated control functions for testing the Employee Training and Awareness
design and efficiency of Internal Control Over Financial Comprehensive training programs have been rolled out
Reporting (ICOFR) on regular basis and timely to enhance the compliance knowledge and awareness
remediation of control deficiencies identified, if any. of our employees.
Further, BFL monitors Information and Technology
General Controls (ITGC) on a periodic basis. The Company To further strengthen the second line of defence, the Company has appointed a Chief Compliance Officer (CCO).
has formed specialised units within IT and operations Under CCO’s supervision, the compliance function is, among others, responsible for identification and assessment of
functions for carrying out regular checks to ensure that compliance risks, provide guidance on related matters and monitor and test compliances across the organisation.

offerings. These capabilities have given the confidence debt management. Capabilities like OCR-enabled
Debt Management to commit significant investments to further the use of structuring of unstructured data, providing new sets
BFL focuses on a debt management strategy to ensure these new domains. Here are some examples: of variables for further refining risk models and making
that its delinquent debt portfolio is kept at minimal levels. these more granular to capture specific nuances to
It accords debt management an important place in its • In addition to traditional credit bureau data, BFL is now
enable going deeper in geographies.
portfolio management strategy; investing in its debt deeply integrated with the Account Aggregator (AA)
management service structure, service organisation, ecosystem for leveraging consent-based information • The developments in data infrastructure have enabled
processes, and training of employees and agencies, and building real time underwriting capabilities to the risk and process units to run real time controls
with strict adherence to compliance requirements provide frictionless customer experience. across multiple decisioning and operational processes
and controllership by leveraging technology to follow to further strengthen the credit and operations risk
• BFL has also developed capabilities of multi-
a non-intrusive collection mechanism. We follow management framework. By democratising analytics,
bureau framework using multiple bureaus as well as
a strong governance model for debt management data science and centres of excellence across multiple
combination of Consumer, Commercial & MFI bureaus
services’ practices and ensure strict adherence to the businesses and functions, we are constantly fostering
for a complete credit view of customers enabling
regulatory and internal policies, code of conduct, and fair a culture of data orientation and analysis to address
effective credit decisions.
practice code. everyday issues. This is being done by providing
• BFL continues to expand its suite of statistical models multiple data science training and implementation of
Technologies and Analytics for risk management across all stages of the credit practitioner programmes.
lifecycle — acquisition, account management and
We have been continuously investing and adopting
various evolving technologies and analytical tools like
Big Data, Cloud Computing and Open-Source software
like Python and Graph database technology. This has
enabled access to sophisticated statistical techniques to
solve complex business and risk problems — and, hence,
taken analytics and portfolio insights to a level where
solutions are much more nuanced and specific. The
Company continues to develop and implement multiple
machine learning models. This along with capabilities like
OCR, unstructured to structured data, etc. are getting
integrated with business processes.
These technologies enable decision engines with real

time processing capabilities which, in turn, enable
unique customer propositions like ‘get it now’ and
‘straight through processing’ to constantly push towards
a smoother and frictionless customer experience. In
doing so, BFL is conscious of the customer’s privacy and
ensures customer consent is obtained for any cross-sell

Steering Sustainable Growth Exceeding Regulatory Standards

through Prudent Business BFL Group often surpasses regulatory norms related to non-performing assets, capital adequacy, statutory liquidity
ratio, and liquidity coverage ratio. Prudent practices, detailed in the table, demonstrate a commitment to maintaining
Conduct high financial standards.
The focus at Bajaj Group is on building long-term
businesses, while ensuring sustainable growth and
returns for its stakeholders. Aligning themselves BFL BHFL
to this approach, BFL Group has adopted high Particulars
standards of governance, along with prudent business As of 31 March 2024 RBI Stipulation As of 31 March 2024 RBI Stipulation
practices, central to their value proposition. We believe
such practices safeguard businesses from undue Capital to Risk-weighted Assets Ratio 22.52% 15% 21.28% 15%
risk exposure. (CRAR)
On a consolidated basis, in FY2024, BFL delivered

Of which Tier-I 21.51% 10% 20.67% 10%
1 An AUM growth of 34% in FY2024 from

₹ 247,379 crore to ₹ 330,615 crore.
Statutory Liquidity Ratio 19.20% 15% NA NA
Growth in profit after tax (PAT) of 26% in Liquidity Coverage Ratio 169% 85% 192% 70%
2
FY2024 from ₹ 11,508 crore to ₹ 14,451 crore.
Cumulative asset liability mismatch
Return on average assets (RoA) of 5.08% in

3
FY2024 and return on average equity (RoE) 1-7 days 90% (10%) 168% (10%)
of 22.05%.
8-14 days 81% (10%) 83% (10%)
15-30/31 days 59% (20%) 55% (20%)

Access to financial services has REACHING FINANCIAL
the potential to change the lives of
millions. Financial inclusion thus is SERVICES TO MILLIONS
at the very heart of our business.
We deploy emerging technologies, OF INDIANS AND
PROVIDING SUSTAINABLE
digital journeys and a robust
physical network that works at a
grassroot level, to further financial
inclusion. In the past five years, we
extended credit to over 19.8 million
AND SAFE PRODUCTS
new-to-credit customers. Our
new businesses - MFI and tractor
AND SERVICES
financing - will further enhance our
geographic reach and coverage.
We, at Bajaj Finance Limited (BFL) firmly believe in the power of
financial accessibility to all. Every individual and business needs easy
Anup Saha and seamless access to relevant and affordable financial products
Deputy Managing Director and services in a sustainable way. The core of our offering comprises
financial products and services that enable a wider and more
sustainable growth of the economy. In line with this belief, we offer
financial products and services to millions of Indians, to secure and
UN SDGs Aligned enhance their livelihood, healthcare, education, homes, protection,
and savings.
REACHING FINANCIAL SERVICES TO MILLIONS OF INDIANS AND PROVIDING SUSTAINABLE AND SAFE PRODUCTS AND SERVICES
BFL’s Focus Areas

Our focus is woven around 12
broad categories:
Consumer Lending Mortgages
Personal Loan SME Lending
Gold Loan Auto Financing
Empowering Millions of Indians

Loan against Securities Rural Lending
Financially
Bajaj Finance is one of the largest, most diversified, 83.64 4,145
expansive, and innovative NBFCs in India, standing at the million customers geographic locations
forefront of the financial landscape.
At the heart of our business lie tech-driven innovation Commercial Lending Micro-finance Lending
and financial inclusion. Over 17 years, Bajaj Finance has
enabled India’s growing mass affluent and middle-class
population to fulfil aspirations by providing access to an
extensive range of financial solutions. Since inception,
the Company has leveraged technology to launch 26
product lines and 51 product variants for retail, MSME and
198,250+ 2,576 Public and Corporate Partnerships and
commercial consumers, with major product innovations Deposits Services
active distributions presence in rural/
such as the EMI card and Flexi. points smaller towns and
villages

BFL is present in 4,145 locations across the country, including 2,576 in rural/smaller towns and villages.
Geographical expansion, large customer franchise and adoption of digital technology continue to be critical pillars
of the Company’s growth.
New-to-Credit Financing Rural Lending

Our financing products are enabling us to As part of our Rural Lending Initiative, we have
onboard new-to credit customers, thus established a comprehensive distribution network in
giving them access to a larger suite of medium and small towns, as well as villages nationwide.
products in the financial services sector. This initiative offers simple and diverse financial products
suited to their needs, including consumer durables,
mobile phones, gold loans, and personal loans, among
others. Overall, the Rural Lending and Gold Loans
business closed FY2024 with AUM of ₹ 28,415 crore.
19.8 million+ 18%

Credit facilities extended to new-to- Growth registered over
credit customers in the last five years the previous year
Key Initiatives
in Inclusive
Empowering Women
Finance Tractor Financing
In accordance with our commitment to As part of its long-range strategy,
sustainable growth, we have identified BFL is further expanding its product
women empowerment as a key focus offering by launching tractor financing
area, disbursing loans totalling more for promoting financial inclusion across
than ₹ 86,000 crore. farmer population in rural areas.
We have established a diversified business model with a
strong focus on customer acquisition and multiple loans
and services offerings and are located in rural and urban
locations enabling us to have a well-diversified asset 13.12 million+ ₹ 26 crore
mix across customer classes and geographies through loans disbursed to women, over last 3 years, AUM of tractor financing
a combination of secured and unsecured products. We enhancing women’s economic empowerment
continue to power our customer-centric journey through and self-reliance
our responsible growth strategy. This strategic approach
is driven by our sustained focus on all-inclusive financing.

BFL’s Micro-finance model focuses on providing

Micro-finance Group Loans small‑scale loans to those who are often excluded from
We launched the Micro-finance business operations in traditional banking systems, lacking collateral or credit
100 branches across Uttar Pradesh and Karnataka. history. Our aim is to empower and uplift low-income
• Our Micro-finance business stands on the pillars of individuals with access to financial resources necessary
inclusion and transparency. to start or expand small businesses.
• Our guiding goal is to bridge the gap between the non-

banked or under-banked populations with those with Strategy
access to formal financial services. Looking ahead in FY2025, our commitment at BFL
is to continue providing Micro-finance group loan
• We use innovative lending strategies such as group
services, exclusively in remote rural areas to women and
or individual lending focusing on social collateral to
support them in their efforts to enhance their families’
mitigate the risks associated with serving clients in
quality of life.
challenging economic situations.
In FY2025, we also plan to expand our reach to around
• Micro-finance not only provides a pathway for
18,000 villages in four large states (Southern and
individuals to improve their economic well-being
Northern India), covering 95 districts to support
but also contributes to community development by
~4 lakh women.
fostering entrepreneurship and creating jobs serving
as a catalyst for economic enhancement. We will be covering 10 aspirational districts. By FY2028,
we plan to provide our services to over 40 aspirational
districts as defined in NITI Aayog’s Aspirational District
Programme and provide financial services to over 20 lakh
women customers.
We are on a mission to provide high quality and timely

services at the doorsteps, thereby saving precious and
productive time of our esteemed women customers.
Our technology platform leverages the paperless KYC
process, thus enhancing customer experience for loan
applications, verification, and approvals. We have a
rule-engine based digital underwriting process to
facilitate faster loan approvals.
For Micro-finance customers, we are committed to serve

everyone with dignity and transparency, utilising our
services and communication infrastructure, all available
through our customers preferred language choice.

Securing Lives and Livelihoods Sustainably

Our vision is to enable financial access and security by offering a large gamut of financial products to support people’s livelihood, healthcare, education, homes, protection, and
savings requirements.
Healthcare financing Renewable energy

Our comprehensive EMI solutions are tailored to meet the For responsible growth and sustainable development,
healthcare and medical needs of customers, covering we provide financing for solar equipment through
financing for medical procedures, fitness equipment, and affordable EMI schemes, facilitating access to
bicycles. In the last three years, we have disbursed environment friendly renewable energy sources.
over K 2,020 crore through more than 3.58 lakh Over last three years, we have disbursed more
loans in health and wellness sector. than ₹ 18 crore through more than 5,100 loans
for financing solar panels.
Enhancing customer protection

and savings
To ensure comprehensive coverage for our
customers, we distribute life, health, and term
insurance products as we distributed more than
Empowering livelihood 59 lakh life insurance policies, more than
Our financing solutions for three-wheeler passenger 82 lakh health insurance policies, and more than
vehicles aim to empower the underprivileged and 14 lakh term life insurance policies, in the last
underserved segments of society, enabling them to three years.
acquire productive assets and earn a livelihood. Over
the past three years, we have facilitated the financing
of more than 399,000 three-wheeler passenger
vehicles, disbursing over K 9,700 crore.
Supporting SMEs
We address the working capital and term loan
requirements of professionals, and relatively Education goals
underserved SMEs and MSMEs. Thus, enabling growth Educational loan is a key component of our EMI financing
and sustainability of these critical segments. More solutions, with customised offerings addressing our
than ₹ 58,000 crore disbursed in last three years customers’ education loan requirements. Over the last
for SME Lending. three years, we have disbursed more than
₹ 1,340 crore through more than 2.2 lakh loans for
educational purposes.

Pension scheme At BFL, we believe in providing access to finance to

under-served communities and thus, our current
Our subsidiary, BFinsec (Bajaj Financial Securities
infrastructure is designed to cater to the needs of
Limited), is registered with the Pension Fund Regulatory
differently abled customers. Over the years, we have
and Development Authority (PFRDA) as a Point of
made a conscious effort to digitise customer service
Presence-Online (PoP – Online) to distribute and service
processes, reducing the need for in-person customer
the National Pension Scheme (NPS) through an online
interactions. Mapping the entire lifecycle of customer
platform—a social security pension and investment
interactions and making available all possible customer
scheme initiated by the government. 1,600+ NPS
requests such as soft copy of agreements, repayment
accounts distributed and serviced till date.
schedules, yearly interest certificates, statements of
Insurance products accounts, loan closure and no dues certificates, release
of hypothecation and mortgages, deposit receipts, etc.
Registered with the Insurance Regulatory and
Promoting savings Development Authority of India (IRDAI) as a corporate
in a digital mode, these service requests are being fulfilled
As a responsible financial partner, we actively promote a digitally to obviate the need for customer visits to BFL
agent, BFL is authorised to distribute life, health, and
culture of savings among our customers: offices. FY2024 has seen a decline in branch walk-ins
general insurance products across twenty seven (27)
owing to the increasing digital presence.
• Our Systematic Deposit Plan (SDP) allows them to insurance partners. During the year, BFL has also
periodically deposit small amounts with BFL, with over started distribution of the Micro Insurance Products The paramount consideration at BFL Group is the
68,000 systematic deposits placed till date. to increase insurance penetration across rural and advancement of financial well-being, security, savings,
semi-urban geographies. and ultimately, financial inclusion. Our business verticals
• Higher Fixed Deposit (FD) rates for senior citizens, we and segments are all designed to meet the needs of our
provide additional interest of 0.40%. Till date, over varied customers while at the same time empowering
8.3 lakh FDs placed. businesses and individuals to enhance growth and a
• In January 2024, BFL launched a digital-only fixed sustainable future for all.
deposit for 42 months tenure, available exclusively on
Bajaj Finserv website and app. Deposits booked under
the aforesaid scheme have a higher rate of interest
compared to other deposit schemes benefitting both
senior and non-senior citizens.

At Bajaj Finance, protecting the
environment has always been
high among our priorities. We
PRESERVING AND
continue to focus on minimising
our ecological footprint through
sustainable practices such
as reduction in use of paper
though digitalisation, waste
reduction, and generating and
PROTECTING THE
using renewable energy.
Anupam Sirbhaiya
ENVIRONMENT
Chief Human Resources &
Administration Officer
Bajaj Finance Limited (BFL) Group is dedicated to promoting a

clean and sustainable environment by consistently enhancing
its Environmental and Sustainability performance. The
Company’s group-wide Code of Ethics and Personal Conduct
(CoEPC) underscores a commitment to environmental
respect, waste elimination, and resource conservation as
integral practices. BFL emphasises its robust environmental
UN SDGs Aligned governance through its Environmental Policy that incorporates
sustainable practices and governance systems into its daily
operations, aiming to minimise environmental impacts.
PRESERVING AND PROTECTING THE ENVIRONMENT
As a Non-Banking Financial Company (NBFC), BFL Our Environmental policy briefly Navigating ESG: A Roadmap for
maintains a streamlined approach to resource utilisation,
characterised by minimal consumption of raw materials.
highlights the Company’s best Sustainable Growth
BFL is not engaged in production of tangible goods. practices towards
Bajaj Finance Limited is dedicated to minimising
BFL’s core focus revolves around providing financial
its environmental and social impact and fostering
solutions to address diverse needs of its customers.
sustainable practices. As a part of our commitment,
BFL Group fosters a conservation-oriented culture that
Compliance we have established a guide for our operations towards
involves vigilant monitoring of resource consumption and with applicable social and eco-friendly practices.
encourages innovative approaches to reduce reliance on environmental laws
natural resources. and regulations a. For all lines of businesses, we do not finance:
Environmental Governance Responsible

Optimum use
of Energy
In line with BFL’s dedication to environmental lending/investing by and Emissions
conservation, BFL has implemented the Environmental the Company Management Manufacture and marketing Dealing in narcotics
Policy, exemplifying our unwavering commitment of banned drugs
to sustainable practices and responsible corporate
citizenship. Guided by a strong commitment to
environmental stewardship, our Policy integrates sound Environmental
eco-friendly principles and governance mechanisms into awareness for Promote best -water Any unlawful activities Production or trade in
our operations, serving as a holistic approach to minimise external & waste management
and internal practices radioactive materials
our ecological footprint, foster resource conservation, stakeholders
and proactively address environmental challenges.
Through meticulous monitoring and continuous
improvement initiatives, we endeavour to contribute Dealing in banned Production or trade
meaningfully to a cleaner and more sustainable future, wildlife‑related products in any illegal products
aligning our financial endeavours with the imperative of or activities
environmental responsibility.
b. For commercial lending businesses, we do not fund:
Environmental Policy sets outs commitments of the
Company to bring in environmental and social friendly
practices in its system. In its commercial lending
business, the Company commits not to extend funding
to polluting industries unless the units have a valid Standalone manufacturing Polluting industries without
clearance from pollution control authorities and have and marketing of gutkha proper clearance and
installed effluent treatment plants. and tobacco effluent treatment of plants
Standalone casinos and

betting of any form

Total Emission FY2024 in (tCO2e)

Greenhouse Gas Emissions Environmental Performance
In upholding BFL’s environmental responsibility, it is The expansion of our physical presence, which includes Scope 1
essential to evaluate and manage both Scope 1 and opening new offices and branches to accommodate our
Scope 2 emissions, considering various aspects of the growing talent and meet the demands of our expanding Scope 2
company’s operations. business, has led to an increase in our environmental
footprint and energy usage. However, it has also resulted
Reporting Boundary in a reduction in the overall emission intensity. Scope 3
The reporting boundary covers BFL and its subsidiaries - Scope 1 Emissions: includes owned and operationally
pan-India location of operations. GHG Emission
controlled DG sets, Company-owned cars, refrigerant
31%
used for air conditioning, and Co2 extinguisher refilling.
Reporting Standards
The annual GHG emission disclosures – Scope 1, Scope Scope 2 Emissions: primarily results from procurement 10%
2, and Scope 3 have been prepared in accordance with of electricity to sustain our operations.
the requirements of the Greenhouse Gas Protocol: A Scope 3 Emissions: in addition to measuring and
Corporate Accounting and Reporting Standard with the managing Scope 1 and Scope 2 emissions, BFL 59%
emission factors sourced from the Intergovernmental recognises the significance of Scope 3 emissions in
Panel on Climate Change’s (IPCC) Fourth Assessment Scope 1 Scope 2 Scope 3
its commitment to comprehensive environmental
Report, The UK Department for Environment, Food and stewardship. BFL Group’s Scope 3 emissions includes Total emission intensity per crore of Consolidated
Rural Affairs (Defra) Central Electricity Authority, Govt. the following: Total Revenue from Operations
of India and India GHG Programme, 2014.
FY2023
FY2024
Travel by air, train,

Business
road, hotel stay and
Travel Total GHG Intensity per FTE (tCo2e / Employee)
guest house stay
FY2023
Purchased Procurement of FY2024

Goods office supplies and
and Services housekeeping essentials In managing Scope 1, Scope 2, and Scope 3 emissions,
BFL Group adopts holistic environmental management
approach. Through continuous evaluation, strategic
planning, and the implementation of sustainable
Downstream practices, the Company aims to not only fulfill its financial
Courier and relocation
transportation objectives but also contribute positively to the broader
of employee’s goods
and distribution environmental goals and foster a culture of responsible
corporate citizenship.

Independent Assurance on GHG Waste Management 22.51 tonnes

BFL and its subsidiaries are committed to constantly As BFL Group’s operations expand nationwide, there is of e-waste generated
take steps towards enhancing the credibility and an evolving need for the Company to track and report and recycled in FY2024
reliability of reported carbon footprints. Since E-waste and Battery waste. BFL Group is committed to
FY2022, BFL and its Subsidiaries had undertaken preventing any of its waste ending up in landfills, thereby
voluntary limited level of assurance. For the
FY2024, in compliance with SEBI Guidelines,
reducing the overall environmental footprint associated
with its digital infrastructure. 19.35 tonnes
of battery waste recycled in FY2024
BFL and its subsidiaries undertook a reasonable In a dedicated effort to mitigate environmental impact,
level of assurance for Scope 1 and 2 emissions. the Company has partnered with waste management
Additionally, we have voluntarily obtained limited vendors for the responsible disposal of its e-waste
level of assurance for Scope 3 emissions through an and battery waste by adhering to the E-waste
external independent assurance provider. (Management) Rules.
Please refer to our Annual Report FY2024 page 197 at for the The Company has also started taking steps towards
detailed assurance statement. running a feasibility assessment for potentially tracking
any other types of waste, as applicable.

Environmental Initiatives
Environmental initiatives encompass a wide range of Energy efficiency
actions, aimed at protecting, preserving, and restoring
the natural world, and addressing various environmental
Energy efficiency is the smart choice for a sustainable
challenges, including climate change, biodiversity loss,
future. We, at BFL Group, by embracing energy efficiency
pollution, and resource depletion. Whether it’s planting
in our daily lives and businesses, create a brighter,
trees, promoting renewable energy, or implementing
cleaner, and more sustainable world for all as we lower
sustainable practices, BFL group’s environmental
our impact on the environment.
initiatives make modest contributions to creating a
healthier planet for generations.
Energy saving practices Locations with Advance Illumination
Advance illumination 2022

Energy efficiency LED fittings boast a long lifespan and consume
significantly less electricity, saving both energy and 2023
the environment in the long run. Over 2,200 BFL Group
branches are provided with LED light fittings as a 2024
standard feature.
Environment-friendly
practices
Daylighting
Selecting and designing offices to harness natural
sources of light and brighten and illuminate interior
environments, promoting a connection to the outdoors
Digitalisation and providing various benefits such as energy savings
and improved well-being.
CASE STUDY
Environmental stewardship
through financing Wakdewadi branch pilot project
BFL is running a pilot project to make our location
office sustainable and efficient by using a unique
IoT-based integrated solution with a 24x7 remote
Stakeholder awareness cloud-hosted monitoring platform.
about environment

Ozone-friendly Air Conditioning Systems Saplings Plantation

Environment-friendly BFL is using refrigerants that are ozone- friendly. These To restore the environment, promote biodiversity,
practices refrigerants help prevent ozone depletion and reduce the and mitigate climate change, BFL spearheaded a
risk of harmful UV radiation, utilising newer technologies tree plantation initiative that has seen the successful
Usage of E-Vehicles that are more energy-efficient to lower electricity planting of more than 70,000 saplings during the
consumption, and greenhouse gas emissions. year. Commitment to environmental stewardship and
BFL and its subsidiaries have ramped up the adoption of
sustainable practices for improving air and water quality
environment friendly electric vehicles (EVs) for inter-
Ozone-friendly ACs (in TR) and fostering a sense of community pride, BFL Group
office shuttle services, significantly reducing air pollution
planted over 345,000 saplings and created a tree planting
and improving local air quality. The introduction of 20
portfolio during the last 4 years.
EVs marked a significant acceleration in this initiative 2022
- collectively traveling over 4 lakh kilometers and
completing over 1.40 lakh trips during FY2024. 2023
2024
Solar panels
Solar panels offer benefits, both for businesses and the
planet by harnessing the power of sunlight, reducing
reliance on fossil fuels. By Installation of rooftop solar
panels at offices, BFL has produced ~5.90 lakh units of
clean energy.
~46.10 tCO2e
Carbon emission saving due to usage
Recycled Paper of E-Vehicles for inter-office shuttle
Recycled paper turns yesterday’s waste into today’s services in FY2024
resource and offers a greener alternative to traditional
paper production.
Supporting a sustainable future and healthier planet, BFL Over 140,000

Group has procured 80% of recycled paper of total papers Trips completed during the year through
procured during FY2024. e-vehicles for inter-office shuttle services

Digitalisation Paper saving operations

• Paperless loans on e-commerce and wallet
• E-agreements and OTP-based agreements across platforms, and through tele binding process for
low-ticket and high-volume businesses. existing customers.
Digitisation initiatives
• BFL continues to grow retail and corporate • Accepting digital invoice copies from vendors for
• Meeting and training through digital mediums
deposits as a part of its growth strategy and is consumer B2B financing.
• Using cloud-based virtual servers to increase energy simultaneously increasing its focus on digital
efficiency and data security origination of retail deposits. • Encouraging dissemination of insurance, extended
warranty, comprehensive asset care policies, and
• As a continuing endeavour towards the ‘Go Green’ • Enabling customers to place deposits online till bureau reports by partners through a digital medium.
initiative launched by Ministry of Corporate Affairs date over 3 lakh deposits have been placed digitally.
(MCA), BFL sends documents such as notice calling With more thrust on digital sourcing of deposits, • Providing e-mandate registration process for EMI
the annual general meeting, postal ballot notice, approximately 57% of the deposits sourced during repayment — e-mandates now contribute to nearly
audited financial statements, Directors’ Report, the year are paperless. 59% of new business.
Auditors’ report, credit of dividend intimation letters, • Focusing on migrating all mandatory and voluntary
• Prioritising digital KYC enabled by Aadhaar and video
etc. in electronic form to the email addresses provided customer communications over email and messaging
KYC over paper KYC.
by the members and made available by them to the apps, etc.
Company through the depositories • Replaced physical EMI cards with digital EMI cards.
Reducing Paper Consumption

BFL Group has been actively working to minimise
paper consumption across its business operations
Paper saving through other areas
by integrating digital applications comprehensively.
It enhances efficiency, reduces costs, improves the • Shifting from issuance of physical purchase
customer experience, and contributes to environmental orders to electronic purchase orders.
protection efforts by significantly lowering paper usage. • Discontinuing issuance of paper visiting cards to
Through various such initiatives, BFL Group in the last employees as visiting cards are now being issued
three years, reduced consumption by approximately in digital format.
5,050 million sheets of paper, saving approximately • Shifting a large proportion of invoice processing
6 lakh trees. to e-invoicing.
• Password-enabled centralised printing system to

reduce paper waste.

Environmental stewardship Stakeholder awareness

through financing about environment
BFL acknowledges the environmental consequences

of its lending practices. The Electric Vehicle (EV) BFL fosters positive social and environmental impacts
financing product enables the company to provide through its business operations, conducted with
solutions facilitating the shift from traditional fossil responsibility, ethics, and inclusivity. Upholding our
fuel vehicles to EVs, thereby aiding in the reduction commitment to a clean and sustainable environment,
of overall emissions from the transportation sector. we rigorously adhere to all relevant laws and regulations
By actively supporting clean mobility through its governing our activities, ensuring compliance in both
two wheeler and four wheeler finance business, Financing Eco-friendly Technologies (5-star and letter and spirit.
BFL is making a meaningful contribution to lowering above rating devices)
emissions in the transportation industry. BFL is committed to fostering environmental
Internal Stakeholder
responsibility through its financing initiatives, including
eco-friendly devices. Emphasising its dedication to • At BFL, we believe in creating awareness
FY2024, BFL has provided access to sustainability, BFL extends its support to the acquisition among employees and management about the
environmental modes of transport of 5-star and above rating devices, aligning with the importance of environmental conservation and
highest standards of energy efficiency, and reduced the impact of business activities on the planet.
54,000+ K 700+ crore environmental impact. The Company empowers
consumers to make environmentally conscious choices to • Internal awareness initiatives include training
Electric vehicles (EVs) disbursed minimise the overall carbon footprint. modules and regular communications to
financed highlight environmental goals, initiatives, and
Through this initiative, the company actively promotes best practices to cultivate a sense of ownership
a greener lifestyle, encouraging a positive impact on and commitment towards creating a more
the environment. By making these financing options environmentally conscious workplace.
accessible, BFL strives to be a catalyst for the widespread
adoption of eco-friendly technologies, contributing to a
more sustainable and eco-conscious future.
External Stakeholder
In FY2024, BFL has financed more than Through social media platforms, Bajaj Finance
Limited reaffirms its commitment to creating
5 lakh awareness of environmental outcomes for
eco-friendly devices external stakeholders.
During last three years, BFL has financed more than
5,100 K 18 crore
solar panel disbursed


Empowering society is at
the core of our purpose as
an organisation. From skill
EMPOWERING
development for youth to
supporting child education
and health, we are constantly
seeking to deliver high
impact programmes to drive
social change.
SOCIETY
Kurush Irani
President, CSR With a rich legacy of contributing to the community, the
Bajaj Group of Companies has long considered CSR as an
intrinsic corporate value, and its social impact programmes
reflect its commitment towards society. Bajaj Finserv is
committed to building a better future for the country’s
next generation with a special focus on Children and
Youth as beneficiaries. During FY2024, 209 projects were
implemented with a CSR Spend of ₹200.95 crore.
UN SDGs Aligned
EMPOWERING SOCIETY
Collaborating with colleges and leveraging training

Our Strategy - Benefitting the partners, CPBFI delivers training modules co-designed
Youth of today and tomorrow. and executed by expert trainers with extensive industry
The Company’s social investments are strategically experience. With a nationwide presence across 410
directed towards areas of Skilling, Child Education, Child colleges and collaboration with five training partners,
Health, Child Protection, and Inclusion for Persons with the programme has facilitated by over 240 trainers
Disabilities. It collaborates with several not-for-profit across 22 states. It has thus far transformed lives of
organisations, government, hospitals, institutions, 53,000+ students.
and training partners to implement programmes and CPBFI’s commitment to excellence is underscored by
drive interventions at ground level. It also runs its self- its collaborations with Ministry of Education which
implemented skilling programme – CPBFI, a Certificate enabled a partnership with National Skill Development
Programme in Banking, Finance, and Insurance. Along Corporation (NSDC) through which all the students will
with targeted projects, Bajaj Finserv also focuses receive the joint certification on completing the CPBFI
on several strategic projects with select partners to training. On the other hand, with All India Council for
maximise the impact of its interventions. Technical Education (AICTE) partnership, the intent is to
Portfolio wise details: collaborate in deeper geographies in the tier 2 and 3 cities
CPBFI: The Flagship Skilling of India.
Youth Skilling Programme Furthermore, Project Odiserv was launched to initiate
We are dedicated to narrowing the skills gap in our nation Primarily targeting first-generation graduates from CPBFI training in 60 Orissa colleges, with a review
by offering comprehensive Skilling & Employability smaller towns, the programme empowers ambitious planned after three months. The project began after a
programmes, supporting self-employment initiatives, individuals by equipping them with finance industry- successful pilot involving 24 batches across 18 colleges
and providing assistance for entrepreneurial ventures, relevant skills. Notably, 66% of participants are first- in 11 cities and 10 districts. Two job fairs were hosted in
particularly for youth and women from disadvantaged generation graduates, predominantly comprising of Bhubaneswar and Sambalpur, wherein Ministry officials
backgrounds. Our flagship skilling programme, CPBFI - a young aspirants from tier 2 or 3 cities, with a significant and Bajaj Finserv leadership presented offer letters to
Certificate Programme in Banking, Finance & Insurance representation of women at 70%. 15 students.
empowers first-generation graduates from smaller towns
to be job-ready in the financial services industry. The 100-hour programme has been meticulously
designed to offer a combination of experiential learning
and insights from corporate trainers and finance domain
28,318 70,737 experts. It thus offers a robust understanding of technical
Enrolled under self- Youth skilled for subjects in banking and insurance and enables students
implemented CPBFI employment and to acquire approximately 21-23 skills crucial for the
programme enterprise via grant workplace. In addition to the technical and skill related
making projects competencies, Bajaj also focuses on attitude as a core
domain with the help of psychology-based tools. This
Note: The beneficiaries are estimated for full project enables the students to make well informed decisions in
period and not for the financial year under consideration. life and at work. Furthermore, HR workshops conducted
by Bajaj Finserv Recruiters, enhance practical knowledge
and evaluate industry readiness of the learner.

EMPOWERING SOCIETY
Youth Skilling for Employment Healthcare Capacity-building

and Enterprise Within the healthcare domain, our efforts are directed
Our commitment to skill development is deeply towards enhancing the capacity of healthcare
intertwined with our portfolio objectives, that includes professionals, especially paramedics and technical
education, health and inclusion for persons to ensure staff, through targeted capacity-building and fellowship
a holistic approach that either enable the youth to initiatives. Providing them with advanced training and
get employed or leads to their income generation resources leads to improved healthcare delivery and
through enterprise set up. Working in each of the outcomes. We work towards addressing the needs not
sectors has provided a deeper understanding of their only in the rural and urban areas but also a section of
need gaps and to design or support the relevant tribal communities, thereby reducing migration pressures.
programmes accordingly. 230 youth have benefitted from the programmes.
Enhancement of Teaching Skills

In the education sector, we focus on empowering
teachers through comprehensive training programs,
equipping them with the tools and knowledge needed to
deliver quality education effectively. 77 individuals have
benefitted from the programme.
Skill Development for PwDs includes provision of training in enterprise-based and

We recognise that individuals with disabilities, including employability-focused skills. We have also provided
those with intellectual and developmental challenges recruitment of Persons with Disabilities (PwDs) within
such as autism, Down Syndrome, and cerebral palsy, Bajaj offices. These efforts aim to empower individuals
often face limited opportunities in the job market. with disabilities to generate income and enhance their
Hence, we collaborate closely with our partners to economic independence. 9,057 PwDs have benefitted
design and implement skill development programmes from the programs.
that cater to their unique needs and challenges. This Women Empowerment through Skilling
Sector-Specific or Need-Based training We prioritise empowering women by providing them
We support Sector-Specific or Need-Based Training with the skills necessary to secure employment or
projects aimed at employment or enterprise by providing entrepreneurial opportunities. This includes women
targeted skill development, vocational training, and need- from marginalised communities, rural areas, and those
based programs. These projects are designed to benefit belonging to lower socio-economic group. We equip
youth from marginalised or underserved communities, them with a diverse range of training programs, spanning
learn specific skills meet the demands of specific healthcare services, retail, hospitality, artisanal skills, food
industries and regions. By focusing on these targeted processing, and computer literacy. These initiatives aim
efforts, we aim to create meaningful employment to not only enable women to earn a sustainable income
opportunities and bridge the gap between job seekers but also to enhance their economic independence and
and industry needs effectively. 38,966 youth have been contribute to their overall empowerment. 19,434 women
benefitted from these programs. have benefitted from the initiatives.

EMPOWERING SOCIETY
Specific interventions include:

Waste Management Society (WMS) - Child
Skill Development of Marginalised and Children are the most vulnerable members of society, Cleft Care
Vulnerable Women and investing in their well-being is investing in the future. We provide essential support for children born with
By addressing their needs and providing comprehensive cleft lip or palate conditions, ensuring they receive the
WMS’s project Vihaan aims to empower women from care through several intervention, we aim to lay necessary surgeries and comprehensive care. Through
vulnerable communities, especially victims of human the foundation for their brighter future. We support our partnership with Smile Train India, we’ve launched
trafficking, by providing specialised four-month projects linked to Child Health, Child Education, Child the Maha Smiles Cleft Care for Every Child initiative in
skill training coupled with extensive placement Protection and Inclusion for Persons with Disability as Maharashtra, aiming to perform comprehensive 8,000
assistance and ongoing support. Addressing these individual aspects of a child’s life contribute to its surgeries and raise awareness for early interventions.
financial and livelihood needs, it recognises the overall development. Our collaboration extends to working closely with ASHA
challenges women face due to financial instability, (Accredited Social Health Activist) or RBSK (Rashtriya
limited access to suitable employment, and
lack of essential skills. The project also targets 33,537 444,537 Bal Swasthya Karyakram) workers and FOGSCI
(Federation of Obstetric and Gynaecological Societies
educational disparities among beneficiaries, offering were supported through benefitted from
of India) to spread awareness within communities. To
comprehensive educational programmes to bridge health interventions education-related
extend the reach in deeper geographies, Smile Train has
the gap. With the primary objective of providing skill initiatives
established partnerships with several network hospitals
training and employment opportunities to young
women who have suffered from trafficking and 14,582 99,189 and initiated fellowship programs. 27,150 children were
supported through the entire project.
exploitation, the methodology includes mobilisation supported under persons with disability
and vulnerability assessment, a foundational course children protection were supported
covering various modules, aptitude assessment,
Note: The beneficiaries are estimated for full project period
domain-specific skill training, placement support, and not for the financial year under consideration.
and post-placement assistance. Through Bajaj
Finserv’s support, 60 women will be trained with
relevant skills and the ones that qualify will secure
Child Health
employment thus becoming financially independent. Child Health focuses on providing holistic care for
children under 18 years of age. Through various curative
and community-based interventions, we aim to address
the diverse healthcare needs of children. Collaborating
with various organisations and hospitals in Pune and
Maharashtra, we provide financial assistance to children
affected by mainly heart conditions, cancer, cleft lip/
palate, Type 1 diabetes and epilepsy.
These interventions along with strategic projects

are designed to provide comprehensive support,
encompassing diagnosis, treatment, rehabilitation, and
ongoing care. We also work with organisations to enhance
the healthcare infrastructure facilities of hospitals to
ensure delivery of high-quality care to those in need.

EMPOWERING SOCIETY
Type 1 Diabetes Care Cancer Care

We support medical care, diabetes education, counselling, Our initiatives are focused on providing patient support
and overall support to children with Type 1 diabetes services and upgrading hospital facilities. 1,986 children
and their families. Understanding the nuances around were supported under the intervention.
diabetes treatment, we have extended our support to
Epilepsy Care
HCJMRI hospital and established a Centre of Excellence
for T1D that will work on Hub and Spoke Model. The We provide financial assistance for paediatric patients
approach includes establishment of a central Hub at requiring epilepsy care and surgery. 1,466 children were
HCJMRI in Pune and satellite Spokes in Nagpur and supported under the intervention.
Kolhapur, holding capacity-building workshops for
healthcare professionals to enhance project management
skills, introducing skilling programmes offering courses
in Nutrition and Diabetes education and Research and
advocacy initiatives targeting Type 1 diabetes. 500
children were supported under the intervention.
Paediatric Heart Care

Our efforts encompass a range of initiatives, including HCJMRI - Sweetlings Project and Centre of Excellence for Type 1 diabetes
supporting surgeries for congenital heart disease,
Children with diabetes and their families face Spokes in Nagpur and Kolhapur for diabetes care, do
enhancing primary healthcare facilities, raising
immense physical, mental, psychological, and capacity-building for healthcare professionals, offer
community awareness about early interventions and
financial challenges. Without assistance, those from skilling programmes in Nutrition and Diabetes education
heart defects through referrals from RBSK teams, and
underprivileged backgrounds are particularly vulnerable and also conduct research and advocacy targeting Type
conducting research and studies on heart diseases.
to early complications, frequent hospitalisations, 1 diabetes. The projects aim to impact 680 children and
1,345 children were supported under the intervention.
educational setbacks, and familial discord, risking healthcare professionals.
dire health outcomes. HCJMRI’s Sweetlings Project
Hailing from Surdi in Barshi, Solapur, 19-year-old
supported by Bajaj Finance provides comprehensive
Chetan comes from a family of three. Unfortunately,
care to children with diabetes and their families
Chetan’s father has passed away, leaving behind a
across Maharashtra and neighbouring states. This
significant financial burden. Despite these adversities,
initiative includes holistic medical support, outreach
Chetan’s determination to secure his future in
programmes for counselling and education, screening
healthcare remains unwavering. He is currently
efforts, and empowerment initiatives to foster self-
pursuing a course in Operation Theatre Technology
sufficiency among affected youth. Strengthening
(OT) at Chandrarang Paramedical College in Pune.
our commitment to Type 1 diabetes further, BFL and
HCJMRI’s support has been instrumental in helping
HCJMRI have establish a Centre of Excellence (CoE) for
him overcome financial difficulties stemming from his
Type 1 diabetes, aiming to extend aid to more children
family’s impoverished background. Moreover, it has
across multiple locations. It will adopt Hub and Spoke
allowed him to continue his education while his mother
model and establishment of a central Hub at Pune and
faces health issues.

EMPOWERING SOCIETY
Early Childhood Education Pi Jam Foundation - Nurturing Creators

Centred on cognitive, social, and emotional development, and Problem Solvers
early childhood education initiatives prioritise language
enhancement and school readiness, laying a strong Pi Jam Foundation is dedicated to providing
foundation for future academic success. 2,000 children affordable technology access and enhancing
were supported under the intervention. computer education quality for children and
Comprehensive School Interventions educators in India, focusing on critical skills like
problem-solving and critical thinking. Through
Comprehensive interventions encompass nutrition
a system thinking approach, they aim to instil
support, health check-ups, and skill development to
foundational digital, computational, and problem-
enhance employability, ensuring students are equipped
solving skills through demonstration, role modelling,
with essential competencies for their academic and
advocacy, and research. Operating across a spectrum
professional journey. 5,937 children were supported
of depth and scale, they utilise open-source
Child Education under the intervention.
tools, curated curriculum, and co-creation with
The initiatives are directed towards enhancing the lives Vocational Education Initiatives stakeholders to teach computing and design thinking
of children by aligning with government programmes in schools. Their initiative targets 5th to 8th-grade
Efforts in vocational education aim to impart practical
and schemes, with a particular emphasis on education, students in PMC schools, fostering skills essential
skills and industry knowledge, contributing to decreased
skill development, infrastructure accessibility, and staff for the digital age and encouraging innovation
dropout rates and heightened employability prospects
capacity building. through project showcases. Methodologies include
among students. 4,000 children were supported under
Specific interventions include: the intervention. school identification, partnerships, teacher training,
setting up Pi-Labs, regular classes, and monitoring
Digital Teaching Interventions Scholarship Support progress through assessments. With Bajaj Finserv’s
Collaboration with organisations to facilitate digital We extend scholarship support, facilitating the support they will implement 250 innovative projects
teaching interventions, harnessing technology to completion of education and opening doors to brighter addressing local issues, establishing 25 new Pi-Labs,
augment educational accessibility and effectiveness. futures for deserving students. 10 children were and supporting over 49,575 students in PMC school.
17,250 children were supported under the intervention. supported under the intervention.
Foundational Learning Health Check ups and Follow-up Treatments

Supported projects target barriers to foundational Implementing partners oversee annual health check-
learning and numeracy, with a specific focus on ups and follow-up treatments, prioritising the well-being
bolstering academic performance in core subjects of children and addressing potential health concerns
through innovative approaches. 67,316 children were proactively. 200,000 children were supported under the
supported under the intervention. intervention.
Mental Health Interventions After-school Support

Partnerships enable the facilitation of mental health Various organisations offer after-school support through
interventions, encompassing emotional well-being early learning centres, coaching classes, and remedial
promotion and behavioural issue mitigation, vital for education, ensuring continued academic progress and
fostering a conducive learning environment. 94,350 holistic development beyond regular school hours.
children were supported under the intervention. 1,200 children were supported under the intervention.

EMPOWERING SOCIETY
Support for Adoption and Day Care Tara Mobile Crèches - Aadhar Day
Centres Care for Children of migrant labourers
We extend support to adoption and day care centres, working at construction sites
enabling the operation of facilities catering to children
of migrant labourers. Additionally, collaborations Tara Mobile Crèches Pune (TMCP) collaborates with
focus on organisations dedicated to adoption centres, construction sites and real estate developers to
ensuring continued support for vulnerable children establish day care centres, offering essential services
and their families. 560 were supported through like health, nutrition, education, and recreation to
the initiative. children, aged from birth to 18 years, across 14
Rescue and Reintegration Efforts sites in Pune and PCMC. TMCP’s efforts aim to keep
families together by providing a safe haven for
We facilitate the rescue of children from railway
children of migrant labourers, who otherwise face
platforms, providing temporary shelters, and reuniting
unsafe conditions or neglect while their parents’
them with their families. These initiatives have
work. With support from Bajaj Finance, the project
garnered recognition for their significant contributions
ensures a nurturing environment for children aged
to child protection and welfare. 3,650 were supported
0-18 at construction sites, offering day care facilities,
through the initiative.
educational support, youth development activities,
Learning Centres and parent involvement initiatives, ultimately aiming
Child Protection With the help of our partners, we contribute to the to improve the well-being and future prospects of
educational and developmental needs of vulnerable these vulnerable children. The project will impact
We aim to provide protection to vulnerable children
children, ensuring access to quality education and 2,200 children in Pune and PCMC area.
from marginalised communities who face risks such
as trafficking, abuse, child labour, legal conflicts, or enhancing their opportunities for a better future. 690
juvenile delinquency. Through strategic partnerships, were supported through the initiative.
we endeavour to create a secure environment for these Aftercare and Transition Support
children, prioritising their holistic development and well-
We provide ongoing guidance and assistance
being.
to children transitioning between phases of life,
Specific interventions include: ensuring continuity of care and support beyond
immediate interventions. 950 were supported through
Childcare Institutions
the initiative.
Childcare institutions play a crucial role in offering a
secure and nurturing environment for vulnerable children, Awareness and Sensitisation
providing structured educational and recreational Collaborative efforts extend to raising awareness
activities. We collaborate with them to foster socialisation, and sensitising communities about the issue of child
assist working parents with childcare services, and sexual abuse, partnering with various organisations
prioritise the cognitive, emotional, and physical to create a safer environment for children and prevent
development of children. 482 were supported through instances of abuse and exploitation. 32,818 were
the initiative. supported through the initiative.

EMPOWERING SOCIETY
Inclusion for Persons with Disabilities Dakshana India Educational Trust Fund -
We focus on the well-being of Persons with Disabilities Sponsorship and Mentorship programme for PwD
(PwDs) by facilitating their inclusion into mainstream Scholars for engineering and medical colleges
society. We address a variety of challenges, including
intellectual, developmental, physical, and locomotor Dakshana aims to alleviate poverty in India by
disabilities, with a strong emphasis on early identification, identifying impoverished yet brilliant teenagers
intervention, and counselling. and providing them intensive coaching to secure
Specific interventions include: admission into prestigious Indian Institutes of
Technology (IITs) and Government Medical Colleges
Early Rehabilitation (GMCs). By mitigating financial constraints,
It focuses on early detection, intervention, and educational disparities, and lack of guidance,
counselling to address disabilities at the earliest stage Dakshana levels the playing field for talented
possible. 1,404 beneficiaries were supported through but underprivileged students with physical and
the intervention. locomotive disabilities, enabling them to excel in
competitive exams and gain admission into top-tier
Educational Rehabilitation
engineering and medical institutions, ultimately
It encompasses supporting special schools, inclusive contributing to society. With a belief that investing
education initiatives, and vocational training programmes ₹ 2 lakh per family can potentially increase their
aimed at empowering Persons with Disabilities (PwDs) annual earnings by ₹ 5-10 lakh within 5-6 years
through education. This involves establishing inclusive and over ₹ 10-15 lakh within 10 years, the project
learning environments where students with and without boasts immense social return on investment (SROI).
disabilities learn together, utilising teaching methods Their approach includes comprehensive planning,
tailored to accommodate diverse learning needs. 6,501 communication with stakeholders, application
beneficiaries were supported through the intervention. processing, selection tests, financial verification,
Residential Homes
Medical Rehabilitation scholar preparation, and mentorship allocation,
They are offering house solutions for individuals with
ultimately facilitating access to scholarships and
It focuses on providing assistance in obtaining aids Intellectual and Developmental Disabilities (IDD),
education loans for higher education. Additionally,
and appliances to mitigate the effects of disabilities addressing concerns about their future after the
scholars maintain a lifelong association with
and improve quality of life. 2,580 beneficiaries were passing of their parents. 3,567 beneficiaries were
Dakshana, providing support to future students and
supported through the intervention. supported through the intervention.
contributing to the organisation’s initiatives.
Community Rehabilitation Infrastructure Development
The implemented projects offer therapies, counselling, It supports the renovation and construction of
educational support, medical aids, and employment facilities to enhance accessibility and accommodate
opportunities at the community level. 14,514 the needs of PwDs. 515 beneficiaries were supported
beneficiaries were supported through the intervention. through the intervention.

EMPOWERING SOCIETY
Enhance transparency and

Impact Assessment accountability in our CSR
Bajaj Finserv is committed to making a positive impact reporting and communication
on society through various CSR initiatives. Our CSR
projects span across areas such as education, healthcare,
Evaluate the effectiveness Provide recommendations
livelihoods, skilling and People with Disabilities (PwD).
of our CSR projects in for improvement and
We believe it is essential to assess the outcomes and
achieving their intended goals optimisation of future
effectiveness of these initiatives to ensure they align
and objectives CSR endeavours
with our objectives and contribute meaningfully to the
well-being of the communities we serve. With the impact
assessment of our projects, we aim to:
Identify strengths, Assess the sustainability

weaknesses, opportunities, of the outcomes generated
and challenges associated by these projects
with our CSR initiatives
In FY2024, we conducted the assessment study of Way Forward

24 CSR projects for BFL. The assessment exercise not In addition to our sustained dedication to the
only helped us understand the impact of our work on development of Child and Youth beneficiaries, the
ground but also highlighted the challenges associated, Company is committed to amplifying the impact of
feeding into our decision-making process and motivating its CSR expenditures by prioritising skill development,
us in continuing to engage in thoughtful learning enhancing and diversifying in-house programs,
and reflection. capitalising on established partnerships, and
implementing more strategic projects.

The only way to build a truly
sustainable business is by
putting customer first. We
CUSTOMER
constantly seek new ways to
solve customer pain points and
push boundaries to deliver a
better experience. Our customer
obsession creates loyalty,
advocacy, and long-term value.
OBSESSION
Deepak Bagati At BFL Group, we have ingrained the ethos of 'Customer
Chief Operating Officer Obsession' into our organisational culture to fulfil our vision
& President - Debt of driving responsible growth. We prioritise our engagement
Management Services with our customers and actively listening to their feedback
across all aspects of our business operations. BFL Group is
committed to facilitating a comprehensive organisational
transformation through customer-centric initiatives,
aiming to provide a seamless experience throughout the
customer lifecycle, from loan application to closure.
UN SDGs Aligned
CUSTOMER OBSESSION
Imbibing Customer Obsession to Customer Service Practices

Drive Responsible Growth BFL Group’s commitment to customer service proposition
is guided by a set of meticulously designed systems and
The customer-centric evolution of BFL Group is driven
well-crafted practices, which are reflected in BFL Group’s
by its profound insights into the evolving needs and
diversified product suite, deep geographical footprint, and
aspirations of its customers. These insights are gathered
vast distribution network.
through various channels, including regular collection of
'Customer Feedback' and ‘Employee Feedback’ on voice Collectively, these ensure that our financial products
of customers. This approach allows us to simplify and and services reach millions of Indians. This is discussed
streamline our processes, improve customer experience, in detail in the section– “Reaching financial services to
and ensure ongoing customer satisfaction. millions of Indians and providing sustainable and safe
products and services”.
Customer-centric Approach A glance at some of the practices driven by
• BFL Group has established several communication and customer obsession philosophy
service channels to engage with its customers, and to • The following are the channels through which
address their queries and requests promptly. customers can connect with BFL to engage in self-
• BFL has dedicated customer experience teams, service, raise concerns, requests, and complaints
within operations and across businesses, to drive our related to their loans, products, services, etc.
initiatives to measure customer experience, improve
processes, and cultivate customer-centric culture.
Mobile App ChatBot

• To connect with customers, all critical documents,
such as loan agreements, Fair Practice Code (FPC)
and branch notices, are provided in the vernacular
languages of their choice. The Company’s FPC along
My Account (Website) Visit our branch
with the grievance redressal mechanism with details of
GRO and RBI Ombudsman scheme are displayed on the
Company’s website and branches.
E-mail Missed call • BFL IVR is available in 9 different languages and is

operational 24/7, IVR also offers dynamic interactive
self-service options for 65 use cases.
• BFL has initiated vernacular response for queries
Dedicated received on social platforms in Hindi.
service branches Bi-Directional SMS
• For digitally non-savvy customers, BFL has provisioned
a ‘Dynamic Missed Call Service’ for getting life-stage-
based details of the latest relationships with BFL. The
usage count during the FY2024 was over 9.2 lakh.
Call centre

CUSTOMER OBSESSION
• BFL’s “9 am to 9 pm Calling” initiative is a consent-based • In terms of customer communication, there's a strategic

calling system, launched for queries received on social focus on enhancing communication management
platform. This has helped improve customer satisfaction across the organisation. A dedicated team has
and turn-around-time for resolution. been established to standardise communication
content for various lifecycle events in alignment with
• Our subsidiary – BFinsec has launched mobile app
governance standards.
– BFSLTRADE, along with a SAMADHAN platform,
designed to offer customer services via self-help Q&As • 14 post disbursal events available in 20 vernacular
& ticket-based query resolution. languages. Welcome Letter & No Dues Certificate
enabled in 20 languages.
• BHFL has introduced Repo Rate benchmark-based
lending in Salaried Home Loan - the first such offering • BHFL has introduced DIY home loan application process
by any HFC. to transform customer experience and the journey
is digital and seamless wherein our customer applies
• BFL and BHFL has successfully reduced the turnaround
online, and the remaining process are also through
time for customer registration, from approximately 15
various digital platforms like Account Aggregator, Video
days to nearly real time, with our e-mandate registration
personal discussion, E-Sanction and NESL Aadhaar-
process. In FY2024, e-mandate constituted nearly 59%
based E-Agreement which facilitates quicker and
of new business.
transparent sanction and disbursement.
• To protect our customers’ credit history, BFL

proactively sends them reminders on EMI dues well
before the due date. This ensures that customers
keep their bank accounts funded and do not suffer
unintentional defaults.
• BFL has implemented over 25+ service modules and
more than 325 service processes on both the App and
Website. These self-service digital platforms enable
customers to perform a wide range of tasks in real-
time, such as updating demographics, renewing fixed
deposits, making payments, downloading statements of
accounts (SOA), setting up e-Mandates, and more.
• The adoption rates for self-service are at 70%, with
contributions of 76% and 57% from the App and web
respectively. Additionally, self-service through IVR has
reached a rate of 84%.
• Owing to the increasing digital presence, FY2024 has
seen a decline in branch walk-ins.

CUSTOMER OBSESSION
Awareness Campaigns About Campaigns

Service Campaigns
We aim to educate our audience on various topics,
including NACH, understanding EMI components, and
the different channels available for reaching out to
us. Through campaigns, we strive to provide valuable
information and assistance to our customers, enhancing
their overall experience with our services.
Social Media Platforms
7
No. of Campaigns
1,690,000+
Impressions
Life Easy With NACH Whats The Matter

220+ Raising awareness about the National Automated Encourage our customers to reach out to us with any
No. of posts Clearing House (NACH) and its numerous benefits. queries or concerns they may have. We provide them
with a variety of channels through which they can easily
Time Pe EMI
connect with us, ensuring assistance and support.
Educate customer about importance of paying EMI on
time and measures for how to prevent EMI bounce. Issued In Your Interest
In this campaign we focus on the below points: Submit
Download Bajaj Finserv App
your updated phone number/email with your lender, Keep
Customer requesting statement of account, NOC, a track of all your existing loans on the CIBIL website.
Repayment schedule or Foreclosure letter same can be Also, it’s a healthy habit to keep checking your CIBIL
self-downloaded from website and Experia App. report and credit score on the CIBIL website.
Know Your 1st EMI Coverage Hai Zaroori
Educate the customer on 1st EMI amount and the This campaign aims to educate individuals about the
component of 1st EMI amount. critical importance of not cancelling coverage and
benefits of coverage.

CUSTOMER OBSESSION
Scaling Customer Experience This year marked a significant milestone with BFL
conducting its inaugural Customer Experience Annual
to the Next Level Operating Plan (AOP) for digital platforms, a move
At BFL Group, our focus is on continuously evolving necessitated by the growing scale and intricacy of
our business landscape to deliver our customers with the business. A key initiative under this AOP was the
seamless experience and service. unification of the App and Web into a single Digital Stack,
BFL Group is dedicated to enhancing its self-service with the strategy to equate App functionality with Web,
infrastructure, to provide a superior experience, greater ensuring a uniform and frictionless customer experience.
customer loyalty, and larger share of customers’ financial The completion of the App = Web strategy is anticipated
services wallet. with a release in September 2024. Throughout the year,
In line with this approach, BFL has instituted multiple the app has seen the addition of numerous features, now
cross-functional teams to identify areas requiring totalling 704.
process simplification across businesses, operations,
and collections to deliver superior customer experience.
Accordingly, we undertake periodic process,
policy, and system changes to propel enhanced
customer experience.
In continuation of its digital transformation journey
that started in FY2021 with the launch of the new Bajaj
Finserv App, BFL has gone live with 25+ service modules
covering 325 service journeys on the Bajaj Finserv App
and My Account (Website).
Unlike the traditional financial services model, which is
product focused followed by being customer oriented,
BFL’s omnichannel model starts with customers and
the products and processes follow. BFL believes that
the adoption of the omnichannel model has helped BFL
becoming a customer-centric digital enterprise. The
Company has achieved this by onboarding employees
with relevant skills, training existing employees to
Business Transformation
accelerate its omnichannel strategy and making
The Company’s strategy remains to be an ‘omnipresent’ structural changes to its technology stack.
financial services company dominant across all vectors
of consumer presence covering physical, app, web, The omnichannel strategy has six domains viz. (i)
social and virtual platforms. This led to the Omnichannel Geographic expansion, (ii) Bajaj Finserv app, (iii)
strategy, which was articulated in 2019 as part of BFL’s Bajaj Finserv website, (iv) Payments, (v) Productivity
long-range strategy to create a new phase of sustainable apps, and (vi) Customer data platform (CDP). During
growth. It has led to a huge structural shift for the FY2024, the Company significantly advanced on all
Company, and in reinventing the way it does everything. these domains.

CUSTOMER OBSESSION
Debt Management System payment channels and (iv) payment confirmation. These
communications are also made in vernacular language
BFL focuses on a robust debt management strategy to
via multiple channels like SMS, email, tele-calling and in-
ensure that its delinquent debt portfolio is kept at minimal
person visits.
levels. It accords debt management an important place in
its portfolio management strategy; and has a dedicated The Company has a dedicated structure aligned with
structure to follow a strict protocol for missed payments. business verticals for servicing customers: (i) with
The Company considers debt management as a service current month outstanding; (ii) in early delinquency; and
to customers to enable fair and ethical recovery of (iii) in NPA and write-off stage.
delinquent accounts and past-due payments. In an endeavour to follow a non-intrusive debt
BFL continues to invest in its debt management service management practice, BFL collects an electronic clearing
structure, service organisation, processes, trainings of mandate from its customers. In case of dishonour of
employees and agencies, strict adherence of compliance bank instrument, BFL provides customers with over 28
requirements and controllership by leveraging technology different digital payment options such as NEFT, RTGS,
to follow a non-intrusive debt management mechanism. Bharat Bill Payment Service (BBPS), Unified Payment
It follows a strong governance model for its debt Interface (UPI), CC Avenue, Wallets, Google Pay,
management services practices and ensures strict payment banks etc. These digital channels, along with
adherence to the regulatory and internal policies, code branch walk-ins, account for approximately 51% of debt
of conduct and fair practice code. It offers a choice to management volume.
customers to make overdue payments through digital In November 2022, the Company got its DRA training
Other Initiatives channels, branch walk-in, at retailer points as well as accreditation from Indian Institute of Banking and
• To enable a quick, automated response to customer door-step debt management services. Finance (IIBF). BFL has invested in online DRA training
requests, BFL leverages Machine Learning (ML) and The debt management journey begins well before the infrastructure for agents. After completion of online
Robotic Process Automation (RPA) in a big way. customer’s instalment falls due. As a matter of good training, agents appear for a DRA certification test
During FY2024, we responded to over 1.91 lakh customer service, BFL sends advance intimations to all conducted by IIBF. The success rate of agents to clear
service requests on a near to-real-time basis without its customers five to six days before the instalment falls the exam is around 80%. The Company has planned to
human intervention. due, to enable customers to maintain adequate funds cover all its DMS agents with DRA certification in coming
in their bank account. This practice ensures that the two years. As on 31 March 2024, more than 16,000
• BFL has in place a dedicated team to ensure participants are DRA certified with the support of 79
credit history of a good customer is not impacted by any
continuous study and solutioning of customer certified facilitators as per IIBF norms.
unintentional default.
complaints. The prime objective of the team is to
reduce customer issues through a combination of The journey is expanded further to counselling of
data analysis, customer interactions and there by customers towards creating a good repayment behaviour
identifying root causes. The team drives necessary by clearing subsequent EMIs directly from the given
changes at Organisation Level through (Process, bank account. BFL has invested in service call centres to
Policy, People and Technology) to fix the identified counsel customers after the payment of overdue EMI.
root causes. BFL follows a graded communication approach with
• BFL also has a dedicated team which monitors delinquent customers across their repayment lifecycle.
customer queries and grievances on various social These clearly indicate: (i) the importance of timely
media channels and provides quick resolution. payment, (ii) avoidance of penal charges, (iii) available

CUSTOMER OBSESSION
• Implemented a Debt Recovery Agent (DRA)

certification process for its agents.
• Formed a dedicated team of service advisors in service

centres to address and resolve queries of delinquent
customers raised over phone through a customer care
number of the Company.
• Expanded the scope of interaction experience score to

seek the customers’ rating on the debt management
services agent interaction.
• Significantly strengthened its compliance framework

to ensure strict adherence by the debt management
service agencies of its code of conduct policy and
fair practice code. This framework lays down a penal
staircase for non-compliance. BFL investigates every
Over years, BFL has taken various measures to
customer complaint pertaining to debt management
strengthen its debt management process, some of which
services and takes appropriate corrective and
are enumerated below:
penal action.
• Set up a centralised call monitoring infrastructure for • Developed 127 situational videos in 8 vernacular
its outsourced debt management services agency languages which form part of the training module on
network to improve controllership. All agencies are its debt management services mobility app. These
required to make collection calls only through this provide clear understanding to agents on the do’s and • It has expanded the scope of interaction experience
infrastructure. All calls are now being recorded and don’ts while interacting with a customer. score to seek the customers’ rating on the debt
monitored periodically to ensure compliance of debt management services agent interaction. In Debt
• We have made CoC acceptance and acknowledgement
management code of conduct. Management Services the customer experience is
mandatory for all agents and agencies for accessing
captured post mobile receipt generation. Customer
• Opened dedicated debt management service desks our Mobility App.
experience is captured on a 5-scale rating, where
across 38 to address debt-related queries of walk-in
• BFL’s debt management agency monitoring 5 stand for best and this metric is captured on a
customers. The Company is committed to expand
framework helps review the performance of the Debt month‑on-month basis.
coverage of this model across more cities in future.
Management agency and enables us to take suitable
• New Partners Onboarding Journey: It is critical for
• Set up a centralised helpdesk for assisting action in terms of warning, penalty, and termination
new onboarded partners to have orientation and clear
and processing debt management services for deviations.
understating of recovery and organisation processes.
related requests.
• BFL captures transactional customer satisfaction Hence, a self-consumption digital learning in
• Formed a dedicated in-house team and a (CSAT) score on the Bajaj Finserv app for multiple vernacular languages is triggered once the agents are
centralised calling unit to enable speedier resolution service journeys to gauge the outcome of its customer onboarded so that they can be educated on the critical
of debt management related complaints of engagement efforts. DMS has received 1,937,000+ aspects of recovery process, customer handling and
aggrieved customers. responses with a 98.65% CSAT score in FY2024. the organisation governance framework.

CUSTOMER OBSESSION
Protecting and Educating Customers Social Media Platforms

Through its financing options BFL enables millions of
customers embark on their credit journey with bureaus
and become part of the formal financial ecosystem. Over
the last five years, BFL has offered financing to over
8
Campaigns
19.8 million such customers. BFL by collaborating with
various agencies promotes financial discipline among
customers by keeping them updated about various credit
metrics evaluated by financiers. BFL also undertakes 18,400,000+
measures to create customer awareness about devious Impressions
schemes run by fraudsters, thus protecting the interests
of our customers.
• Through its financial fitness report offering, BFL helps

its customers to understand their leverage position
320+
Posts
and ability to avail further borrowings.
• Loan Repayment Campaign: This campaign stresses

the importance of prudent financial practices. Some
of the aspects include advising on the use of digital
payments and receipts to avoid misappropriation
and cautioning in respect of the wrong ‘Karza Mukti’
groups which can spoil the credit score, letting them
know how the loan settlements affect the credit and
the need for updates in personal details for proper
management of the loan. The campaigns have also
been a clarion call against fraud on social media and
time and again reiterated the significance of making
EMI payments on time to avoid charges for the same
– “Just Ask For It”, “No Mukti Only Nuskaan”,
“Loan Ka The End”, “Wait Nahi, Update Karo”,
“Har Koi Bajaj Nahi”, “Doori Hai Zaroori From Loan
Settlement”, “Har Time EMI On Time”, “Charges
For What”.

CUSTOMER OBSESSION
• BFL has conducted extensive awareness campaigns • BHFL one of our subsidiaries conducted following Awareness series on YouTube:
about app adoption, the benefits of paying EMI on time, customer and digital awareness: #GharVerifiedTohLoanVerified.
and the self-service options on social media platforms,
Bitly link shared through WhatsApp for all active Sale Agreement Verification process explained.
including Facebook, Twitter, Instagram, and YouTube.
customers and newly onboarded customer for easy
During FY2024, 12 such campaigns went live, with a
access to portal and download app.
total of 158 posts, including 92 static posts and 66
videos. These collective efforts generated an overall Product awareness through social platform.
impression of 18.16 lakh views.
Cyber Security awareness through social platform.
• We have also published a cautionary post on our
Guide Videos for documentation through
website relating to payment fraud – digital, cyber
social platform.
and UPI, sharing essential tips for cyber security
awareness, UPI fraud prevention, and digital wallet Awareness posts regarding RERA on social media
fraud awareness to secure online transactions. (LinkedIn, Instagram, Meta, and YouTube).
• BFL views engagement with regulators as an Real Estate Act has changed the way India buys
ongoing process rather than a one-time event. Such homes, hence creating awareness.
engagements help to build strong relationships, gain
a deeper understanding of regulatory requirements,
and adapt their compliance practices to meet evolving
regulatory expectations. Details of such engagements
are as follows: Protecting Privacy of Customers’
Personal Data
Participation in Nodal Officers’ meetings and As a responsible corporate, we are fully committed
A
regional conferences, Customer Awareness to safeguarding our customers’ personal data.
Townhalls and Outreach Programmes We ensure such data protection through various
concerted measures.
Part of the panel discussion on “Gaps in
B • All information related to customers is stored as per
Implementation of Fair Lending Practices by
regulatory requirements.
NBFC’s” and “Handling of complaints related to
credit information & challenges and Action plan” • All loan details are stored in compliance with the
extant regulatory guidelines.
Our Internal Ombudsman was invited to give
C • Customer’s Personally Identifiable Information (PII)
a session on the “Effectiveness of Internal
is stored in an encrypted format.
Ombudsman Process”, organised by RBI
• Customer PII display is masked in the front-end
During the year BFL organised awareness and applications and if required access is given as per
D
education programmes for customers/ general approved policy.
public/ students and for DMS agents/agencies
• We ensure redaction of customers’ KYC details, such
in coordination with RBI
as Aadhaar number.

CUSTOMER OBSESSION
• Access to customer PII is masked and restricted Strengthening the Customer Service
access is granted on a need-to-know basis, with
due approval.
Governance Framework
As on 31 March 2024, BFL’s customer franchise
• Data Loss Prevention Solutions have been deployed to extended across 83.64 million people, and it disbursed
monitor and detect data loss incidents, if any. 36.2 million new loans during the year. BFL Group
• We review our information security processes received 6,876 customer complaints in FY2024,
periodically and get these audited by external audit amongst which 15 complaints were pending for
firms. BFL and BHFL has received ISO 27001 (ISMS: resolution as on 31 March 2024. These complaints were
Information Security Management Framework) suitably resolved by April 2024.
certification for its IT security. As an ethical organisation, we have developed a robust
• Our Data Privacy policy is displayed on our website, customer services governance. Some of these are as under:
and these, inter alia, cover the details regarding • Invested significant time and effort in developing
consent, collection, use, sharing, processing, and customised credit assessment and operations
retention of customer data. Customers can raise processes. We have a customised loan origination
privacy related concerns through the website. system and monitoring frameworks and systems to
ensure high standards of on-boarding, credit quality • BFL has constituted a Customer Service Committee of
• In addition to traditional credit bureau data, we are
and portfolio performance. We invest in emerging the Board.
now integrated with the account aggregator (“AA”)
ecosystem, i.e. an RBI regulated entity through which technologies and analytics in order to enable us to • As part of BFL’s Board-approved Grievance Redressal
individuals are able to digitally and securely share data cross-sell our products, improve productivity, manage Mechanism policy, the Board conducts quarterly
with other regulated financial institutions in the AA risks and decrease costs. review of customer grievances and complaints
network, for leveraging consent-based information. Fair Practice Code (FPC) received from RBI. The focus of the review is on
identification of root cause, corrective action plans and
• FPC is at the core of dealing with customer; and
customer service initiatives.
BFL has established a dedicated FPC unit which
works with all the businesses and functions across • Effective grievance redressal mechanism in place
the organisation to ensure strict compliance with wherein multiple online and offline customer
the guidelines. touchpoints are set up for easy and transparent
grievance resolution with >98% resolution within
• BFL now offers Key Fact Statement (KFS) to all
48 hours. Board-approved complaint classification
customers, both digital and non-digital, across retail
document is in place for the same and quarterly
and MSME products at pre-sanction stage. Every
updates on the same are sent to the Board.
customer is required to review the KFS and provide
explicit consent to the KFS through an ‘I Agree’ • The BFL Group has a “Contact US” tab on its website
process for availing sanction from the Company. homepage for anyone to reach us in case of queries/
The Company has also introduced digital signatures concerns. The grievance resolution timeline, escalation
on agreement and KFS in line with digital lending matrix, etc. is publicly disclosed on this tab. These
guidelines of the RBI. Further, to ensure accessibility queries/concerns are manned by seasoned resources,
and transparency, BFL has made collaterals and KFS equipped with good communication skills and
available in 20 vernacular languages. product/process knowledge.

CUSTOMER OBSESSION
• BFL has customer experience teams, within operations RBI Ombudsman

and across businesses, to drive our initiatives to BFL has a dedicated team which deals with the concerns or
measure customer experience, improve processes and complaints raised by the customers as well as escalations
build customer-centric culture. received from various offices, including Ombudsman,
Customer Education and Protection Department (CEPD),
• BFL has in place a management committee to approve
Department of Supervision (DOS), etc. The team strives to
changes in loan-related fees and charges.
provide timely responses to all customer escalations received
• Internal Audit (IA) conducts quarterly review of from the RBI offices, adhering to prescribed timelines.
customer experience, collections and complaints The ‘Scheme for Internal Ombudsman’ requires IO to be at
received from online channels, along with their Businesses constantly face new
the apex of the NBFC to independently review the resolution
remedial measures. challenges posed by new market provided by the NBFC in the case of wholly or partially
• BFL has created a citizen’s charter, which is available realities. At Bajaj Finance, we rejected complaints. BFL has implemented the grievance
on the website, to promote fair practices. It gives our are in a dynamic regulatory redressal mechanism, the RBI Ombudsman scheme, and the
customers a high degree of transparency with respect Internal Ombudsman (IO) scheme within the organisation
environment, and ensure
to our various financial products and service offerings. to deal with unresolved or partly resolved concerns and
adherence to the regulations complaints of its customers.
• BFL’s ‘Reparation Policy’ is based on principles of both in letter and spirit. BFL has two IOs supported by a four-member team
transparency and fairness in treatment of customers.
independently responsible for case screening, review,
It seeks to compensate customers for service
secretarial work and examination of the resolution provided
deficiencies and financial loss as per agreed metrics.
Neelesh Sarda in such cases as well as all escalations received from the
In addition to this Company has made provision to
Chief Compliance Officer regulator. All escalations are vetted and reviewed by the
compensate customers “in-kind” for scenarios where
Internal Ombudsman before submitting the response to the
there is no deficiency at the Company’s end under
RBI Ombudsman offices. The team is also responsible for
“Goodwill Gesture Reparation”.
organising customer awareness and education programmes
• BFL Group follows a strict Code of Conduct (CoC) for in coordination with and under the guidance of RBI
their outsourced agents. The CoC prescribes stringent Ombudsman offices.
guidelines, such as maintaining privacy of prospect The IOs are permanent invitees to the Customer Service
and existing customers, providing accurate product Committee of the Board (CSCB). There is a bi-annual review
information, telemarketing etiquettes etc. on the IO process with the Managing Director and monthly
• Customer Satisfaction Measurement: Monitoring meetings and discussions with internal teams.
transactional customer satisfaction (CSAT) scores To ensure quick response and resolution to customer
across all channels for multiple service interactions complaints and escalation received from regulators, BFL
enables the Company to review the effectiveness of its has established localised presence at Chennai, Kolkata,
customer engagement initiatives. For FY2024, BFL has Chandigarh, and Lucknow. In FY2024, the RBI added three
received over 58 lakh responses and achieved a CSAT new centres, namely Shimla, Chennai and Kolkata taking
score of 93%. the overall centre count to 24. All the 24 RBI ombudsman
centres are internally mapped to internal nodal officers, who
ensure smooth and timely resolution of escalations with
these offices.

Our People are central to the
value we create as an organisation.
HUMAN CAPITAL
Our HR practices thus are focused on
providing opportunities to outperform,
building a long term career with us,
competitive compensation and a robust
rewards and recognition framework.
We foster a culture of entrepreneurship,
MANAGEMENT
transparency, care & connect which
aligns them with the larger purpose of
the organisation. We do what it takes to Committed to Employee Growth
ensure the well-being of our colleagues. At the heart of BFL Group’s corporate ethos lies the
Our Code of Ethics and Personal conduct, unwavering commitment to nurturing our most valuable
behavioural and whistle-blower policies asset — human capital. Our employees play a central
empower our people to do the right thing. role in our objectives of achieving sustained growth
in a constantly changing business environment. Our
Anupam Sirbhaiya commitment to our people is to create an atmosphere
Chief Human Resources & focused on holistic employee development and building
Administration Officer
workplace culture that reflects our values.
UN SDGs Aligned
HUMAN CAPITAL MANAGEMENT
Advancing Employee Cultivating a Purposeful Culture 14 Cultural Anchors

Development Culture is a defining element of any workplace, shaping Our ethos embraces 14 cultural anchors, integral to our
behaviour, interactions, and the overall work environment. policies and procedures. These anchors are categorised
BFL Group believes in the essential growth of our
BFL Group actively fosters a culture that is in harmony strengthen our employee culture, growth, and overall
employees to achieve our goals. We invest in the
with the organisational goals. To fulfil these goals, and to well-being. We are dedicated to enhancing employee
development of all stakeholders, with a keen focus
build a One BFL Leadership DNA, we have defined a set engagement and motivation through these anchors
on our employees. We provide an environment that
of leadership mindsets and behaviours that encapsulate promoting their sustained excellence and momentum for
supports both personal and professional growth to all
the target culture, which, we believe will be driving the continual growth and development within the Company.
our employees.
BFL Group to the desired future, aligning with the BFS
Fundamental to BFL Group’s philosophy is the Group’s mission.
understanding that “happy customers start with happy
Leadership at the BFL Group is seen as both - a practiced
employees.” We are committed to attracting, engaging,
behaviour, and a choice, hence expected of all employees.
and retaining top talent and recognise their crucial role in
The four leadership mindsets and behaviours are integral Communicate Openly Think like
delivering superior business performance. We are focused
to the cultural DNA of the BFS Group. These leadership & Share Transparently an Entrepreneur
on creating a thriving, safe and inclusive workplace for
mindsets and behaviours combine, shape a culture
our employees.
that values customer focus, agility, entrepreneurship,
empowerment, and innovation. Practice Emotional Have
These leadership mindsets and associated capabilities Intelligence High Ambitions
are detailed in the Code of Ethics and Personal Conduct
adopted consistently across all BFS Group companies.
Be an Excel in Take a Long-
Leadership Mindsets
Original thinker Everything term View
Transform
Founder’s Mindset Customer Obsession Stay Humble, Execute
Continuously
Show Respect with Rigor
Talent Builder Being Responsible

Recognise &
Work Hard
Leadership Behaviours Reward Success
Dream to Deliver Innovate to simplify Act

Own It
with Integrity
Delegate & Develop Do the Right Thing

People Strategies in Action

Employee Charter – Human Rights
Statement
BFL Group’s people strategies are embedded in the
organisation’s policies and practices. These strategies are Our ‘Employee Charter – Human Rights Statement’
organised into four categories: details our commitment to human rights. It sets out
what employees can reasonably expect from the
Company (Employee Rights), and the responsibilities
1 Equal Opportunity Employer: Embracing
and qualities expected from them while performing
Diversity, Creating Inclusion and Respecting
their duties (Employee Responsibilities). It also
Human Rights
lays down the principles of equal opportunity and
2 Employee Support, Well-being and Engagement non-discrimination, anti-corruption and bribery, and
a workplace free from harassment, forced or child
People at BFL Group 3 Talent Development and Retention labour, while providing a safe, healthy, and growth-
oriented for all our employees.
As of 31 March 2024, the BFL Group boasts a diverse
workforce of 53,782 full-time employees. The addition 4 Ethics and Compliance
of 10,635 employees in FY2024 attests to the
Company’s growth trajectory and its continuous efforts
to enriching our human. 1. Equal Opportunity Employer:
Summary of employees: Band wise Embracing Diversity, Creating
and Age wise Inclusion and Respecting
Human Rights
The BFL Group is committed to creating a culture
Band wise (%) Age wise (%)
of fairness, openness, diversity, and transparency.
The company fosters an environment where
21.6 52.5 employees can freely express their views, supported
by transparent communication of policies,
0.4
compensation approaches, performance metrics,
6.0 performance pay grids and calculation, career
0.9 47.1 enhancements, compliance, and other processes.
71.4
Recognition and adherence to human rights
principles stand as paramount within the
responsible and sustainable framework of the
Entry level Below 30 years Company. Grounded in a belief in the inherent
Junior level Between 30-50 years dignity and equality of all individuals, the company
Middle level Above 50 years is unwavering in its dedication to upholding and
Senior level promoting diversity, equity, inclusion and human
rights across its operations.

While BFL Group strives to not have a situation that

leads to any grievances. Should such a situation
arise, BFL Group has a well-defined Grievance
redressal mechanism in place. This includes the
Code of Ethics and Personal Conduct (CoEPC),
Employee Charter, Disciplinary Action Committee,
Whistle Blower and Vigil Mechanism Policies.
A formal grievance mechanism is available to

all employees to report or raise their concerns
confidentially and anonymously without fear of
Diversity, Equity, and Inclusion and corrective and disciplinary action against any
any retaliation. Additionally, we have dedicated
Our commitment to a diverse workforce includes violations, BFL group demonstrates its commitment
channels such as Human Resource Contact Centre
creating roles for People of Determination (PwD). to upholding the principles of fairness and respect
(HRCC), HR Pulse connects and Central Emergency
This step reflects our commitment to inclusivity, across all levels of the organisation.
Service Desk (CESD) wherein all the grievances,
recognising the unique needs of individuals and
emergencies and incidents can be reported. ISE - Respectful, Inclusive & Safe Work
R
embracing diversity within our talent pool.
We ensure sustained compliance with all applicable Environment awareness series
We monitor and report on DEI goals at the We continuously conduct awareness sessions and
laws pertaining to human rights.
leadership (MD) level to ensure transparency training programmes on human rights, diversity, and
E
qual Employment Opportunity and and accountability. We have initiated various DEI inclusion. ‘RISE’ is our initiative aligned with these
Non‑discrimination programmes for diversity, equity and inclusion values, designed to spread awareness and promote
which are detailed in the subsequent sections of the a respectful, inclusive, and safe work environment
We ensure equal employment opportunities for all
report. These initiatives cultivate an organisation across the Company.
and strictly refrain from discrimination based on
that embraces and celebrates diversity.
age, sex, colour, caste, disability, marital status, RISE, is a comprehensive programme designed
ethnic origin, race, religion, sexual orientation, or ender-Neutral Prevention of Sexual
G for all employees, aimed at reinforcing workplace
health conditions such as HIV/AIDS. Our dedication Harassment (POSH) Policy norms, policies, and practices centred around
to fostering inclusivity is formalised through the BFL Group’s gender-neutral PoSH (Prevention of respect, safety, and mental well-being. It addresses
adoption of an Equal Employment Opportunity Sexual Harassment) policy is designed to create the fundamental expectation of physical safety
and Non-discrimination Policy, accessible on a safe and inclusive workplace environment for and mental well-being in the workplace. The
the BFL website. This policy expressly prohibits all employees regardless of gender identity. This programme comprises situation and case-based
discrimination, aligning with the mandates outlined policy ensures that every individual feels respected, open floor sessions led by external facilitators
in the Right of Persons with Disabilities Act, 2016, valued, and protected from any form of harassment and company leaders, conducted across the head
the Transgender Persons (Protection of Rights) or discrimination. By adopting gender-neutral offices and branches. The main focus of these
Act, 2019, and the HIV AIDS (Prevention and language and guidelines, sessions is to understand the essence of respect
Control) Act, 2017, ensuring a fair and respectful and safety in the workplace and to establish a tone
employment environment for all. BFL group aims to promote equality and diversity,
of acceptable behaviour, ensuring that all employees
fostering a culture where everyone can thrive
are familiar with and adhere to these essential
professionally without fear of bias or prejudice.
workplace principles.
Through comprehensive training, transparent and
defined escalation process to reporting incidents, In last two financial years, 93 RISE sessions were
conducted across corporate and branch offices.

Similarly, human rights trainings are an integral part

of the mandatory module for all employees.
In FY2024, 51,000+ employees across BFL
Group were provided with training on human
rights aligned with the company’s Employee
Charter - Human Rights statement.
2. Employee Support, Well-being and

Engagement
At BFL, our dedication to enhancing human potential
is deeply ingrained in our culture. Our culture
anchors serve as guiding principles, ensuring
alignment with our values. Caring for our employees
extends beyond professional space. We believe in
empowering our employees with financial as well as
emotional growth.
Our care initiatives have led to improved employee

retention, demonstrating their impact on fostering
commitment. Positive feedback from employees
further highlights the effectiveness of these
initiatives in creating a caring and supportive
work environment. Our flagship employee support
initiatives aim to provide resources and a platform
for physical, mental, emotional wellness and financial
assistance for all employees.
Purelife Initiative
Our commitment to well-being and work-life
balance is steadfast. We balance business growth
and employees’ physical and mental well-being.
The ‘Pure Life’ initiatives provide resources and a
platform for overall wellness for all employees.
• Mental health initiatives include access to

counselling services, stress management
workshops, and mindfulness programmes.
• Physical well-being programmes encompass

fitness awareness, sessions, health check ups,
and ergonomic workspace arrangements.

i. 1-to-1 Counselling iii. Emotional Care Champion Spectrum Programme

Our 1-to-1 Counselling offers confidential support for The Emotional Care Champion programme Spectrum Programme aims to promote well-
employees navigating personal or work challenges. demonstrates our focus on emotional health for being and enhance diversity, equity, and inclusion.
Individual sessions provide targeted guidance, a supportive atmosphere. We aim to nurture an This programme offers comprehensive benefits
offering solace when employees face the profound environment where emotional health is prioritised, across employee groups, including males, females,
challenge of bereavement. In these moments, allowing individuals to navigate challenges with expectant mothers, new mothers, LGBTQ+, PWD.
our dedication to offering meaningful assistance resilience and thrive holistically.
becomes evident, ensuring that employees feel
genuinely cared for and supported. Reduced
stress levels, increased morale, and overall positive
well‑being metrics among employees are indicators
of the success of our care initiatives.
ii. Walk-a-thon
Prioritising the health and well-being of our
employees, Walk-a-thon is our commitment to
encourage an active lifestyle. We aim to enhance
the overall health and vitality of our workforce,
ensuring they are energised and ready to meet the
challenges in both their personal and professional
life. This initiative serves dual purpose i.e. prioritising
health along with noble cause towards environment.
Over 70,000 saplings were planted to celebrate
achievements of the employees who completed
the goals as set by the organisation.
i. Parental Counselling Initiative to support

expecting parents, fostering a supportive
environment for them and their partners.
ii. Leave Policy: A generous leave policy and an

option of flexible office timings enable employees
to spend quality time with their families and leisure
while managing work. Parental leave, including
paternity, maternity, and adoption leave, recognise
the significance of family moments for important life
events. Our leave policy allows for maternity leave of
26 weeks and paternity leave of 14 days.

viii. Women Safety Options: To prioritise the safety

Encouraging Women to join
of our women employees, a dedicated safety cab
service is thoughtfully provided offering them
Technology Roles
secure and reliable commuting options. Our emphasis is on attracting, retaining, and
advancing women in technical roles, demonstrating
ix. Flexibility: Our organisation empowers women our commitment to fostering diversity within the
professionals by offering flexible work schedules, tech sector.
ease of return post maternity and work from
home option to promote a healthy work-life
balance tailored to individual preferences to
promote a healthy work-life balance tailored to
individual preferences.
Dedicated Gender Diversity and

Inclusion Council
BFL actively champions the cause of creating
equal opportunities and fostering a culture of
iii. Preferential Transfer Policy: All employees, post
true inclusivity. The comprehensive policies and
marriage/change in job location of partner/post-
practices, guided by leadership oversight, not only
delivery, can request for a relocation to preferred city.
prioritise the well-being of women employees but
iv. Creche Benefit: The Company has a Creche policy also contribute to their professional growth.
in place. Employees can opt for the creche facility
at their location as empanelled by the Company or
choose the re-imbursement option. This benefit is
Spouse Working as a Consultant
for all employees. 600+ employees have availed of The BFL Group encourages qualified spouses of
this benefit. the employees to work on special projects in the
Company, on a flexible timing basis, to fulfil their
v. Reserved Parking: Providing support and career aspirations while balancing family demands
convenience to expecting mothers and to at home. We also encourage full-time employment
our employees with physical disabilities at of spouse.
Corporate Offices.
vi. Travel Allowance for Expecting Mothers:

The travel allowance is being offered to provide
a comfortable and safe commute option for
expecting mothers.
vii. Women Travel Safety: We have implemented

women-centric travel guidelines to ensure their
safety. This includes increased travel and stay
limits, accompanied travel options, and mandatory
companionship in specific scenarios.

Financial Assistance initiatives v. i-Care: The BFL Group has an employee

participatory financial-assistance programme
To support employees in times of financial distress
called ‘i-Care’ for emergency situations, medical
due to a personal exigency, the BFL Group offers
or otherwise. It encourages employees to enrol
various options for financial support.
and contribute a small amount from their monthly
i. Fortnightly Salary: BFL Group offers a fortnightly salaries, which is matched by the BFL Group
salary option- over 3,800 employees availed this contributing an equal amount. In FY2024, over
benefit in FY2024. 42,000 employees have registered under this
programme and more than 230 employees
ii. Money on Call provides emergency funds within 24
received financial support of over ₹ 13 crore.
hours to an employee which can be repaid within a
month; more than 14,700 employees availed this BFL extends various financial support and
benefit in FY2024. compensatory packages on death of an employee
(regardless of whether death occurred during work
iii. Advance Salary: Under this programme an
or otherwise), which include a one-time lumpsum
employee can take up to three months of gross
payment from the iCare fund, a full month’s pay
salary as advance and repay it over two to
with recovery waivers, Group Term Life insurance
three months.
assured amounts, employment opportunities to
iv. Financial Assistance Policy: During the tough the immediate family members of the deceased
times of COVID, we began an initiative to help employee or due to medical exigencies.
affected families, and we have kept it going. So far,
we have supported 26 families, providing close to
₹ 10 lakh every month. This assistance aims to make
a positive impact during these challenging days and
contribute to the well-being of those in need.

Employee Engagement The number of unique NGOs also increased to 192, b. Indoor Games Tournament
with a total distribution of 40,741 items. Comparing Indoor games offer a break, reducing stress
BFL’s large workforce is spread out at various
these two fiscal years, there was a significant and enhancing mental well-being. They foster
locations; so, having a solid and lasting engagement
increment across all metrics: 102% increase in the teamwork, strengthen relationships, and improve
model within the organisation is crucial.
number of branches and NGOs involved, 92% growth communication. Engaging in enjoyable activities
In FY2024, we conducted employee engagement in the number of unique NGOs, and a 61% surge in boosts morale, motivation, and employee
drives engaging employees in social activities that the number of items distributed. satisfaction, enhancing company culture and values.
would help them participate in social work within an
institutionalised framework. 2,890+
Total Employee Participation
i. Daan Utsav
Daan Utsav is an initiative in which BFL employees iii. Own My Branch (OMB) Framework
came together to contribute to the well-being of Own My Branch is a programme that connects
society under four themes: ‘Nanhe Kadam’ (Child senior management and the Head Office to branches
welfare), ‘Anna Daan’ (Food for the needy), JOY across India. This ensures smooth execution of the
(Just Older Youth) Club and ‘Gifts Unlimited. Leadership voice from the Head Office to ground
With the impact created in FY2023 and moving level and builds ever-growing trust between the
forward to FY2024, DAAN Utsav has increased leadership and employees.
its participation footprint from 107 branches in Each leader is responsible for overseeing 2 to 3
FY2023 to 216 branches in FY2024. This has in turn branches quarterly. Currently, we covered over 1,100
increased the impact of the initiative with 216 NGOs locations, which has grown by 13% since last year.
benefitting due to the donated items. Our meticulous tracking of the OMB programme
attendance and participation reveals a substantial
impact, with more than 800 leaders reaching out to
nearly 31,500 employees.
Make a Contribution,
Make a Difference ii Celebrations iv. Townhall as a Nexus of Open Dialogue
Daan Utsav 2023 is here, a month-long initiative aimed a. Festival MD/Deputy MD along with CHRO, led “Confluence”
at fulfilling wishes and spreading happiness. We believe that small gestures go a long way, emerges as a dynamic hub for open dialogue,
under Celebration Framework at BFL, we establish exemplifying our leadership’s commitment to
Nanhe Kadam
1st - 8th
Anna Daan
11th - 15th
Joy Club
18th - 23rd
Gifts unlimited
23rd - 30th
meaningful connections with our employees and transparency and accessible communication.
December December December December
A donation drive
aimed to help
Focused charity
providing packaged
Focused charity
providing packaged
New gifts useful for
children. extend festival spirit to their families. We celebrate all Every quarter, nearly 45% of employees across
children of all age food, grains, etc. for food and essentials
groups with clothes,
toys & stationery.
homeless needy
people.
for old-aged people.
festivities, employee milestones and achievements. more than 3,700 locations participate virtually.
In FY2024, we celebrated regional festivals Through Confluence, leaders share crucial updates
Get ready to share joy!
across 848 locations, encompassing more of the Company, organisational strategies,
than 15,800 employees and more than 5,800 financial health, addressing queries openly,
families. Shifting from a centralised celebration hence enriching collective understanding of our
framework to a regional one, we embrace and organisational landscape.
“celebrate cultural diversity”.

v. Regional Town halls Recognised by Great Place to Work™ as India’s Best Workplaces™ Building a Culture of Innovation by All
(2023-2024).
Regional town halls are dynamic platforms fostering
open interaction between employees and the Recognised by Great Place Work™ as India’s Best Workplaces™ in BFSI (2023-2024).
leadership. These informal sessions contribute to a
In tracking employee metrics, the following aspects are addressed in our employee surveys
culture where employees, regardless of their roles,
feel heard and valued.
Through these monthly and quarterly forums, we Job satisfaction (external motivation, Happiness (e.g. I feel happy at work
extend trust uniformly, recognising the contribution e.g. I am satisfied with my job) most of the time)
of our employees, including those off the rolls which
reinforces a culture where trust is not limited by
employment status but is an inclusive and extended
Purpose (internal motivation, e.g. my Stress (e.g. I feel stressed at work
facet of the organisation.
work has a clear sense of purpose) most of the time)
vi. Ruminate – Leadership Forum
Ruminate is our flagship leadership discussion forum
that provides them an opportunity to exchange
views, delve into BFL-centric case studies and
build meaningful connections outside work. This
programme provides a direct channel for them to
share insights with the Managing Director (MD).
The tangible outcome is seen in business leaders

collectively embracing mutual expectations,
nurturing a culture that promotes alignment with
our core values.
vii. Employee Satisfaction Survey

Employee satisfaction is the core of human capital
management at the BFL group. Accordingly, two
employee surveys were conducted during FY2024:
One Finserv: Employee Engagement Survey 2024

in collaboration with Kincentric: During FY2024,
more than 43,000 employees participated in
the survey and the overall engagement score
for the company was 90%.
Great Place to Work: The survey is designed to

collect and represent views on an organisation’s
ability to create and sustain a high-trust, high-
performance culture by surveying employees.

Environment, Health, and Safety

BFL Group has always looked forward to infinite
possibilities, abilities, and approaches to achieve
goals by adopting sustainable process. In current
dynamic development period, society is conscious
about Environment, Health & Safety standards
to be followed. BFL Group is responsibly moving
forward in deploying best EHS practices year on
year. Our approach to safety is centred around
creating, sustaining, and enhancing an EHS culture.
In FY2024, aligning to its parent company; Bajaj
Finserv, BFL Group operationalised the Environment,
Health, and Safety manual consisting of policies,
procedures, and formal processes to effectively
implement EHS best practices across the group.
The primary objective of this manual is to promote

Zero Harm goal. It caters management and scientific
principles to systematically control safety risk during
all stages of business requirements. The manual
assists operational team to adopt, manage and
continuously improve on EHS implementation.
Aligning to this virtue, and as a pilot project, the

BFL Head Office building has successfully obtained
ISO 14001:2015 & ISO 45001:2018 certification on
Integrated Environmental & Occupational Health
& Safety Management System. It is based on
internationally recognised PDCA cycle i.e., Plan,
Do, Check & Act. It provides framework to enhance
EHS performance by setting objectives and targets
and continually monitoring key performance
indicators. The framework has helped to achieve
implementation of waste to wealth project, water
conservation, energy conservation and cost
cutting methodologies.
The Integrated Management System for

Environment, Health & Safety is assessed through
internal and third-party auditors.

3. Talent Development and Retention i. Excelsior iii. Wall of Fame

Encouraging exceptional employee performance Excelsior League is the pinnacle of the Rewards The Wall of Fame is a designated area to honour and
is an integral aspect of our organisational ethos, & Recognition programme. The League was acknowledge remarkable accomplishments of our
manifested through a comprehensive approach conceptualised to recognise the top 1% of our individuals within the Company’s Recognition and
to remuneration and recognition. Our employee highest performers. Under this programme, we invite Reward Framework. Showcasing images of quarterly
compensation structure includes fixed pay, the winners along with their families to celebrate award recipients, it is a source of inspiration for
performance-based incentives (monthly/quarterly/ them for their hard work. others, encouraging them to pursue excellence.
annual), and long-term incentives in the form of
ii. Central R&R
stock options wherever applicable.
Our centralised Recognition and Rewards platform
‘Do More, Earn More’ philosophy not only motivates is a unified space to celebrate accomplishments
employees to go above and beyond but also ties through monetary rewards, it encompasses a
individual efforts directly to tangible rewards. diverse range of recognition methods to appreciate
This outcome driven approach fosters a sense various forms of contributions. In FY2024, over
of purpose, ownership, and achievement across 18,000 employees were rewarded, highlighting our
the organisation. In aligning with these guiding dedication to valuing and celebrating the diverse
principles, our initiatives not only reinforce our achievements of our team members. Our existing
dedication to cultivating a culture of continual ‘Kudos’ framework honours our everyday heroes.
growth and recognition but also emphasise our
strategy to maximise human potential.
Commendable performances and significant 18,000+

contributions are acknowledged through various Employees awarded
reward programmes.
ecognition and Rewards: Inspiring

R
Greatness Through Appreciation
In fostering a culture of excellence and appreciation,
our Recognition and Rewards programmes at BFL
are meticulously designed to inspire greatness
among our team members. These initiatives
go beyond traditional methods, recognising iv. Dhvani (Rural R&R Connect)
and celebrating exceptional performance at Dhvani is a unique initiative extending recognition to
various levels. our colleagues in rural areas, covering over 39,700
employees. It bridges the gap between urban and
rural contributions, ensuring that every employee,
regardless of location, feels valued and appreciated.

Job Enrichment Opportunities

i. uto Promotion and Internal Job Posting
A
(IJP)
BFL Group conducts business-performance review
of all eligible employees monthly, quarterly, and
annually as per its internal policy. The Group has a
well-defined Performance Management System,
Auto Promotion and Internal Job Posting policies
to address performance, growth, and development
needs of employees.
IJP allows employees to apply for a role of their

interest, giving them the choice to acquire
multidisciplinary skills to shape their career. BFL
Group prioritises career development, offering ii. Annual Appraisal Performance level, and specific focus areas. At early career
job rotation, during the year more than 5,500 The Company follows a comprehensive performance stages, the focus is on making the employee role
employees were promoted under our unique and career development review of all eligible ready through functional knowledge and skill-based
Auto Promotion Policy and more than 4,000 employees. This review is conducted mid-year training, moving to managerial capability building at
employees moved through IJP within the and annually. All employees must conduct a mid-levels, and leadership at senior levels. Even the
same/another business or functions within self‑assessment of their performance bi-annually, topmost levels of leadership undergo a leadership
the BFS group. These programmes empower focusing on key results in their roles. The Appraiser programme every year.
employees to explore diverse roles, advance within and Appraisee then engage in a collaborative Building a talent pipeline is a critical aspect of the
the organisation, and achieve significant career performance discussion, covering self-evaluation BFL Group’s training and development philosophy.
milestones. The Person with Disabilities (PwD) feedback on performance, competencies, While choosing the ‘develop versus hire’ talent
hiring initiative, across functions, underscores development needs, and career aspirations. model, BFL Group places larger emphasis on
our commitment to diversity and inclusion. Following this, the Appraiser documents their developing talent. This strategy is enabled by hiring
evaluation and provides overall feedback. employees near the entry level and developing
Employee performance appraisal system is them through a ‘grow from within’ career-
multi‑dimensional and integrates compliance/ management framework.
codes of conduct. BFL Group has incorporated a mandatory
compliance module for employees that covers
Approach towards Training and
topics such as ESG, Whistle blower policy, health &
Development safety, information security, business continuity and
We have a strong orientation to learning and data privacy, handling differently-abled customers,
development. Our learning approach is designed Prevention of Sexual Harassment (POSH), Code of
to enhance the individual and organisational Conduct, Know your customer (KYC), Anti-Money
capabilities needed to execute business efficiently. laundering (AML), Human rights – employee charter,
All employees, from a new joiner to a tenured one, Mind your behaviour (MYB), Dealing in Bajaj Finserv
are provided tailored opportunities as per their role, (BFS) securities, etc.

I n FY2024, more than 90% of employees the overall learning experience. To cater diverse planned conversations between a new employee
completed training on compliance learning needs, we added premium digital content and the manager for a year, to ensure hand holding,
related aspects. courses for our employees, further enriching their training and support. A platform, Employee 360 is in
professional development journey. place which has been set up to facilitate and record
Our commitment to continuous learning is evident
these conversations and feedback.
through collaborations with global digital learning i. Set Up of Regional Training Centres
platforms such as Coursera, Go1, Percipio and The establishment of Regional Training Centres iii. P
rogramme for Result-Oriented People in
Harvard. These initiatives extend diverse courses (RTCs) at BFL supports our strategic initiative Executive Leadership (PROPEL)
and learning resources to employees, wherein, towards extending learning opportunities to remote In Bajaj Finance, a transition to a Business Head
over 16,000 employees have consumed over and regional employees who may lack exposure role is a pivotal shift from a previous role in terms
20,000+ Content pieces in FY2024. to the corporate world. The RTCs are designed to of expectations and responsibilities. The change is
Our Distance Learning Programme exemplifies the provide them with essential skill enhancement, by more pronounced and requires a leap in capability,
enthusiasm for learning, surpassing expectations catering to their specific needs. The RTCs ensure mindset and action.
by enrolling 355 participants out of the available that they are equipped with the knowledge and
iv. Leadership Coaching
500 seats, reflecting the genuine commitment capabilities necessary for success in their roles,
ultimately contributing to the continued growth and Our Leadership Coaching, facilitated by external
of our workforce to continuous education
success of the organisation. coaches, fosters self-awareness, and equips leaders
and development.
to guide others. Tailored for the Senior Management

Total expenditure on Learning and Regional Training Centres (RTC) and Functional Teams, each leader undergoing coaching receives
development by the BFL group in FY2024 Induction play a crucial role in offering a an Individual Development Plan with 10 strategic
was over J 53 crore, which translates to comprehensive introduction to our values, mission, connections over 10 months, ensuring focused and
approximately J 9,800 average per employee. and operational aspects. Spanning across 9 function smart development.
These numbers bear testimony to our drive, to schools at 143 units, these programmes have
successfully trained over 14,000 employees. v. Manager Capability Development (MCD)
continue to deliver our best despite mounting
challenges and stringent cost structures. MCD is designed to empower our leaders through
a structured four-month training programme.
During the year, more than 48,400 employees The outcomes of MCD are impactful, leading to
participated in at least one of the developments heightened productivity, increased employee
programmes viz. functional, managerial and engagement, and a reduction in attrition. By
leadership skill enhancement programmes helping imparting these skills, MCD empowers leaders
them in upskilling/multi-skilling. Around 83% of the to guide their teams in aligning their roles with
female employees and 90% of the male employees the organisational goals outlined in AOP and
during the year participated in at least one of the LRS agenda.
functional/skill upgradation trainings.
vi. 30 Under 30
I n FY2024, BFL group registered more than
This programme is designed to identify and groom
6 lakh training hours cumulatively.
top 30 young talents under 30, across BFS group
Our training programmes features a blend of ii. On-the-Job-Training (OJT) companies. It is designed to strengthen the young
virtual and in-person sessions, prioritising the To facilitate structured onboarding and training of talent pool, by focusing on developing capabilities
reintroduction of classroom training to enhance fresh joiners, the company has in place a framework and skills required for the future.
for On-the-Job-Training (OJT), which includes

vii. Employee Development Programmes
Name of the programme Description Impact of Name of the programme Description Impact of
and objective the programme and objective the programme
Certified Primarily built to Aligning with this, Women ASCENT is a women’s leadership The programme
Internal Partner • Create a ready and qualified internal we have created Leadership development initiative, tailored for has proven
pool of certified trainers a pool of 700+ Programme - women employees on the brink of quantifiable
• Build a group of internal partners Certified Internal ASCENT leadership. The programme cultivates results,
with multi-functional and multi- Partners (CIP). courageous conversations, conquers accelerated career
lingual expertise internal barriers, refines executive growth trajectories
• Increase speed-to-market for future presence, facilitates career jumps, and sharpened
projects and outreach to different and enhances leadership qualities by executive
geographical areas tapping into a community of women presence for these
• Reduce dependence on external and male allies, all under the ethos of 21 high-potential
partners for learning interventions emotional intelligence and execution women, preparing
rigor. ASCENT ensures open dialogue, them for senior
• Enhance the people development
executive impact, career acceleration, leadership roles.
role of leaders
and leadership empowerment.
Learning and Committed to fostering the Around 83%

Development professional growth of its women of the female
Programmes employees through a range of employees Navigator is a leadership development Under Navigator,
Women Self
exclusively exclusive Learning and Development during the year programme specifically designed for 66 women
Development
for women Programmes. These initiatives are participated in mid-level women managers focusing participated and
Programme -
employees strategically designed to uplift women at least one of on helping them to shape aspirations received guidance
NAVIGATOR
across all bands by providing them the functional/ and navigate transitional changes in to navigate their
opportunities for skill enhancement, skill upgradation careers. The programme offers tailored career paths even
leadership development, and career trainings learning and mentoring approach to amid numerous
advancement. To address the unique during FY2024. equip high performing women with responsibilities
needs and aspirations of women at skills and confidence required to take and competing
BFL, we aim to empower them and on higher roles. priorities.
contribute to a more diverse and
inclusive workplace.

BFL and its subsidiaries have zero tolerance for

unethical behaviour and business practices.
The Company-initiated ethics and compliance

awareness series among employees to create
awareness of ethical behaviour and business
practices. Employees are urged to read various
policies of the company like CoEPC, Mind Your
Behaviour, Disciplinary Action Policy, and Whistle
Blower Policy. Strict disciplinary action framework
is in place to act against the employees ranging
from penalties to termination of services for non-
compliance.
We and our subsidiaries enable employees to work

Campus Recruitment Programme - BYTE without fear of prejudice, gender discrimination
To support the Company’s digital transformation and harassment. We have zero tolerance for non-
agenda, the need for tech talent was recognised and compliance with these principles.
a young talent, ‘Bajaj Young Technical Engineers’
The BFL Group did not receive any complaint related
(BYTE) programme was launched. BYTE is a
to child, forced, or involuntary labour during FY2024.
campus recruitment programme that aims to attract
and build ground-up tech talent for the company. In The BFL Group received 9 complaints related
the fiscal under review, 300+ new engineers were to sexual harassment, and the same were
invited to join BFL Group under BYTE programme. appropriately addressed.
ESG Awareness for Employees The BFL Group has ‘Code of Ethics and Personal
Throughout the year, the BFL group undertook Conduct’ (CoEPC), ‘Whistle Blower’ and ‘Mind Your
diverse campaigns aimed at cultivating awareness Behaviour’ frameworks as grievance mechanisms
among employees regarding responsible and for employees and value-chain partners to report or
sustainable business conduct principles. The raise concerns confidentially and anonymously, and
primary objective was to acquaint and engage them without fear of retaliation.
with BFL’s Environmental, Social, and Governance 4. Ethics and Compliance During FY2024, all employee complaints
(ESG) practices and initiatives. Leveraging various We along with our subsidiaries ensure compliance linked to CoEPC (earlier CoC) adherence were
platforms such as social media posts, intra-net with the Minimum Wages Act, 1948 and The suitably resolved.
communication forums for focused dialogues, Payment of Bonus Act, 1965. The BFL Group is
device screen savers, office space displays, compliant with all applicable labour laws.
and email announcements, we strategically
disseminated ESG-related information. Recognising The Company does not have any employee
that sustainable practices require a collective trade union and not in any collective bargaining
endeavour of employees and organisation to achieve agreement, although it allows all employees to
the desired results. exercise the lawful right to ‘freedom of association’.

Digital transformation is an
ESG priority for Bajaj Finance.
We are deploying emerging
technologies, including
generative AI, and digital tools
to empower our customers, INFORMATION SECURITY,
protect data, improve
operational efficiencies, reduce CYBER SECURITY AND
FRAUD CONTROLS
environmental impact, and foster
greater stakeholder engagement.
Anurag Chottani
Chief Operating Officer In this technological age, the significance of safeguarding
& Chief Technology Officer information, irrespective of its origin or type, cannot be over-
emphasised. Within BFL Group’s information technology framework,
robust measures in information security, cyber security, and fraud
controls finds dominant place. These controls are essential for
preventing disruptions and security breaches that could lead to the
loss of customer data and disruptions in business operations.
UN SDGs Aligned
INFORMATION SECURITY, CYBER SECURITY AND FRAUD CONTROLS
2. BHFL is complaint with BFL Group has defined and implemented policies such as
a. ISO 27001:2022 Information Security IT Policy, Cyber security policy and Data privacy policy as
Management System per applicable regulatory requirements.
b.
NHB’s Policy circular “Information Technology Cyber Security
Framework for HFC Sector”
BFL Group has institutionalised a cyber security policy to
3. BFSL is compliant with protect its information infrastructure on internet, prevent
SEBI’s Cyber Security and Resilience Framework and respond to cyber threats; reduce vulnerabilities; and
minimise damage from cyber incidents. This is achieved
To protect systems and data against the threats in through a combination of dedicated teams, control
‘work environment’ BFL and its subsidiaries wherever processes and technology. Some of the operational
applicable have also implemented Data Loss Prevention measures to monitor and respond to data breaches and
(DLP) solutions such as cyber-attacks are:
• Security operations centre managed by a reputed

Our IT Framework 01 Endpoint, Email and Network DLP cyber security service provider that monitors infra
BFL Group has a comprehensive Information Technology logs 24x7.
(IT) framework which inter alia covers governance, policy, • Surface Web and Dark Web monitoring: carried out
operations, security, audit, outsourcing, and Business through different service providers.
Continuity Plan (BCP) to overcome the threats and 02 Conditional access to Office 365
• Customer-related fraud events: detected, managed,
challenges pertaining to information security, cyber
security, and fraud. and mitigated through Risk Containment Unit (RCU).
Information Security Global protect (VPN) access on

03 Business Applications
We have adopted an information security framework to
establish, implement, monitor, and constantly improve
our information security posture:
Mobile Device Management (MDM)
1. BFL is compliant with
04 for corporate mobile apps, etc.
a. ISO 27001:2013 Information Security
Management System
Big-IP (F5) VPN solution for secure remote
b. I SO 22301:2012 Business Continuity 05 access on Business Applications
Management System
c. R
BI’s Master Direction – “Information Technology
Framework for the NBFC Sector” Dedicated solution for Server
06 security – Trend Micro Deep security
d. Payment Card Industry Data Security Standard
v4.0 for Wallet Environment
All data protection controls are enhanced periodically and
evaluated at least once in a year.

Additionally, the cyber security policy extends to the • Commitment to notify data subjects in a timely • Disciplinary actions in case of breach (i.e. zero
following domains: manner in case of policy changes or data breach. tolerance policy).
Vulnerability management: BFL administrates • If any employee discovers data breach incidents, they Privacy of Personal Information
a vulnerability management process that actively can be reported on the platform as available.
BFL Group is committed to protecting the privacy of
scans for security threats. The vulnerability
Following mechanisms are in place to ensure effective individuals whose personal data it holds, and processing
management team is responsible for tracking and
implementation of the Company’s privacy policy: such personal data in a way that is consistent with
following up on vulnerability closures. BFL’s IT
applicable laws. We believe that the data privacy
infrastructure and information security management • Privacy policy applies to the entire operations.
framework should be in line with the evolving regulatory
system is audited by external auditor during the year.
• Designated person or department responsible for changes and digital transformation. Please refer to
We conduct simulated hacker attacks as part of our
privacy issues. ‘Customer Obsession’ section of this Report.
Red Team exercise. The same is performed by an
external agency. • Privacy policy system embedded in group-wide risk/ BFL Group is evaluating the requirements of the Digital
compliance management. Personal Data Protection Act, 2023 and its impact
Penetration testing: To test potentially
on existing policies and processes. BFL Group has
exploitable vulnerabilities, penetration tests are
zero‑tolerance for breach of data confidentiality and
conducted for all critical networks and systems
privacy. Further, BFL Group has defined disciplinary
within the Company’s internal environment and
actions, ranging from suspension, to termination,
for external applications. Penetration tests are
penalty, legal action, etc. for noted instances of data
triggered based on several events, including new
breach. During the year, there were no instances
releases, updates, or enhancements. The types
of data breaches involving personally identifiable
of penetration tests that are conducted include
information of customers across BFL Group.
Network/Host Penetration Testing and Application
Penetration Testing. Audits and Assessments
Data Privacy BFL and BHFL conducts regular internal security audits,
vulnerability assessments and penetration testing
Led by a strong commitment to protect the privacy of
of its systems, products and practices affecting user
personal data, we have formulated a well-structured Data
data, in compliance with ISO 27001 standards. BFL and
Privacy Policy which incorporates:
BHFL conduct periodic application security assessment
• Commitment to obtain user data through lawful and like pre-production, six monthly application security
transparent means, with explicit consent of the data assessment and a structured exercise at various stages
subject where required. of its business enhancements, APIs, Bots, etc.
• Clear terms involving the collection, use, sharing and BFSL conducts yearly external Vulnerability Assessment
retention of user data, including data transferred to and Penetration Testing (VAPT) audit through a CERT-IN
third parties. empanelled vendor as mandated by SEBI guidelines.
• Collection and processing of user data that is limited to
the stated purpose.

BFL Group systems, products and practices affecting The BCP of BFL and BHFL have Board oversight. BFL is
user data goes through an extensive audit assessment by compliant with the ISO 22301 standards of BCM system.
IT Security and Cyber Security
external experts wherever applicable, including: Governance Structure
• ISO 27001 surveillance audit ISO 22301 surveillance
Incident Management All IT Security-related projects and operations of BFL are
audit for BFL. We have a formal policy for incident management. regularly reviewed by IT Strategy Committee comprising
Incidents may be detected automatically via our Security Board members and/or senior executives of BFL.
• ISO 27001 recertification audit for BHFL. Incident and Event Management (SIEM) tool which is Subsidiaries of BFL have their separate IT Committees
• Audit under the RBI’s Master Directions – “Information integrated with our critical systems or may be reported who regularly review their IT security-related projects
Technology Framework for the NBFC Sector”. by IT system owners, employees, vendors, or partners. and operations.
Further, our Cyber Risk Unit also monitors the dark web
• Audit under RBI’s Master Directions on Prepaid The Committee meets on a half-yearly frequency. The
for any potential incident. Incidents are tracked and
Payment Instruments. Committee members and Executive Management team
closed as per the severity. For Incident Response and
have relevant experience and background in IT strategy
• Information technology governance, risk, and Resolution, we have designed a documented framework
and processes.
compliance audit by the internal auditors of which also includes a process to include learnings from
the Company. incidents to improve incident response and recovery Composition of BFL’s IT Strategy Committee
activities and capabilities. However, the said policy is Sr. No. Designation
• Red Team exercise for internet facing systems and internal to the company.
IT Infrastructure. 1. Chairman, Non-Executive, Independent Director
Code of Ethics and Personal Conduct (CoEPC) states
• Audits under NHB’s Master Directions. 2. Non-Executive, Non-Independent Director
all fair practices to be followed at the workplace by
employees; in case of any breach observed by an 3. Managing Director, Executive
• System and cyber audits conducted by CERT-IN
empanelled partners for stock exchanges (NSE, BSE, employee, he can raise a complaint through Whistle 4. Executive Director
NSDL, CDSL) are done every six months. Blower Channel and appropriate action will be taken 5. Senior Executive, Chief Technology Officer
as per Disciplinary Action Policy (DAP). The CoEPC
6. Senior Executive, Vice President – Technology
Business Continuity & Disciplinary Action Policy is available on the
and Digital
Company’s website.
Management
BFL Group has a robust and resilient business continuity
strategy and framework which is also compliant with
regulatory requirements. Business Continuity Plan (BCP)
envisages likely disruptive events, their probability and
impact on business operations which is assessed through
business impact analysis. It aims to eliminate or minimise
potential disruption to critical business operations.
BCP includes Disaster Recovery (DR) procedures to

quickly recover from an emergency. DR plan includes
planning, developing, and implementing disaster recovery
management for IT services. Annual BCP drills ensure
that it is effective given the current nature of business
processes, infrastructure, personnel, etc.

In addition to the IT Strategy Committee, the overall IT Governance structure is designed as below to ensure appropriate segregation of roles and responsibilities
between the 3 lines of defence:
Board IT Strategy Committee Risk Management Audit Committee

Committees (ITSC) Committee (RMC) (ACB)
Senior Outsourcing
IT Steering Information Security
Management Compliance
Committee Committee (ISC)
Committees Committee
CISO Office
Internal
Cyber Risk Unit (CRU)
Process Audit Team
Teams Owners from
IT Department (Corporate Audit
IT Compliance Team Services - CAS)
Operational Risk
Management (ORM) Team
1st Line 2nd Line 3rd Line

of Defence of Defence of Defence
Specific for Information Technoloty (IT)
Org wide units covering IT as well

BFL group has dedicated information security and cyber 6. Review at least on annual basis, the adequacy and
risk units to manage cyber security programme and effectiveness of the Business Continuity Planning
Awareness and Training
operations for all digital initiatives. and Disaster Recovery Management; • BFL Group creates cyber security and data privacy
awareness across stakeholders including employees,
The Terms of Reference of the 7. Review the assessment of IT capacity requirements value-chain partners, business partners, etc. as may
and measures taken to address the issues;
Committee be applicable through multiple channels such as
8. Approve documented standards and procedures for training, emails, posters, brochures, social media, etc.
IT Strategy Committee looks into various technology
related aspects. The functions of the Committee are access to information assets; • Trainings are imparted on security requirements,
to formulate IT strategy and related policy documents, 9. Decide constitution of Information Security applications and other information processing facilities
ensure that IT strategy is aligned with business strategy, Committee (ISC), with Chief Information Security to employees and vendors who use customer facing
review IT risks, etc. The terms of reference of the Officer (CISO) and other representatives from application and assets. BFL also conducts phishing
Committee are: business and IT functions, etc.; drills periodically.
1. Ensure effective IT strategic planning process 10. Such other matters as may be assigned by the • To educate customers/users on privacy, security
in place; Board of Directors or prescribed under any of the awareness and confidentiality aspects, the Group
directions, circulars, or guidelines issued by Reserve companies run campaigns on NOT sharing OTP,
2. Guide in preparation of IT Strategy and ensure
Bank of India or otherwise directed by them, from fraud alerts, no asking/sharing of personal details on
that the IT Strategy aligns with the overall strategy
time to time. calls, phishing emails, etc. In addition to awareness
towards accomplishment of its business objectives;
campaigns, during the year 95% of employees
3. IT Governance and Information Security Governance were imparted training on fraud prevention,
structure fosters accountability, is effective and cyber security, and data privacy by BFL Group.
efficient, has adequate skilled resources, well defined
objectives, and unambiguous responsibilities for
each level in the organisation;
4. Processes for assessing and managing IT and

cybersecurity risks is in place;
5. Budgetary allocations for the IT function

(including for IT security), cyber security are
commensurate with the IT maturity, digital depth,
threat environment and industry standards and
are utilised in a manner intended for meeting the
stated objectives;

• Information security/cyber security is part of the Fraud and Cyber Awareness 1. Bano Cyber Smart: In this campaign, we focused
employee performance evaluation. Disciplinary actions on general cybercrimes and cyber awareness things
Overview: Rising instances of cyber fraud and increase
on employees during the financial year impacts that people should be aware of - not sharing with
in reports of users falling prey to fraudsters who are luring
performance evaluation/rating of an employee. For strangers their ATM/Card (Debit/Credit/Prepaid)
them on fictitious pretexts, such as alleged completion of
example, if an employee has been issued a warning details, beware of phishing, smishing and vishing
KYC requirements, impersonating identities and websites
under Disciplinary Action Policy, he/she shall not be scams, etc.
of lenders and payment system operators, etc. are
eligible for A+ rating for respective financial year.
increasing day by day and is anticipated to rise further. 2. Settle Karna Hai Loan, Pehle Pucho Aap Kaun:
Encouraging people to never pay off their debts
The safety and security of customer data and digital
through third-party loan/debt settlement entities.
transactions are of paramount importance to our
The Company through its awareness series Always contact your lender for settling your loan.
customer base. We have actively undertaken digital
‘Information Security Awareness | Know
awareness campaigns in social and Audio-Visual media. 3. Fake Loan Ka Danger Zone: Advising people to
the infosec guidelines’ created awareness
stay away from scammers representing himself/
amongst its employees on importance of
information security on following topics:
Social Media Platforms herself as an employee of Bajaj/any reputable
bank or NBFC where they are offering loans, asking
• Password security
3 for personal/financial details, PAN card, Aadhaar
Card, etc.
No. of campaigns
• Phishing attack
• Mobile security
• Prevent malware
5,300,000+
Impressions
• Beware of social engineering
• Clear desk and clear screen
• Printouts 400+
No. of posts
• Data security
• End user security
• Internet usage – controlling access for

safety and security
• Email security
About Campaigns Award

Sitti Pitti Gul – Our umbrella campaign for fraud and Bajaj Finance Ltd. clinched the esteemed title of
cyber awareness under which we covered below sub- Digital Enterprise of India - BFSI at The Economic
campaigns: Times CIO Awards 2024.

1) Fraud Framework
BFL has in place a robust framework/ policy on fraud
risk management for lending business, along with
a pro‑active fraud detection process, for payment
business. It broadly covers:
• Board-approved policy.
• Roles and responsibilities.
• Technology set up for fraud identification, monitoring,

verification disposition, and reporting.
• Operational process for fraud monitoring through

centralised HO and decentralised field teams.
• Proactive monitoring and engagement with

sourcing channels.
• Due diligence while onboarding partners.
• Regular communications to keep stakeholders updated

on emerging trends.
Fraud Risk Management • Dedicated sales compliance framework in each B. Detection

To check any fraudulent activities across our business business for distribution control. 1) Predictive - Preventive Analysis
operations, we closely assess various fraud risks to which Deployed early warning signals through predefined rules,
we are exposed. We have in place a robust framework/ 2) Fraud Awareness which provides an exception report of suspicious cases
policy on fraud risk management, along with a proactive Our fraud awareness focus encompasses targeted logged. This has helped in improving our agility to identify
fraud detection process. Our anti-fraud programme is initiatives and programmes covering (i) customers and and curb frauds immediately on detection.
crafted to prevent such risks. Report on identified frauds (ii) employees. BFL’s website has dedicated educational
2) Early Warning Signals
are presented in the Risk Management Committee of the material on information security, phishing, and vishing
Board every quarter with the root cause and corrective/ frauds along with constant engagement to create By studying historical data of fraudulent cases, the
preventive actions taken. Our five pillars of Fraud Risk awareness on fraudulent threats arising from social early warning model have been created to highlight
Strategy are: media handles. the high-risk instances/cases and further sent for
field investigation.
A. Prediction & Prevention Bajaj Finance Fraud Awareness Message (bajajfinserv.in)
3) Default Investigation
O
ur prediction & prevention strategy is Customer notification is done through a mandatory
Investigation of early default cases to understand root
structured around: read on fraud awareness during Bajaj Finance Mobile
cause of default and proactive involvement in case of
1) Fraud Framework Application Onboarding journey.
frauds. Apart from RCU checking early default cases,
2) Fraud Awareness Periodic customer notification on the latest fraud trends a process has been created for debt management team
is done through App notifications and through social and services team to flag off suspected fraud cases/
media campaigns. complaints to RCU for response.

3. Industry Collaboration: Collaboration with the

banking ecosystem to identify new trends. Also,
for taking deterrence actions against perpetrators
like freezing bank accounts used for crediting
fraud value, blocking VPA handles used in fraud.
Direct communication to Third Party Application
Providers (TPAPs), Banks where a fraudulent profile
is identified; sharing of data with NPCI to confirm the
same being ADHOC incidents or a new trend.
E. Awareness and Training

Mandatory Awareness and Prompt Communication
on Mobile Application
Based on some predefined rules, we at BFL reach out

to the customers regularly who are more vulnerable to
frauds. This keeps the customers aware and alert in case
they are being approached by fraudsters. Also, quarterly
the fraud awareness messages are shared across the
entire customer base. Further, training on AML is given
to employees every year. During FY2024, 95% of the
employees completed training on AML.
C. Response D. Collaboration For further information on awareness and trainings,
1. Collaboration with Sales: Fraud risk markers are please refer to Stakeholders’ Engagement section of the
1. I nvestigations and Strict Consequence ESG Report.
being shared with the sales team monthly. Basis this,
Management
fraud mitigation steps are being implemented at the
i. Conducting investigations on the suspicious ground level, including strict consequence on the
profiles identified. errant distributors and employees.
ii. Taking strict disciplinary action against 2. Collaboration with RBI/National Payment
distributors/employees found involved in fraud. Corporation of India (NPCI): Collaboration with
iii. Ensuring confidentiality and security to NPCI and RBI for taking deterrence actions against
individuals who report fraud through the perpetrators like freezing bank accounts used for
whistle-blower mechanism. crediting fraud value, reporting identified payments
frauds to NPCI and Suspicious Transaction Reports
2. FIRs and Police Complaints (STRs) filing for probable AML cases and blocking
The Company lodges FIRs and police complaints VPA handles used in fraud. There is internal process
against fraudsters, creating deterrence. in place to block the logins on the Mobile App and
sharing of data with NPCI.

Strong leadership is the
foundation of good governance. STAKEHOLDERS’
Our Board of Directors and
executive management bring ENGAGEMENT
a wealth of perspective and
experience to Bajaj Finance.
Our governance framework As a responsible corporate, we, at BFL Group, are committed
focuses on transparency, to effectively addressing expectations and concerns of
full compliance, robust our stakeholders. BFL Group understands the impact of its
data-reporting and actively policies, decisions, products and services, and associated
responding to the needs of operations on the stakeholders. In line with its policies,
regulators and stakeholders. practices, and processes, BFL Group engages with its
stakeholders and strives to resolve differences with them
Vijay R in a just, fair, equitable and consistent manner and where
Company Secretary warranted takes corrective measures.
UN SDGs Aligned
STAKEHOLDERS’ ENGAGEMENT
Engaging with Stakeholders

Responsibly
Identifying and prioritising stakeholders is essential for
achieving our sustainability objectives and establishing
trust with them. Individuals or a group of individuals,
agencies, institutions who are interested or impacted
by the activities of the Company’s businesses and
vice-versa now or in the future are identified as key
stakeholder by BFL Group.
We hold periodic and event-based interactions with all our

stakeholders to understand the impact of BFL Group’s
policies, decisions, products, and services and associated
operations on the stakeholders. BFL Group also engages
with relevant stakeholders for enhancing the sustainable
and responsible business practices.
In line with above approach, we have identified seven

critical stakeholder groups that are seen as being the
most important for our business. The key stakeholders of
BFL Group are shareholders and investors, lenders and
depositors, value chain partners, customers, employees,
society, as well as the government and regulators.
We have dedicated ourselves to upholding and protecting

human rights of all our stakeholders. We ensure sustained This policy governs all disclosures in news and earning
compliance with all applicable laws pertaining to
Our Corporate Communication releases, senior management speeches, presentations,
human rights. Policy press releases, information on the Company’s intranet
Information on BFL is actively sought by mainstream and includes discussion in public and quasi-public areas
financial media, social media influencers, investors, and where conversations may be picked up by the media.
employees. It is important that the flow of information is The main objective of the Policy is to protect and
managed in an efficient and transparent manner, leaving safeguard the reputation of BFL and mitigate risk to its
no room for misinterpretation. reputation. The policy protects the interest of customer
Aligning to this virtue, BFL has a ‘Corporate and shareholder, lays down a standard procedure for
Communication Policy’ which defines the approach handling all communication with external and internal
to communicate with media. The policy provides a audiences and strengthen BFL’s image, ensures that all
framework and process for effective media engagement, information shared with the media is aligned with BFL’s
both proactive and reactive. desired messaging and the direction of its management
and complies with legal and regulatory requirements.

1. In November 2022, the Company got its DRA

Shareholders and Investors Value Chain Partners training accreditation from Indian Institute of
Our commitment to protecting the interests of our We strongly believe in the mutual and inclusive growth Banking and Finance (IIBF). BFL has invested in
shareholders and investors is evident in the fact of our value chain partners, including retailers, direct online DRA training infrastructure for agents. After
that we maintain some of the highest standards of selling agents, direct marketing agents, recovery completion of online training, agents appear for
business information disclosure amongst financial agents, etc. We ensure their compliance with the highest a DRA certification test conducted by IIBF. The
services companies in India. We communicate with our standards of ethics through our Board-approved Code success rate of agents to clear the exam is around
shareholders, investors, lenders and deposit holders of Conduct (CoC) for our value-chain partners. Through 80%. The Company has planned to cover all its DMS
through quarterly investor presentations, earnings call, this Board-approved Code of Conduct, BFL monitors agents with DRA certification in coming two years.
stock exchange announcements, investor conferences the performance of the value chain partners and takes As on 31 March 2024, more participants are DRA-
and non-deal roadshows. suitable disciplinary action in terms of warning, penalty, certified with the support of 79 certified facilitators
and termination for deviations, if any. as per IIBF norms.
The Company conducts awareness and training
2. Around 40,000 DMS One App users view COC/FPC/
programmes for its value chain partners (especially
Customer Communication guidelines related videos
agents and other intermediaries), depending upon
on ‘One App Code of Conduct’ as a part of situational
business needs, stakeholder feedback and regulatory
training every week.
requirements, relating to code of conduct, skill
upgradation, functional trainings, etc. 3. We conduct an annual meet ‘Samvaad - Dialogues
to Success’ to strengthen relationship with our
Starting from FY2023, we have integrated ESG
business partners and to address their concerns. We
clauses into our agreements with value chain partners,
felicitate and recognise outstanding performance of
emphasising ethical business practices, human rights
our partners at such forums. In FY2024, post-COVID,
and environmental protection.
Samvaad was organised in-person for 22 days; over
During the year, BFL has provided training to its collection 1,500 retailers participated and interacted live with
agents. The summary of the training is as follows: the senior management physically.
We have in place a well-crafted Stakeholders Relationship

Committee to review the grievances of debenture and
deposit holders, in addition to the shareholders of the
Company. All complaints received from shareholders were
suitably resolved.

1. Participation in Nodal Officers’ meetings and regional 3. Loan Ka the End: Always obtain NDC from your lender
conferences, Customer Awareness Townhalls and on the closure of loan.
Outreach Programmes.
4. Wait Nahi, Update Karo: Importance updating or
2. Part of the panel discussion on ‘Gaps in changing contact number should also update the
Implementation of Fair Lending Practices by NBFC’s’ same on loan account.
and ‘Handling of complaints related to credit
information & challenges and Action plan’. 5. Har Koi Bajaj Nahi: Stakeholder were made aware
of fraudsters commenting on social media posts of
3. Our Internal Ombudsman was invited to give
random people as a Bajaj representative and asking for
a session on the ‘Effectiveness of Internal
their loan details/money.
Ombudsman Process’, organised by RBI.
Government and Regulators 4. During the year, BFL organised awareness and 6. Doori Hai Zaroori From Loan Settlement:
We proactively share our views on formulating new education programmes for customers/general Stakeholders were communicated the importance of
industry standards or regulatory developments pertaining public/students and for DMS agents/agencies in staying away from loan settlement.
to the NBFC sector. In doing so, we strive to balance the coordination with RBI. 7. Har Time EMI On Time: In this campaign, we
interest of various stakeholders. We engage regularly highlighted to the stakeholders to pay their EMIs on
with Government agencies and regulators and remain Campaign Details time and emphasise the potential consequences of
steadfastly committed to providing timely and accurate Loan Repayment Campaign failing to do so.
information, suggestions and recommendations,
Overview: Loan Repayment campaigns stress the 8. Charges For What: Educating people on penal
feedback on draft policies, etc. as and when required.
importance of prudent financial practices. Some of the charges, ECS changes and bounce charges.
During such interactions, we also discuss areas of focus
aspects include advising on the use of digital payments
and concerns.
and receipts to avoid misappropriation and cautioning
Our participation in the public and regulatory policy in respect of the wrong ‘Karza Mukti’ groups which can
development process encompasses providing spoil the credit score, letting them know how the loan Social Media Platforms
suggestions on draft notifications, and interactions settlements affect the credit and the need for updates
with various bodies/regulators on matters significant
to the industry and the society at large. We also give
in personal details for proper management of the loan.
The campaigns have also been a clarion call against
8
No. of campaigns
recommendations, from time to time, to various fraud on social media and time and again reiterated the
regulators in the larger interest of the industry. significance of making EMI payments on time to avoid
charges for the same.
Partnering Regulatory Change
1. Just Ask For It: Always use digital mode of 18,400,000+
Journeys payment and always take receipt to reduce Cash Impressions
BFL views engagement with regulators as an Misappropriation cases.
ongoing process rather than a one-time event. Such
2. No Mukti Only Nuskaan: Through this campaign, we
engagements help to build strong relationships, gain
a deeper understanding of regulatory requirements, created awareness amongst stakeholders to not join 320+
and adapt their compliance practices to meet evolving Karza Mukti Abhiyan and such fake groups as this may No. of posts
regulatory expectations. Details of such engagements are affect their credit score in a negative manner.
as follows:

Cyber Security/Fraud Awareness 3. Fake Loan Ka Danger Zone: Advising people to

stay away from scammers representing himself/
Campaign herself as an employee of Bajaj/any reputable
Overview: Rising instances of cyber fraud and increase bank or NBFC where they are offering loans,
in reports of users falling prey to fraudsters who are asking for personal/financial details, PAN card,
luring them on fictitious pretexts, such as alleged Aadhaar Card, etc.
completion of KYC requirements, impersonating
identities and websites of lenders and payment system The BFS Group is a member of various trade and
operators, etc. are increasing day-by-day and is industry chambers, associations, councils, and such
anticipated to rise further. other collective platforms (‘forums’). It proactively
contributes to various discussions and resolutions
The safety and security of customer data and digital within the scope of these forums.
transactions are of paramount importance to our
customer base. We have actively undertaken digital BFS is a member of the World Economic Forum
awareness campaigns in social and Audio-Visual media. and CII, through which it actively engages in
policy advocacy.
ESG Stakeholder Awareness series

We at Bajaj Finance Limited commit to achieving a
positive social and environmental outcome through
our business operations in a responsible, ethical,
Social Media Platforms and inclusive manner. We also ensure a clean and
3 About Campaigns
sustainable environment by adhering to all pertinent
laws and regulations applicable to our business
No. of campaigns Sitti Pitti Gul – Our umbrella campaign for fraud and operations in letter and spirit. Keeping this virtue in
cyber awareness under which we covered the below mind, we initiated awareness campaigns to encourage
sub-campaigns: our stakeholders for upholding the same values,
5,300,000+ 1. Bano Cyber Smart: In this campaign, we focused
principles, and business ethics in their dealings.
Impressions on general cybercrimes and cyber awareness things

that people should be aware of - not sharing with
strangers their ATM/Card (Debit/Credit/Prepaid)
400+ details, beware of phishing, smishing and vishing

scams, etc.
No. of posts
2. Settle Karna Hai Loan, Pehle Pucho Aap Kaun: Society Customers Employees
Encouraging people to never pay off their debts Page-45 Page-54 Page-65
through third-party loan/debt settlement entities.
Always contact your lender for settling your loan.

Materiality Assessment Universe of
High
Topics
Our sustainability interventions focus on issues that are most material to us and our
Importance to Stakeholders
stakeholders. The Materiality Assessment intends to determine environmental, social,
Quantitative Materiality
and governance issues central to oversight and the active engagement from the senior Business
Assessment Tool
management and ESG leadership teams. This assessment has helped prioritise, from the Objectives
universe of material issues, topics of highest importance to the Company’s business.
The Materiality Assessment exercise was conducted through survey-based forms and Risk
Assessment
engagement with senior officers of the BFL Group to identify relevant sustainability
issues. The Assessment considered the requirements of various ESG Standards and
Rating agencies. The outcome was a final materiality matrix to guide our ESG journey Stakeholder
including areas of high impact on our business operations and stakeholders. Analysis
Low
External Low High
Requirements
Importance to Bajaj Finance Group -
Lending Business
Medium High Very High

Business Ethics
and Transparency Corporate Governance
Regulatory Compliance*
Data Privacy Economic Performance#
and Security
Risk Management
Community Relations
and Well-being Human Capital Development
Innovation and Digitisation

Importance to Stakeholders
Customer Relationship Marketing & Selling Practices

Management
Diversity and Inclusion
Brand and Reputation Management
Promoting Health,
Safety and Well-being
Sustainable Finance
Human
Rights
Financial Inclusion
Climate Strategy and
Emissions Management
Impact to Business
* Regulatory compliance which was part of corporate governance is now being considered separately.
# Economic Performance is newly considered material topic.

We have tried to map our footsteps in the journey to evaluate our maturity through the ESG Materiality Assessment. Following is a list of high importance topics for the BFL Group
based on its current maturity assessment and level of information available and transparent disclosure in this ESG Report:
Indicate Financial Implications

Whether of the Risk or
Rationale for Identifying
S.No Material Issue Identified Risk or In Case of Risk, Approach to Adapt or Mitigate Opportunity (Indicate
the Risk/ Opportunity
Opportunity Positive or Negative
(R/O) Implications)
1 Enhancing Customer Opportunity Enhancing customer experience and satisfaction helps BFL Group NA Positive
Relationship Management expand its customer base, improve customer retention, build
a strong brand image, customer loyalty and satisfy customers’
financial goals.
2 Robust Corporate Opportunity Adhering to proper governance practices carries substantial NA Positive
Governance benefits, including strong reputation and building stakeholder trust.
3 Upholding Business Ethics Opportunity Exercising ethical business behaviour in business presents NA Positive
and Transparency opportunities for the following reasons:
a. Helps build trust and credibility with stakeholders
b. Promotes long-term sustainability and profitability
c. Prevents reputational damage, legal problems and loss of
business
4 Sustainable Economic Opportunity BFL strives to provide sustainable economic performance that builds NA Positive
Performance confidence among stakeholders, enhance company's competitive
edge, and create a favourable environment for exploring new
markets and business ventures, enhance company’s reputation,
attracts investments, fosters innovation, and promotes
long-term growth.
5 Data Privacy and Security Risk Information is a valuable asset regardless of its source Led by a strong commitment to protecting the Negative
and nature. The importance of information security, cyber privacy of personal data, we have formulated a
security and fraud controls cannot be over-emphasised in this well-structured Data Privacy Policy framework
technological age. Security threats endanger customer data and controls. The BFL Group has institutionalised
and disrupt in business operations coupled with legal liabilities, a cyber-security policy to protect its information
regulatory investigations, financial penalties and damage to brand infrastructure on the internet, prevent and respond
and reputation. to cyber threats; reduce vulnerabilities; and
minimise damage from cyber incidents.
Strong governance process with executive and
Board oversight. Preparedness for response to
incidents. Awareness programmes and training.
6 Strong Brand and Reputation Opportunity Brand and reputation are crucial assets for any company, serving NA Positive
Management as pillars of trust and credibility in the industry. A strong brand
and highly regarded reputation can differentiate a company from
competitors, attracting customers and investors alike.


(R/O) Implications)
7 Embracing Diversity and Opportunity At Bajaj Finance Limited, we seek to create an inclusive, equitable, NA Positive
Inclusion culturally competent, supportive and safe environment where our
employees model behaviour that enriches our workplace. We are
committed to embedding equity and inclusion in all our people
& business practices. Our practices aim to establish an inclusive
culture, that celebrates diversity, is free from discrimination and
is based on our Cultural Anchor framework. We have adopted an
Equal Employment Opportunity and Non-discrimination Policy.
We are committed to meritocracy-based recruitment and career
advancement.
8 Fostering Human Capital Opportunity We strongly believe that “happy customers start with happy NA Positive
Development employees”. We value our people as they power our success. In
line with this philosophy, at the BFL Group, we are committed to
attracting, engaging, and retaining the right talent, as it contributes
to delivering a superior business performance. We are focused on
creating a thriving, safe and inclusive workplace for employees, while
keeping them engaged and providing opportunities for professional
and personal development and growth.
9 Regulatory Compliance Opportunity BFL works in highly regulated environment. Failure to comply with NA Positive
regulation can lead to stoppage of business, litigations, penalties,
sanctions and reputation loss.
10 Prudent Risk Management Opportunity As an NBFC, BFL is exposed to credit, liquidity, operational, market NA Positive
and interest-rate risk and various other types of risk. The ability to
manage various types of risks is critical to our sustainable growth.
11 Enhancing Innovation and Opportunity Technology-enabled seamless customer experience has been NA Positive
Digitisation the hallmark of our businesses. Each business is unique; so is
its approach towards enhancing customer experience. But the
core objectives that tie them together and stay the same are
simplification of processes, ease of use and quick and appropriate
responses. In the technology age now, information security, cyber
security and fraud controls have become extremely critical. This
challenges us to continue innovating to address evolving customer
requirements, drive efficiency and adapt our products to attract and
retain customers. New technologies offer business opportunities.


(R/O) Implications)
12 Marketing & Selling Practices Risk Product governance refers to companies’ management of the The company has a strong marketing and product Negative
quality of financial products and services offered, as well as the way offering programme that assesses responsible
they are marketed. Retail finance companies are highly exposed to marketing aspects. The company has preparedness
product governance issues, given their business model of lending. measures to address Product Governance issues.
Types of misconduct include discriminatory lending practices, false BFL Group follows a strict Code of Conduct (CoC)
marketing, predatory lending, misleading investors through poor for its outsourced agents. The CoC prescribes
disclosure and illegal foreclosure practices. stringent guidelines, such as maintaining privacy
of prospective and existing customers, providing
accurate product information, telemarketing
etiquette, etc. The CoC for our outsourced agents is
available on our website.
13 Promoting Sustainable Opportunity Sustainable financing is not only important to address pressing NA Positive
Finance environmental and social challenges but also for creating a more
resilient, inclusive and prosperous future for all.
14 Promoting Employee Health, Opportunity Beyond legal and financial considerations, promoting health, safety, NA Positive
Safety, and Well-being and well-being is simply the right thing to do. It shows that the
organisation values its employees as individuals. When employees
feel safe and healthy at work, they are more likely to be engaged,
motivated, and productive. This can lead to higher job satisfaction and
lower turnover rates.
15 Encouraging Financial Opportunity All individuals and businesses across the country should have easy NA Positive
Inclusion and seamless access to relevant and affordable financial products
and services in a sustainable way. This is essential for them to meet
their transactional, payment, saving, credit and insurance needs in a
hassle-free manner.
16 Community Relations and Opportunity To build a sustainable ecosystem for the underserved. To help them NA Positive
Well-Being realise and grow their potential, ensuring social, and economic
inclusion for every individual.
17 Upholding Human Rights Opportunity Human Rights risks: The risks that a company's operations/ NA Positive
activities/products pose to people's fundamental human rights.
Businesses that properly address human rights issues are likely to
have a more productive and more sustainable workforce and avoid
legal, operational and financial risks.
18 Climate Strategy and Risk Climate strategy and emissions management are crucial for The company, as a responsible corporate citizen, Negative
Emissions Management businesses to manage operational and environmental risks, and is conscious of direct and indirect impact of its
contribute to a sustainable economy. operations on the environment. BFL is committed
to reduce any negative impact on the natural
environment and climate change. The Company
endeavours to integrate sound environmental
practices and governance systems
in its day-to-day operations to minimise
environmental impact.

Bajaj Finance Limited
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CONTENTS

01 About the Report Details of our ESG Initiatives

02 About Bajaj Finance Limited

06 Awards and Recognition 30-35

01 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

BFL is engaged in the business of lending, partnership Product offerings

Bajaj Finance has two wholly owned subsidiaries. These

BFL is present in 4,145 locations across the country,

Public and Corporate Partnerships and

02 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Sanjiv Bajaj Rajeev Jain

03 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Every day, we are witness to a wave of change in the

04 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Electric Vehicles (EVs) financed in FY2024

05 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

06 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Opening of 100 Installation of 626.80 Digitisation efforts Planted ~3.45 lakh

ESG Awareness Employee well-being Implemented dedicated

a. Annual Health and

07 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Preserving & Protecting

08 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Energy for all 10

Effective, Accountable and Inclusive

Build Resilient Infrastructure, Strengthen the Means of Implementation

09 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

10 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

11 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

12 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

13 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

14 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

The Corporate Governance philosophy of Bajaj Finance

Experience/expertise of Board of Directors

In compliance with SEBI Listing Regulations, the Less than 5 years

16 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

ESG Governance Structure

Board of Directors and

Dedicated ESG team working under CFO’s

17 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Ethical Conduct for Board of

47,000+ E In FY2024, over 47,000 employees were

18 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Zero Tolerance for Unethical

19 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

• BFL Group respects its employee’s opinion, views

20 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

Initiatives and Practices

• Number of Board and Committee meetings are more

21 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

a. Whistle Blower Policy/Vigil Mechanism;

d. Policy on Prevention of Sexual Harassment

22 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

risk, debt management services, investment risk, financial

23 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

 he risks revolving around inflationary trends, elevated

Risk Management Process

 he Board of Directors have adopted a risk management

24 ENVIRONMENT, SOCIAL AND GOVERNANCE REPORT 2023-24

a. Annual Health and

he risks revolving around inflationary trends, elevated

he Board of Directors have adopted a risk management