CXO today In an exclusive interview with George Muthoot George, Deputy Managing Director, Muthoot Finance
- What drives Muthoot Finance’s commitment to giving back to society?
In an era when society is increasingly expecting the corporate sector to actively contribute to the growth of local communities, Muthoot Finance has remained steadfast in its commitment to social welfare and development. With a 136-year banking tradition, we have consistently gone beyond profit generation and continue to set the standard for corporate responsibility for both our stakeholders and our communities.
Our CSR efforts take a comprehensive approach, focusing on education, healthcare and environmental protection. Through our corporate social responsibility initiatives that span healthcare, education, natural disaster relief, youth empowerment, social upliftment and personal social responsibility, we have positively impacted the lives of millions of people. . As a leader in the financial lending space, our aim is not only to be the front runner in the industry but also to set the benchmark for his CSR initiatives across the NBFC and BFSI sectors. In FY2023, the company has allocated more than Rs 200 crore to him. He has contributed $964 million to CSR projects benefiting 550,000 individuals. Over the years, we have refined our CSR strategy, aiming not only to improve economic and social well-being, but also to foster a sustainable future at the grassroots level.
- Purpose of launching tiger protection CSR activities and future developments
Wildlife conservation and climate change mitigation are often viewed as separate environmental issues, but they are intricately linked. Major changes in climate patterns are beginning to have negative effects on wildlife, including drying out reservoirs in wildlife reserves. As mentioned earlier, environmental conservation is the central focus of Muthoot Finance's CSR efforts.
In response to these challenges, Muthoot Finance recently collaborated with NGO Hope and Helping Hand Society to install solar pumps at Tipeshwar Wildlife Sanctuary and Melghat Tiger Reserve. This work aligns with our broader goals of protecting natural ecosystems and wildlife habitat. The installation of solar pumps will ensure a stable water supply throughout the year, which is essential for the protection of wildlife and forests. This pioneering initiative by the corporations of Tipeshwar Wildlife Sanctuary and Melghat Tiger Reserve is a first of its kind in the industry.
Muthoot Finance continues its collaboration with the NGO “Hands of Hope and Help” to explore more such forest and wildlife centers in Maharashtra, expand similar facilities and create a positive impact on the environment. We intend to support natural habitats and wildlife welfare by providing and expanding this. CSR initiatives.
- What drives Muthoot Finance to support these initiatives and continue the tradition over the years since the founding of Muthoot Group in 1887?
It was inspired by our former chairman, Shuri. MG George Muthoot, Muthoot Finance has a deep heritage that spans generations and fosters a culture centered on making a positive impact on society. His purpose and vision-driven approach to harmonizing his CSR efforts across the country has been a guiding force for Muthoot Group over the years. Even before his CSR spending mandate of 2% came into effect, Muthoot Finance was deeply rooted in his CSR realm and embedded in his DNA of the organization.
As mentioned earlier, we are taking a holistic approach to addressing India's critical social challenges across three key areas: education, health and environment. In the face of many changes and challenges, we have remained steadfast in our commitment to our community. Indeed, over the years, Muthoot Finance has seized every opportunity, be it the COVID-19 pandemic or the floods in Kerala, to refine, expand and accelerate its CSR programs to create a significant and lasting impact. I've been aiming for it.
- How does Muthoot Finance address its dual mission of business growth and social impact?
Muthoot Finance remains dedicated to achieving business milestones while strengthening its philanthropic efforts through a multi-pronged approach. We are deeply committed to community empowerment in everything we do. The diverse services offered by Muthoot Group, including Gold Loans, SME Loans, Affordable Home Loans and Personal Finance Loans, are aimed at promoting financial inclusion across Bharat. With over 5,000 branches across India, our goal is to contribute to the growth of the Indian economy by expanding access to credit and serving the underbanked.
On the business front, Muthoot Finance has made impressive progress, with consolidated loan book increasing by 24% year-on-year to reach Rs 2,000 crore. Sales were 79,493 billion rupees, and consolidated profit after tax increased 24% year-on-year to 100 billion rupees. 214 billion rupees in the first half of 2024. Similarly, on the CSR front, the company has committed to invest Rs 2,140 crore in the first half of FY24. He will donate $1 billion to positively impact communities in the current fiscal year (FY2024). We are passionate about grassroots amplification and influence, increasing shared value and ensuring the sustainability of our CSR programs. We strongly believe that our efforts will act as a catalyst for social development, contribute to India's sustainable economic growth and promote Atmanir Bharat.