.i HDFC HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED Ref. No.: SE/2021 -221158 www.hdfc.com
August 25, 2021
BSE Limited National Stock Exchange of India Limited P. J. Towers Exchange Plaza, Plot No. C/l, G Block Dalal Street Bandra-Kurla Complex Mumbai 400 001 Bandra (East), Mumbai 400 051
Kind Attn: Sr. General Manager Kind Attn: Head - Listing DCS - Listing Department
Dear Sirs,
Sub: Integrated Report of the Corporation - FY 2020-21
In accordance with the SEBI circular SEBI/HO/CFD/CMD/CIR/P/2017110 dated February 6, 2017, the Corporation has voluntarily prepared an Integrated Report for the financial year 2020- 21, as enclosed. The report is also being uploaded on the website of the Corporation viz. www.hdfc.com.
We request you to bring the above to the notice of all concerned.
Thank you.
Yours faithfully, F r Housing Development Finance Corporation Limited
Encl. a/a cc: London Stock Exchange, 10, Paternoster Square, London, EC4M 7LS
Corporate Office: HDFC House, HT Parekh Marg, 165-166, Backbay Reclamation, Churchgate, Mumbai 400 020. Tel.: 66316000, 22820282. Fax: 022-22046834, 22046758. Regd. Office: Riunon House, HT Parekh Marg, 169, Backbay Reclamation, Churchgatc, Mumbai 400 020. INDIA. Cotj>orate Identity Number: L701OOMHl977PLC019916 Integrated Report 2020-21
Hope Begins at Home CONTENTS
Introduction 4
HDFC at a Glance 6 #HOPE BEGINS AT HOME Value Creation at the Group Level 8
More than ever before, a home is not ESG Indices 13 just a physical space, it is a feeling. A home is sacred. It is where the Financial Capital 17 strongest human bonds are created.
Human Capital 19
Social & Relationship Capital 24
Physical & Digital Capital 33
Intellectual Capital 38
Natural Capital 41
Response to COVID-19 through CSR 48
CSR projects undertaken mapped against 49 Sustainable Development Goals
Hope Begins at Home 54
Note: 1 crore = 10 million, 1 lac = 100,000 CONTENTS
Introduction 4
HDFC at a Glance 6 #HOPE BEGINS AT HOME Value Creation at the Group Level 8
More than ever before, a home is not ESG Indices 13 just a physical space, it is a feeling. A home is sacred. It is where the Financial Capital 17 strongest human bonds are created.
Human Capital 19
Social & Relationship Capital 24
Physical & Digital Capital 33
Intellectual Capital 38
Natural Capital 41
Response to COVID-19 through CSR 48
CSR projects undertaken mapped against 49 Sustainable Development Goals
Hope Begins at Home 54
Note: 1 crore = 10 million, 1 lac = 100,000 INTRODUCTION
The key takeaways are: 5. HDFC together with the H T Parekh 7. A healthy company looks after its 10. We have been running an internal On a voluntary basis, we have an Our Integrated Report is Foundation intensied its efforts people rst. It starts with empathy, campaign on ESG for employees Integrated Report, Social Initiatives 1. The pandemic has reafrmed our towards COVID-19 relief care and fairness. Tiding through and their families called, ‘Hope Report, COVID-19 Relief Response: a simple narrative of belief that there can be no greater measures. Through the pandemic, our most difcult periods over the Begins at Home’. The objective is Impact Assessment Report, what we do at HDFC security than a home. we have been guided by one key last year was entirely due to the to encourage climate conscious Independent Review of HDFC’s each day at work. It 2. We believe we help meet a critical question - how do we provide collective efforts of all our decisions in our daily lives and Sustainability Initiatives and the BRSR. gives us an opportunity social objective by providing support to those that need it the employees. create more ESG champions in the These reports are placed on our to look beyond the housing nance solutions across most? To help build more resilient organisation. Small changes 8. Regulators across the globe are website. The hyperlink is all income categories - be it the health systems, we adopted a two through collective efforts make a realm of nancial encouraging companies to imbibe https://www.hdfc.com/investor- economically weaker section pronged strategy of an immediate material difference. parameters, introspect ESG practices in all their activities. relations#environmental-social-and- (EWS), low income group (LIG), approach through working with In May 2021, the capital markets In perhaps one of the most governance. and enables us to think middle-income and upper income community development partners regulator, Securities and Exchange challenging years ever, the about a better future group. and a longer-term approach of supporting healthcare Board of India mandated that the Corporation was adjudged as the We recommend this report be read in ahead. When we look at conjunction with the Annual Report 3. HDFC is the only nancial infrastructure and strengthening top 1,000 companies by market ‘Best Company of the Year’ at the 2020-21 including the Financial our organisation more institution to have over 230,000 capacity across various parts of capitalisation adopt a new format Economic Times Award for Corporate Statements, Directors’ Report, holistically, it beneciaries under the Credit the country. called ‘Business Responsibility Excellence, conferred with the ‘Golden Management Discussion & Analysis Linked Subsidy Scheme (CLSS). and Sustainability Report’ (BRSR) Peacock Award for Excellence in strengthens our resolve Report and Report on Shareholders’ Supporting this scheme is not just 6. Every organisation needs to think on a voluntary basis in FY22 and Corporate Governance’ by the Institute to help more Indians Information. about helping rst-time home about their de-carbonisation mandatorily from FY23 onwards. of Directors and felicitated with the become proud horizon. Recognising physical and While the BRSR draws on various ‘Best Audit Committee Award’ by the buyers or encouraging women We know that there can be no safer homeowners. homeownership, but it is equally transition risks that may arise due international frameworks, it is in Asian Centre for Corporate to climate risk, HDFC is working essence an indigenous framework. Governance & Sustainability. haven than a home and helping more about being an enabler for the Indians become home owners is our government under its mission, towards reducing its own carbon With a predominance of In the recent period, two Our reporting across the pillars of ESG raison d’etre. ‘Housing for All’. footprint. Responsible lending quantitative based metrics, the key issues have taken policies, enhanced due diligence BRSR will facilitate standardised entail a combination of statutory and centre stage in any 4. Corporate governance is centric to on loans from an environment and benchmarking across companies voluntary reports. The statutory reports include the Report on dialogue with our every activity in the organisation. social perspective, encouraging in India. HDFC voluntarily adopted green, smart and energy efcient this reporting format in FY21 itself. Corporate Governance, Report on stakeholders. The rst Being transparent and consistent in our communications with housing and employee Corporate Social Responsibility and has been the pandemic stakeholders earns us trust. The sensitisation to climate risks are 9. Every dialogue with ESG analysts Business Responsibility Report. and its impact on the overwhelming response to our efforts that have been intensied. and investors enriches us. There are unprecedented changes organisation. The capital raise in FY21 stands testimony to this. happening globally today and second is how we every interaction helps us improve perceive Environmental, upon our own practices and Social and Governance enables us to stay abreast and better meet investor and Environmental (ESG) parameters from stakeholder expectations. a perspective of risk Social and opportunities. Governance
04 HDFC Integrated Report 2020-21 05 INTRODUCTION
The key takeaways are: 5. HDFC together with the H T Parekh 7. A healthy company looks after its 10. We have been running an internal On a voluntary basis, we have an Our Integrated Report is Foundation intensied its efforts people rst. It starts with empathy, campaign on ESG for employees Integrated Report, Social Initiatives 1. The pandemic has reafrmed our towards COVID-19 relief care and fairness. Tiding through and their families called, ‘Hope Report, COVID-19 Relief Response: a simple narrative of belief that there can be no greater measures. Through the pandemic, our most difcult periods over the Begins at Home’. The objective is Impact Assessment Report, what we do at HDFC security than a home. we have been guided by one key last year was entirely due to the to encourage climate conscious Independent Review of HDFC’s each day at work. It 2. We believe we help meet a critical question - how do we provide collective efforts of all our decisions in our daily lives and Sustainability Initiatives and the BRSR. gives us an opportunity social objective by providing support to those that need it the employees. create more ESG champions in the These reports are placed on our to look beyond the housing nance solutions across most? To help build more resilient organisation. Small changes 8. Regulators across the globe are website. The hyperlink is all income categories - be it the health systems, we adopted a two through collective efforts make a realm of nancial encouraging companies to imbibe https://www.hdfc.com/investor- economically weaker section pronged strategy of an immediate material difference. parameters, introspect ESG practices in all their activities. relations#environmental-social-and- (EWS), low income group (LIG), approach through working with In May 2021, the capital markets In perhaps one of the most governance. and enables us to think middle-income and upper income community development partners regulator, Securities and Exchange challenging years ever, the about a better future group. and a longer-term approach of supporting healthcare Board of India mandated that the Corporation was adjudged as the We recommend this report be read in ahead. When we look at conjunction with the Annual Report 3. HDFC is the only nancial infrastructure and strengthening top 1,000 companies by market ‘Best Company of the Year’ at the 2020-21 including the Financial our organisation more institution to have over 230,000 capacity across various parts of capitalisation adopt a new format Economic Times Award for Corporate Statements, Directors’ Report, holistically, it beneciaries under the Credit the country. called ‘Business Responsibility Excellence, conferred with the ‘Golden Management Discussion & Analysis Linked Subsidy Scheme (CLSS). and Sustainability Report’ (BRSR) Peacock Award for Excellence in strengthens our resolve Report and Report on Shareholders’ Supporting this scheme is not just 6. Every organisation needs to think on a voluntary basis in FY22 and Corporate Governance’ by the Institute to help more Indians Information. about helping rst-time home about their de-carbonisation mandatorily from FY23 onwards. of Directors and felicitated with the become proud horizon. Recognising physical and While the BRSR draws on various ‘Best Audit Committee Award’ by the buyers or encouraging women We know that there can be no safer homeowners. homeownership, but it is equally transition risks that may arise due international frameworks, it is in Asian Centre for Corporate to climate risk, HDFC is working essence an indigenous framework. Governance & Sustainability. haven than a home and helping more about being an enabler for the Indians become home owners is our government under its mission, towards reducing its own carbon With a predominance of In the recent period, two Our reporting across the pillars of ESG raison d’etre. ‘Housing for All’. footprint. Responsible lending quantitative based metrics, the key issues have taken policies, enhanced due diligence BRSR will facilitate standardised entail a combination of statutory and centre stage in any 4. Corporate governance is centric to on loans from an environment and benchmarking across companies voluntary reports. The statutory reports include the Report on dialogue with our every activity in the organisation. social perspective, encouraging in India. HDFC voluntarily adopted green, smart and energy efcient this reporting format in FY21 itself. Corporate Governance, Report on stakeholders. The rst Being transparent and consistent in our communications with housing and employee Corporate Social Responsibility and has been the pandemic stakeholders earns us trust. The sensitisation to climate risks are 9. Every dialogue with ESG analysts Business Responsibility Report. and its impact on the overwhelming response to our efforts that have been intensied. and investors enriches us. There are unprecedented changes organisation. The capital raise in FY21 stands testimony to this. happening globally today and second is how we every interaction helps us improve perceive Environmental, upon our own practices and Social and Governance enables us to stay abreast and better meet investor and Environmental (ESG) parameters from stakeholder expectations. a perspective of risk Social and opportunities. Governance
04 HDFC Integrated Report 2020-21 05 HDFC AT A GLANCE Key Strategies
Business Growth
• Maintain its position as a leading housing nance • Set the pace of loan book growth that is prudent institution and sustainable • Develop close relationships with individual • Maintain an emphasis on asset quality and prudent households and enhance its customer relationships provisioning • Transform ideas for sustainable housing nance into • Focus on operational efciency, minimising the cost HDFC was incorporated in 1977 as holding company. HDFC is a As at June 30, 2021, 72% of HDFC’s viable and creative solutions to income ratio India’s rst retail mortgage nance mortgage nance company and is equity shares were held by foreign • Grow through diversication by leveraging its client • Manage assets and liabilities so as to minimise company. Over the years, it has also the holding company for investors, 17% by domestic base risks for the organisation evolved as a nancial conglomerate investments in its subsidiary and institutional investors, 9% by • Focus on nancing affordable, smart and green • Create long-term shareholder value with interests beyond mortgages. associate companies. individuals and 2% by companies. The homes HDFC has a unique structure of being market capitalisation of HDFC as at both, an operating company and a June 30, 2021 stood at US$ 60 billion.
Shareholding Pattern as at June 30, 2021 Intangibles Targets • Adapt to change • Remain a preferred choice for home loan 2% • Responsible behaviour customers 9% • Work culture based on the principles of kindness, • In a calibrated manner, increase the percentage of fairness, efciency and effectiveness women employees by at least 2% within the medium-term • Build a corporate reputation of trust and quality 8% Foreign Shareholders customer service • Identify core focus sectors where funding is most needed to help uplift the marginalised and most Individuals • Demonstrate risk management capabilities impacted segments of society through Corporate 9% Financial Institutions, Banks & Insurance Companies • Contribute meaningfully to social causes Social Responsibility activities Mutual Funds 72% • Sensitivity towards environmental and sustainability • Work towards alignment to a net zero emissions Companies related issues pathway and increase the share of nancing • Accord highest priority to governance affordable, smart, green homes and green commercial buildings
06 HDFC Integrated Report 2020-21 07 HDFC AT A GLANCE Key Strategies
Business Growth
• Maintain its position as a leading housing nance • Set the pace of loan book growth that is prudent institution and sustainable • Develop close relationships with individual • Maintain an emphasis on asset quality and prudent households and enhance its customer relationships provisioning • Transform ideas for sustainable housing nance into • Focus on operational efciency, minimising the cost HDFC was incorporated in 1977 as holding company. HDFC is a As at June 30, 2021, 72% of HDFC’s viable and creative solutions to income ratio India’s rst retail mortgage nance mortgage nance company and is equity shares were held by foreign • Grow through diversication by leveraging its client • Manage assets and liabilities so as to minimise company. Over the years, it has also the holding company for investors, 17% by domestic base risks for the organisation evolved as a nancial conglomerate investments in its subsidiary and institutional investors, 9% by • Focus on nancing affordable, smart and green • Create long-term shareholder value with interests beyond mortgages. associate companies. individuals and 2% by companies. The homes HDFC has a unique structure of being market capitalisation of HDFC as at both, an operating company and a June 30, 2021 stood at US$ 60 billion.
Shareholding Pattern as at June 30, 2021 Intangibles Targets • Adapt to change • Remain a preferred choice for home loan 2% • Responsible behaviour customers 9% • Work culture based on the principles of kindness, • In a calibrated manner, increase the percentage of fairness, efciency and effectiveness women employees by at least 2% within the medium-term • Build a corporate reputation of trust and quality 8% Foreign Shareholders customer service • Identify core focus sectors where funding is most needed to help uplift the marginalised and most Individuals • Demonstrate risk management capabilities impacted segments of society through Corporate 9% Financial Institutions, Banks & Insurance Companies • Contribute meaningfully to social causes Social Responsibility activities Mutual Funds 72% • Sensitivity towards environmental and sustainability • Work towards alignment to a net zero emissions Companies related issues pathway and increase the share of nancing • Accord highest priority to governance affordable, smart, green homes and green commercial buildings
06 HDFC Integrated Report 2020-21 07 VALUE CREATION AT Our Strategy to Sustainability THE GROUP LEVEL Our Inputs Value Creation Across
While HDFC and its group companies that the HDFC brand has been outlets, ATMs and touch points. Stakeholders share strong synergies, each entity entrusted in the hands of each of our There are nearly 400,000 active operates independently with their own group companies. agents supporting business growth Financial Capital employees and independent boards. across the group. Listed companies • Strong balance sheet Under the HDFC umbrella, we have a The key underlying commonality is the within the HDFC group had a • Shareholders’ funds combined customer base of over 140 sharing of the HDFC brand. It is on the combined market capitalisation of • Asset quality basis of trust and a shared belief of million, served by 270,000 employees US$ 200 billion as at June 30, 2021. • Diverse funding prole rendering quality customer service with a reach of over 46,000 ofces, • Prudent lending practices
Human Capital Snapshot of Key Companies in the HDFC Group as at March 31, 2021 • Professionally qualied staff • Skilled and experienced teams • Focus on training
Social & Relationship Capital • Facilitate home ownership across all income segments & geographies • Customer & community Our greatest intangible capital is engagement our corporate culture built on the principles of fairness, Physical & Digital Capital • Physical Infrastructure: 593 kindness, efciency and ofces effectiveness. We try to imbibe • Hub and spoke model, processing hubs, call centre, this in all spheres of our work. back ofce processing units • Enhanced delivery of digital services for customers • Endeavour for local sourcing for ofce requirements
Intellectual Capital • Organisational culture & values • Brand synonymous with trust & quality service • Home grown technology solutions
Natural Capital • Minimal consumption of natural resources • Support and encourage green buildings
08 HDFC Integrated Report 2020-21 09 VALUE CREATION AT Our Strategy to Sustainability THE GROUP LEVEL Our Inputs Value Creation Across
While HDFC and its group companies that the HDFC brand has been outlets, ATMs and touch points. Stakeholders share strong synergies, each entity entrusted in the hands of each of our There are nearly 400,000 active operates independently with their own group companies. agents supporting business growth Financial Capital employees and independent boards. across the group. Listed companies • Strong balance sheet Under the HDFC umbrella, we have a The key underlying commonality is the within the HDFC group had a • Shareholders’ funds combined customer base of over 140 sharing of the HDFC brand. It is on the combined market capitalisation of • Asset quality basis of trust and a shared belief of million, served by 270,000 employees US$ 200 billion as at June 30, 2021. • Diverse funding prole rendering quality customer service with a reach of over 46,000 ofces, • Prudent lending practices
Human Capital Snapshot of Key Companies in the HDFC Group as at March 31, 2021 • Professionally qualied staff • Skilled and experienced teams • Focus on training
Social & Relationship Capital • Facilitate home ownership across all income segments & geographies • Customer & community Our greatest intangible capital is engagement our corporate culture built on the principles of fairness, Physical & Digital Capital • Physical Infrastructure: 593 kindness, efciency and ofces effectiveness. We try to imbibe • Hub and spoke model, processing hubs, call centre, this in all spheres of our work. back ofce processing units • Enhanced delivery of digital services for customers • Endeavour for local sourcing for ofce requirements
Intellectual Capital • Organisational culture & values • Brand synonymous with trust & quality service • Home grown technology solutions
Natural Capital • Minimal consumption of natural resources • Support and encourage green buildings
08 HDFC Integrated Report 2020-21 09 Stakeholder Engagement
We have always maintained that constant engagement with our key stakeholders enables the Corporation to better communicate its strategies and performance. A continuous engagement helps align expectations, thereby enabling the Corporation to better serve its stakeholders. Against the backdrop of the pandemic, efforts were made to increase stakeholder engagement so as to ensure timely and transparent communications with all stakeholders. HDFC Sales Private Limited, HDFC Bank also provide us feedback which helps us in and third party Direct Selling Agents improving our products and processes to (DSAs) source home loans for us. They are serve our depositors more effectively. our feet on the street. We invest a great During the year, existing key partners were We communicate with shareholders and international investor conferences and one deal of time and effort in training our DSAs offered a DSA partnership to source investors through various ways including virtual road show. The Corporation has also to ensure that the application is t for housing loans for HDFC. This lends quarterly earnings calls, quarterly nancial increased its interactions with various ESG processing. This helps reduce our exibility to our key partners, enabling them disclosures, investor presentations, the teams of investors. All interactions with turnaround time. While our DSAs source to offer a wider range of nancial solutions annual report and other disclosures made investors were through virtual platforms loans for us, all the credit, legal and and further strengthen HDFC’s loan by the Corporation from time to time. owing to the pandemic. These engagements technical appraisals are done in-house by sourcing mechanism. helped investors understand the Corporation HDFC. All our DSAs are mandated to Channel Partners During the year ended March 31, 2021, the better and stay abreast with key follow the Model Code of Conduct as We conducted a series of training Corporation had online interactions with & approved by the board and stipulated by workshops for all our channel partners and Shareholders developments. Engaging with investors approximately 1,100 fund managers and regularly enables us to get useful feedback, Key Partners regulations. We regularly seek feedback key partners through webinars to train & Investors analysts representing over 500 institutions/ which serve as inputs for our corporate from our DSAs. them on optimising our digital platforms funds/ brokerage houses. The Corporation strategy and governance practices. and keep them abreast of the latest participated in over 43 domestic and Our key partners (i.e. deposit agents) developments in the organisation. source deposits for us. We have over 23,000 active key partners. Key partners Employees have been the backbone of the We believe in an open-door policy for all Corporation, especially in ensuring employees. This enables better business continuity during the pandemic. communication, teamwork and We engage in various interactions with our scenario and practices pertaining to our We value feedback from our employees as transparency within the organisation. As regulators and stand committed in business. they are the ones interacting directly with per our Code of Conduct, employees are providing timely and accurate information our customers. Hence their inputs are obligated to report any known or as and when required. Our senior As HDFC is the promoter of its subsidiary Employees invaluable in designing our products, suspected violations of the code, management commits signicant time to and associate companies, our senior services and formulating various policies. corporate policies or regulations. interact with our regulators. This enables management also interact with other key us to understand their focus areas and regulators in the nancial sector, especially Regulators concerns and in turn, our inputs are used in the context of nancial conglomerate reporting. The best assurance of the quality of our feedback from our customer surveys to apprise regulators of the market customer service comes from the undertaken at various process stages have feedback we receive from both, our been encouraging for our frontline staff. It deposit and home loan customers. also serves as key learnings to help us We interact with a number of members in an excel format to enable research Customer service remains our key improve and raise our benchmark. Both, from the investment community. We analysts to easily analyse the nancials differentiator and we are constantly striving our borrowers and depositors have regularly engage with over 40 research and work on their own nancial models in a to create new products and services to responded well to our enhanced digital analysts from various brokerage houses time bound manner which in turn helps Customers meet the changing requirements and initiatives. Research that cover HDFC. We provide detailed investors. The same is placed on our needs of our customers. The positive information of the quarterly nancial results website. Analysts
10 HDFC Integrated Report 2020-21 11 Stakeholder Engagement
We have always maintained that constant engagement with our key stakeholders enables the Corporation to better communicate its strategies and performance. A continuous engagement helps align expectations, thereby enabling the Corporation to better serve its stakeholders. Against the backdrop of the pandemic, efforts were made to increase stakeholder engagement so as to ensure timely and transparent communications with all stakeholders. HDFC Sales Private Limited, HDFC Bank also provide us feedback which helps us in and third party Direct Selling Agents improving our products and processes to (DSAs) source home loans for us. They are serve our depositors more effectively. our feet on the street. We invest a great During the year, existing key partners were We communicate with shareholders and international investor conferences and one deal of time and effort in training our DSAs offered a DSA partnership to source investors through various ways including virtual road show. The Corporation has also to ensure that the application is t for housing loans for HDFC. This lends quarterly earnings calls, quarterly nancial increased its interactions with various ESG processing. This helps reduce our exibility to our key partners, enabling them disclosures, investor presentations, the teams of investors. All interactions with turnaround time. While our DSAs source to offer a wider range of nancial solutions annual report and other disclosures made investors were through virtual platforms loans for us, all the credit, legal and and further strengthen HDFC’s loan by the Corporation from time to time. owing to the pandemic. These engagements technical appraisals are done in-house by sourcing mechanism. helped investors understand the Corporation HDFC. All our DSAs are mandated to Channel Partners During the year ended March 31, 2021, the better and stay abreast with key follow the Model Code of Conduct as We conducted a series of training Corporation had online interactions with & approved by the board and stipulated by workshops for all our channel partners and Shareholders developments. Engaging with investors approximately 1,100 fund managers and regularly enables us to get useful feedback, Key Partners regulations. We regularly seek feedback key partners through webinars to train & Investors analysts representing over 500 institutions/ which serve as inputs for our corporate from our DSAs. them on optimising our digital platforms funds/ brokerage houses. The Corporation strategy and governance practices. and keep them abreast of the latest participated in over 43 domestic and Our key partners (i.e. deposit agents) developments in the organisation. source deposits for us. We have over 23,000 active key partners. Key partners Employees have been the backbone of the We believe in an open-door policy for all Corporation, especially in ensuring employees. This enables better business continuity during the pandemic. communication, teamwork and We engage in various interactions with our scenario and practices pertaining to our We value feedback from our employees as transparency within the organisation. As regulators and stand committed in business. they are the ones interacting directly with per our Code of Conduct, employees are providing timely and accurate information our customers. Hence their inputs are obligated to report any known or as and when required. Our senior As HDFC is the promoter of its subsidiary Employees invaluable in designing our products, suspected violations of the code, management commits signicant time to and associate companies, our senior services and formulating various policies. corporate policies or regulations. interact with our regulators. This enables management also interact with other key us to understand their focus areas and regulators in the nancial sector, especially Regulators concerns and in turn, our inputs are used in the context of nancial conglomerate reporting. The best assurance of the quality of our feedback from our customer surveys to apprise regulators of the market customer service comes from the undertaken at various process stages have feedback we receive from both, our been encouraging for our frontline staff. It deposit and home loan customers. also serves as key learnings to help us We interact with a number of members in an excel format to enable research Customer service remains our key improve and raise our benchmark. Both, from the investment community. We analysts to easily analyse the nancials differentiator and we are constantly striving our borrowers and depositors have regularly engage with over 40 research and work on their own nancial models in a to create new products and services to responded well to our enhanced digital analysts from various brokerage houses time bound manner which in turn helps Customers meet the changing requirements and initiatives. Research that cover HDFC. We provide detailed investors. The same is placed on our needs of our customers. The positive information of the quarterly nancial results website. Analysts
10 HDFC Integrated Report 2020-21 11 ESG Indices
MSCI India ESG Leaders Index AsAs atat MarchMarch 31, 2021 We work with various suppliers that provide We expect our third party providers to us goods and services which help us run adhere to responsible business practices MSCI India ESG Leaders Index - HDFC has the 3rd largest weightage our day-to-day operations and enables us similar to what the Corporation upholds for Sr. No. Companies Sector to deliver quality customer service. It is our itself. In addition, our IT vendors are green 1 Reliance Industries Energy constant endeavour to engage with standard compliant and data centres are 2 Infosys Information Technology responsible third party entities who provide certied under Environmental Management 3 HDFC Limited Financials goods and services to the Corporation. System ISO 14001:2015. We exercise 4 Tata Consultancy Information Technology We remain selective in our dealings with discretion in our dealings with vendors and our key vendors, with over 95% of our may choose not to associate ourselves 5 Hindustan Unilever Consumer Staples vendors being registered entities under the with certain vendors on grounds of their 6 Axis Bank Financials 7 Bharti Airtel Communication Services Suppliers Goods and Services Network. For third conduct. parties that work directly with us, we have 8 HCL Technologies Information Technology clearly specied Codes of Conduct that are 9 Asian Paints Materials required to be adhered to such as the 10 Mahindra & Mahindra Consumer Discretionary Code of Conduct for Direct Selling Agents. FTSE4Good Index Series
We recognise that our role as a We engage with various non-government FTSE Emerging Index Series - HDFC has the 7th largest weightage responsible corporate citizen entails much organisations (NGOs), focusing on diverse Sr. No. Companies Country more than providing nance for our social issues. Our efforts towards 1 Taiwan Semiconductor Manufacturing Taiwan customers’ housing and real estate Corporate Social Responsibility are largely 2 Naspers South Africa requirements. While our core focus channelled through the H T Parekh 3 Reliance Industries India remains housing, we also believe that Foundation. We encourage our employees 4 China Construction Bank (H) China communities benet through high quality, to jointly participate with the Corporation in 5 Ping An Insurance (H) China affordable education. Towards this goal, some of its philanthropic partnerships and Communities we continue to work on building our support various social causes. 6 Infosys India & footprint in education through The HDFC 7 HDFC Limited India Non-Governmental School. Currently, we have The HDFC 8 Hon Hai Precision Industry Taiwan Organisations School in three locations - Gurugram, Pune 9 Mediatek Inc Taiwan and Bengaluru. 10 Tata Consultancy Services India
NIFTY100 ESG Index
NIFTY100 ESG Index - HDFC has the 3rd largest weightage Sr. No. Companies Sector 1 Infosys Information Technology 2 Tata Consultancy Services Information Technology 3 HDFC Limited Financial Services 4 HDFC Bank Financial Services 5 HCL Technologies Information Technology 6 Tech Mahindra Information Technology 7 Wipro Information Technology 8 Titan Company Gems, Jewellery and Watches 9 Kotak Mahindra Bank Financial Services 10 Hindustan Unilever FMCG
12 HDFC Integrated Report 2020-21 13 ESG Indices
MSCI India ESG Leaders Index AsAs atat MarchMarch 31, 2021 We work with various suppliers that provide We expect our third party providers to us goods and services which help us run adhere to responsible business practices MSCI India ESG Leaders Index - HDFC has the 3rd largest weightage our day-to-day operations and enables us similar to what the Corporation upholds for Sr. No. Companies Sector to deliver quality customer service. It is our itself. In addition, our IT vendors are green 1 Reliance Industries Energy constant endeavour to engage with standard compliant and data centres are 2 Infosys Information Technology responsible third party entities who provide certied under Environmental Management 3 HDFC Limited Financials goods and services to the Corporation. System ISO 14001:2015. We exercise 4 Tata Consultancy Information Technology We remain selective in our dealings with discretion in our dealings with vendors and our key vendors, with over 95% of our may choose not to associate ourselves 5 Hindustan Unilever Consumer Staples vendors being registered entities under the with certain vendors on grounds of their 6 Axis Bank Financials 7 Bharti Airtel Communication Services Suppliers Goods and Services Network. For third conduct. parties that work directly with us, we have 8 HCL Technologies Information Technology clearly specied Codes of Conduct that are 9 Asian Paints Materials required to be adhered to such as the 10 Mahindra & Mahindra Consumer Discretionary Code of Conduct for Direct Selling Agents. FTSE4Good Index Series
We recognise that our role as a We engage with various non-government FTSE Emerging Index Series - HDFC has the 7th largest weightage responsible corporate citizen entails much organisations (NGOs), focusing on diverse Sr. No. Companies Country more than providing nance for our social issues. Our efforts towards 1 Taiwan Semiconductor Manufacturing Taiwan customers’ housing and real estate Corporate Social Responsibility are largely 2 Naspers South Africa requirements. While our core focus channelled through the H T Parekh 3 Reliance Industries India remains housing, we also believe that Foundation. We encourage our employees 4 China Construction Bank (H) China communities benet through high quality, to jointly participate with the Corporation in 5 Ping An Insurance (H) China affordable education. Towards this goal, some of its philanthropic partnerships and Communities we continue to work on building our support various social causes. 6 Infosys India & footprint in education through The HDFC 7 HDFC Limited India Non-Governmental School. Currently, we have The HDFC 8 Hon Hai Precision Industry Taiwan Organisations School in three locations - Gurugram, Pune 9 Mediatek Inc Taiwan and Bengaluru. 10 Tata Consultancy Services India
NIFTY100 ESG Index
NIFTY100 ESG Index - HDFC has the 3rd largest weightage Sr. No. Companies Sector 1 Infosys Information Technology 2 Tata Consultancy Services Information Technology 3 HDFC Limited Financial Services 4 HDFC Bank Financial Services 5 HCL Technologies Information Technology 6 Tech Mahindra Information Technology 7 Wipro Information Technology 8 Titan Company Gems, Jewellery and Watches 9 Kotak Mahindra Bank Financial Services 10 Hindustan Unilever FMCG
12 HDFC Integrated Report 2020-21 13 At a Glance: The year in numbers
Financial Highlights Non-nancial Highlights
Performance for the Year: Consolidated Human Capital FY 2021 FY 2020 Total Assets 8,29,355 7,29,815 Total Equity 1,65,617 1,33,836 Gross Income 1,39,071 1,01,796 Net Prot Attributable to the Corporation1 18,740 21,435
Financials: Standalone
FY 2021 FY 2020 2Adjusted for prot on sale of strategic investments Loans Under Management 5,69,894 5,16,773 Individuals 4,40,225 3,91,618 Social & Relationship Capital Non-Individuals 1,29,669 1,25,155 Borrowings 4,41,365 4,19,102 Term Loans 1,05,179 1,04,909 Bonds & Securities 1,86,055 1,81,869 Deposits 1,50,131 1,32,324 Physical & Digital Capital Shareholders’ Funds 1,08,783 86,158 Gross Income1 48,176 58,763 FY 2021 FY 2020 Number of Ofces 593 585 Prot Before Fair Value Gain, Sale of Investments, 15,631 12,640 Dividend and Expected Credit Losses Reported Prot After Tax1 12,027 17,770 Service Delivery Model Phygital model - a matrix of platforms using a mix of physical and digital for all our customer related services.
Key Ratios (%) Digital Initiatives ‘HDFC Customer Connect’: a one-stop convergence platform for all customer requests FY 2021 FY 2020 2 Cost to Income 7.7 9.0 Enhanced digital platform for loan and deposit customers Interest Coverage (times) 1.5 1.4 Debt: Equity (times) 4.1 4.9 Mobile apps, blogs, social media, bots, IVR, multilingual website, data analytics, direct fetch information, application programming interface Capital Adequacy (%) 22.2 17.6 (API) through various ntech platforms. Post tax Return on Average Assets3 2.1 2.0 ‘One HDFC’ strategy which capitalises on using technology seamlessly and facilitates redeployment of manpower in geographies where it is Investors’ Information most required.
Loan life cycle management entails activities to upsell and cross sell loans to our existing database of customers.
5Excluding retirees during the year 6Adjusted for prot on sale of strategic investments
14 HDFC Integrated Report 2020-21 15 At a Glance: The year in numbers
Financial Highlights Non-nancial Highlights
Performance for the Year: Consolidated Human Capital FY 2021 FY 2020 Total Assets 8,29,355 7,29,815 Total Equity 1,65,617 1,33,836 Gross Income 1,39,071 1,01,796 Net Prot Attributable to the Corporation1 18,740 21,435
Financials: Standalone
FY 2021 FY 2020 2Adjusted for prot on sale of strategic investments Loans Under Management 5,69,894 5,16,773 Individuals 4,40,225 3,91,618 Social & Relationship Capital Non-Individuals 1,29,669 1,25,155 Borrowings 4,41,365 4,19,102 Term Loans 1,05,179 1,04,909 Bonds & Securities 1,86,055 1,81,869 Deposits 1,50,131 1,32,324 Physical & Digital Capital Shareholders’ Funds 1,08,783 86,158 Gross Income1 48,176 58,763 FY 2021 FY 2020 Number of Ofces 593 585 Prot Before Fair Value Gain, Sale of Investments, 15,631 12,640 Dividend and Expected Credit Losses Reported Prot After Tax1 12,027 17,770 Service Delivery Model Phygital model - a matrix of platforms using a mix of physical and digital for all our customer related services.
Key Ratios (%) Digital Initiatives ‘HDFC Customer Connect’: a one-stop convergence platform for all customer requests FY 2021 FY 2020 2 Cost to Income 7.7 9.0 Enhanced digital platform for loan and deposit customers Interest Coverage (times) 1.5 1.4 Debt: Equity (times) 4.1 4.9 Mobile apps, blogs, social media, bots, IVR, multilingual website, data analytics, direct fetch information, application programming interface Capital Adequacy (%) 22.2 17.6 (API) through various ntech platforms. Post tax Return on Average Assets3 2.1 2.0 ‘One HDFC’ strategy which capitalises on using technology seamlessly and facilitates redeployment of manpower in geographies where it is Investors’ Information most required.
Loan life cycle management entails activities to upsell and cross sell loans to our existing database of customers.
5Excluding retirees during the year 6Adjusted for prot on sale of strategic investments
14 HDFC Integrated Report 2020-21 15 Intellectual Capital
HDFC Brand The objective of being digitally enabled is to empower our customers to engage with our brand anytime, anywhere.
Constant endeavours towards brand awareness, lead generation campaigns for prospective customers and educative campaigns for existing customers.
Brand lms, brand campaigns in vernacular languages and virtual property fairs to create awareness and provide value-added services for home buyers.
Natural Capital
Being Climate Conscious An Environment and Social Policy Framework along with a Social and Environment Management System for screening certain loans for their social and environment risk and impact.
Raising resources for deployment towards green and affordable housing.
Promotion of green, smart and affordable homes and funding of green commercial buildings.
Recycling of e-waste and other environmentally friendly initiatives in the ofces such as installation of solar panels in certain ofce premises, measuring the carbon footprint.
Supporter of the Task Force on Climate-Related Financial Disclosures FINANCIAL CAPITAL (TCFD) and reporting to the Carbon Disclosure Project (CDP).
ESG Materiality Map
High Ethics & Values HDFC Group & Brand Transparency in Communication Employee Well-being with Stakeholders on ESG Community Well-being ESG Disclosures as per various Customer Service Evolving Frameworks Data Security & Privacy Risk Management Responsible Lending
Natural Resource Management in Regulation & Compliance the Corporation’s Operations Expansion of Physical & Digital Reach
Increasing importance to Stakeholders GHG emissions of the Corporation Talent Attraction & Retention of Responsible Sourcing Employees
Low High Increasing importance to Business Growth 16 17 Intellectual Capital
HDFC Brand The objective of being digitally enabled is to empower our customers to engage with our brand anytime, anywhere.
Constant endeavours towards brand awareness, lead generation campaigns for prospective customers and educative campaigns for existing customers.
Brand lms, brand campaigns in vernacular languages and virtual property fairs to create awareness and provide value-added services for home buyers.
Natural Capital
Being Climate Conscious An Environment and Social Policy Framework along with a Social and Environment Management System for screening certain loans for their social and environment risk and impact.
Raising resources for deployment towards green and affordable housing.
Promotion of green, smart and affordable homes and funding of green commercial buildings.
Recycling of e-waste and other environmentally friendly initiatives in the ofces such as installation of solar panels in certain ofce premises, measuring the carbon footprint.
Supporter of the Task Force on Climate-Related Financial Disclosures FINANCIAL CAPITAL (TCFD) and reporting to the Carbon Disclosure Project (CDP).
ESG Materiality Map
High Ethics & Values HDFC Group & Brand Transparency in Communication Employee Well-being with Stakeholders on ESG Community Well-being ESG Disclosures as per various Customer Service Evolving Frameworks Data Security & Privacy Risk Management Responsible Lending
Natural Resource Management in Regulation & Compliance the Corporation’s Operations Expansion of Physical & Digital Reach
Increasing importance to Stakeholders GHG emissions of the Corporation Talent Attraction & Retention of Responsible Sourcing Employees
Low High Increasing importance to Business Growth 16 17 FINANCIAL CAPITAL
As a housing nance company, nancial capital by default ranks amongst the most important capitals. Finance is the equivalent of the ‘raw material’ for the Corporation.
The quarterly nancial disclosures, quarterly earnings call for the nancial results and the Annual Report FY 2020-21 (Directors’ Report and Management and Discussion Analysis Report) have details on the nancial performance of the Corporation and the impact of COVID-19 on the Corporation.
The hyperlinks are: https://www.hdfc.com/digital-annual-report-2020-2021/HDFC-AR-21.pdf https://www.hdfc.com/investor-relations#nancials https://www.hdfc.com/investor-relations#investor-presentations
Key Financial Objectives
• Set the pace of loan book growth that is prudent and sustainable, keeping in mind the prevailing environment
• Maintain emphasis on asset quality and provisioning
• Have a diversied source of funding
• Focus on operational efciency in every sphere of activity of the Corporation so as to minimise the cost to income ratio HUMAN CAPITAL
• Manage assets and liabilities so as to minimise risks for the organisation
• Create long-term shareholder value
18 19 FINANCIAL CAPITAL
As a housing nance company, nancial capital by default ranks amongst the most important capitals. Finance is the equivalent of the ‘raw material’ for the Corporation.
The quarterly nancial disclosures, quarterly earnings call for the nancial results and the Annual Report FY 2020-21 (Directors’ Report and Management and Discussion Analysis Report) have details on the nancial performance of the Corporation and the impact of COVID-19 on the Corporation.
The hyperlinks are: https://www.hdfc.com/digital-annual-report-2020-2021/HDFC-AR-21.pdf https://www.hdfc.com/investor-relations#nancials https://www.hdfc.com/investor-relations#investor-presentations
Key Financial Objectives
• Set the pace of loan book growth that is prudent and sustainable, keeping in mind the prevailing environment
• Maintain emphasis on asset quality and provisioning
• Have a diversied source of funding
• Focus on operational efciency in every sphere of activity of the Corporation so as to minimise the cost to income ratio HUMAN CAPITAL
• Manage assets and liabilities so as to minimise risks for the organisation
• Create long-term shareholder value
18 19 HUMAN CAPITAL At HDFC, people are our biggest asset and are the key enablers of our business. Since inception, HDFC has emphasised Other Employee Details on the importance of inculcating honesty, transparency, integrity and accountability in all spheres of work. These attributes dene our work culture. Years of Service (%) Employees: Gender Representation (%)
Employee Well-being 10% Financial^ Health Employee Engagement Up to 5 yrs 26% > 5 to 10 yrs Male No retrenchment of Prioritising health and safety of employees Employee engagement 24% 46% employees or salary helps to ensure bonding > 10 to 20 yrs Female reductions Staff Handbook: Return to work safely outside of the workplace > 20 yrs 74% Employee stock options Following COVID-19 safety and hygiene protocols in ofce Regular interactions with 20% have always been granted to premises management teams each and every employee in including through virtual the organisation Internal COVID Task Force to help employees and their families mode seek assistance in case of medical emergencies. Education allowance for Employee reections on employees’ children Organised vaccination drives for employees and their families gratitude, family, happiness, Age Wise % of Female Employees Age Wise % of Male Employees lockdown memories. COVID-19 paid leave policy Staff loans at concessional 6% 8% rates Friday Club: Entails short Focus on mental health of employees through constant duration recreational and interaction with our human resources department 34% Interest free loans for talent based activities to Up to 30 yrs Up to 30 yrs medical exigencies Mental and physical wellness programmes for staff ensure a congenial and 42% 52% >30-50 yrs >30-50 yrs happy work environment. Digital based >50 yrs >50 yrs Health insurance for employees and immediate family: These activities continued 58% reimbursements domiciliary & hospitalisation virtually owing to the pandemic. Travel & vehicle allowance Transportation organised in certain locations to facilitate safe Relocation allowance travel of staff to ofces Sensitisation of work-life balance New Recruits by Age (%) New Joinees: Gender Representation (%) Maternity/ Paternity leave
^ Allowances are grade related 12%
34% Up to 30 yrs Male Human Capital Data Points > 30 to 50 yrs Female 66% 88%
Employee Strength Role-wise: Gender Representation (%)
As at March 31, 2021, the Corporation had 3,226 Geography-wise 5 permanent employees. The average age of Top Management 82% 18% Employee Distribution employees is 35 years. The retention rate is 95%. Senior Management 86% 14% 918 North 1,227 Middle Management 78% 22% South Male Associates 68% 32% East Female West 0% 20% 40% 60% 80% 100% 925 151 Overseas 20 HDFC Integrated Report 2020-21 21 HUMAN CAPITAL At HDFC, people are our biggest asset and are the key enablers of our business. Since inception, HDFC has emphasised Other Employee Details on the importance of inculcating honesty, transparency, integrity and accountability in all spheres of work. These attributes dene our work culture. Years of Service (%) Employees: Gender Representation (%)
Employee Well-being 10% Financial^ Health Employee Engagement Up to 5 yrs 26% > 5 to 10 yrs Male No retrenchment of Prioritising health and safety of employees Employee engagement 24% 46% employees or salary helps to ensure bonding > 10 to 20 yrs Female reductions Staff Handbook: Return to work safely outside of the workplace > 20 yrs 74% Employee stock options Following COVID-19 safety and hygiene protocols in ofce Regular interactions with 20% have always been granted to premises management teams each and every employee in including through virtual the organisation Internal COVID Task Force to help employees and their families mode seek assistance in case of medical emergencies. Education allowance for Employee reections on employees’ children Organised vaccination drives for employees and their families gratitude, family, happiness, Age Wise % of Female Employees Age Wise % of Male Employees lockdown memories. COVID-19 paid leave policy Staff loans at concessional 6% 8% rates Friday Club: Entails short Focus on mental health of employees through constant duration recreational and interaction with our human resources department 34% Interest free loans for talent based activities to Up to 30 yrs Up to 30 yrs medical exigencies Mental and physical wellness programmes for staff ensure a congenial and 42% 52% >30-50 yrs >30-50 yrs happy work environment. Digital based >50 yrs >50 yrs Health insurance for employees and immediate family: These activities continued 58% reimbursements domiciliary & hospitalisation virtually owing to the pandemic. Travel & vehicle allowance Transportation organised in certain locations to facilitate safe Relocation allowance travel of staff to ofces Sensitisation of work-life balance New Recruits by Age (%) New Joinees: Gender Representation (%) Maternity/ Paternity leave
^ Allowances are grade related 12%
34% Up to 30 yrs Male Human Capital Data Points > 30 to 50 yrs Female 66% 88%
Employee Strength Role-wise: Gender Representation (%)
As at March 31, 2021, the Corporation had 3,226 Geography-wise 5 permanent employees. The average age of Top Management 82% 18% Employee Distribution employees is 35 years. The retention rate is 95%. Senior Management 86% 14% 918 North 1,227 Middle Management 78% 22% South Male Associates 68% 32% East Female West 0% 20% 40% 60% 80% 100% 925 151 Overseas 20 HDFC Integrated Report 2020-21 21 HUMAN CAPITAL
Training for Channel Partners
In order to ensure that our digital platforms are well leveraged, a great deal of time and effort was taken to train our channel partners and deposit agents to use the Corporation’s digital platforms. This not only ensured business continuity during the lockdown, but also brought Employee Training in cost efciencies in overall operations.
We have a dedicated vertical to Training is based on the identied human resources department. We ensure that employees are sufciently needs, competency or job specic also use customer feedback which Zest to Serve: Customer Service Workshop trained in functional and behavioural knowledge gaps, skills and attitudes often acts as a base to identify We have a customised programme, ‘Zest to Serve’, to re-ignite the mind-set of serving with a smile and from the heart. This skills to ensure high standards of as identied jointly by the employee, learning and development needs. is a customer service workshop designed with the objective of revisiting our roots and reinforcing service standards set at service to internal and external department and branch heads and the inception as it was felt this could be one of the key differentiators in today’s times. stakeholders. The emphasis is on creating a connection with a home loan customer, rather than merely a transactional relationship. Training Programmes Customer service has to be viewed as a business need which requires all employees to have a mind-set of serving. Several employees have been trained under this programme with the objective of sensitising them to ensure a better tomorrow. During FY21, training programmes were conducted online. HDFC adopted blended learning modes which includes virtual classroom initiatives along with the e-learning modules.
Employee Productivity Training Programmes for New Recruits
All new recruits undergo an intensive induction programme to familiarise themselves with the organisation. This entails training and orientation programmes conducted by senior management across all departments. Each new employee is assigned a mentor to guide and help them. The human resources department monitors the effectiveness of the mentorship programme.
Training Programmes for Employees Skill Based Training Programmes *After adjusting for sale of strategic investments Basic Managerial Skills Mentoring/ Coaching Programme ^ Amount spent may not be directly comparable owing to limitations due to the pandemic Communication Skills Programme Leadership Skills Programme Time & Stress Management Negotiation & Etiquette Skills Job Rotation and Succession Planning Advanced Excel/ PowerPoint Skills Retention Programme The objective of our job rotation policy is to enable our employees to enhance their knowledge, develop new skills and have a broader understanding of various functions across the Corporation. This ensures a well-balanced career development path. Job rotation aids in HDFC Aspire: E-Learning Courses creating a stronger talent pipeline which in turn helps in succession planning as there is a larger pool of multi-skilled employees.
Code of Conduct Information & Cyber Security Awareness In the case of the regional business heads, branch heads and department heads, we recognise that succession planning is a continuous Overview of Credit Appraisals Primer on ESG and Sustainability process rather than a one-time event. We have in place a systematic mechanism to identify high performers and groom them to take on Lending Products The KYC Quiz (Training on anti-corruption and anti-money laundering) higher responsibilities thereby mitigating vacancy, readiness and transition risks. Prevention of Sexual Harassment at the Workplace Prohibition of Insider Trading Regulations
Open-Door Policy External Training Programmes / Workshops We have always believed in the importance of an open-door policy and this helps our employees to address grievances and concerns at Workshop on COVID-19 Regulatory Measures Appraisal of Housing Loans for the Informal Segment an early stage. There are various mechanisms in place for recording and redressing complaints raised by employees. Impact of COVID-19 on Valuation of Assets Fraud Risk Management & Analytics Public Blockchain Life Cycle Data Analytics: Applications for Business Managers Cloud Security & Audit The Future of Rental Housing Talent Acquisition Analytics Prudence in Lending Basics of Credit Digital Lending Masterclass Art of Living Wellness Programme Creating High Performance Teams
All employees are given training on re safety and evacuation drills. During the year, there were no accidents of any employee of the Corporation whilst on duty.
22 HDFC Integrated Report 2020-21 23 HUMAN CAPITAL
Training for Channel Partners
In order to ensure that our digital platforms are well leveraged, a great deal of time and effort was taken to train our channel partners and deposit agents to use the Corporation’s digital platforms. This not only ensured business continuity during the lockdown, but also brought Employee Training in cost efciencies in overall operations.
We have a dedicated vertical to Training is based on the identied human resources department. We ensure that employees are sufciently needs, competency or job specic also use customer feedback which Zest to Serve: Customer Service Workshop trained in functional and behavioural knowledge gaps, skills and attitudes often acts as a base to identify We have a customised programme, ‘Zest to Serve’, to re-ignite the mind-set of serving with a smile and from the heart. This skills to ensure high standards of as identied jointly by the employee, learning and development needs. is a customer service workshop designed with the objective of revisiting our roots and reinforcing service standards set at service to internal and external department and branch heads and the inception as it was felt this could be one of the key differentiators in today’s times. stakeholders. The emphasis is on creating a connection with a home loan customer, rather than merely a transactional relationship. Training Programmes Customer service has to be viewed as a business need which requires all employees to have a mind-set of serving. Several employees have been trained under this programme with the objective of sensitising them to ensure a better tomorrow. During FY21, training programmes were conducted online. HDFC adopted blended learning modes which includes virtual classroom initiatives along with the e-learning modules.
Employee Productivity Training Programmes for New Recruits
All new recruits undergo an intensive induction programme to familiarise themselves with the organisation. This entails training and orientation programmes conducted by senior management across all departments. Each new employee is assigned a mentor to guide and help them. The human resources department monitors the effectiveness of the mentorship programme.
Training Programmes for Employees Skill Based Training Programmes *After adjusting for sale of strategic investments Basic Managerial Skills Mentoring/ Coaching Programme ^ Amount spent may not be directly comparable owing to limitations due to the pandemic Communication Skills Programme Leadership Skills Programme Time & Stress Management Negotiation & Etiquette Skills Job Rotation and Succession Planning Advanced Excel/ PowerPoint Skills Retention Programme The objective of our job rotation policy is to enable our employees to enhance their knowledge, develop new skills and have a broader understanding of various functions across the Corporation. This ensures a well-balanced career development path. Job rotation aids in HDFC Aspire: E-Learning Courses creating a stronger talent pipeline which in turn helps in succession planning as there is a larger pool of multi-skilled employees.
Code of Conduct Information & Cyber Security Awareness In the case of the regional business heads, branch heads and department heads, we recognise that succession planning is a continuous Overview of Credit Appraisals Primer on ESG and Sustainability process rather than a one-time event. We have in place a systematic mechanism to identify high performers and groom them to take on Lending Products The KYC Quiz (Training on anti-corruption and anti-money laundering) higher responsibilities thereby mitigating vacancy, readiness and transition risks. Prevention of Sexual Harassment at the Workplace Prohibition of Insider Trading Regulations
Open-Door Policy External Training Programmes / Workshops We have always believed in the importance of an open-door policy and this helps our employees to address grievances and concerns at Workshop on COVID-19 Regulatory Measures Appraisal of Housing Loans for the Informal Segment an early stage. There are various mechanisms in place for recording and redressing complaints raised by employees. Impact of COVID-19 on Valuation of Assets Fraud Risk Management & Analytics Public Blockchain Life Cycle Data Analytics: Applications for Business Managers Cloud Security & Audit The Future of Rental Housing Talent Acquisition Analytics Prudence in Lending Basics of Credit Digital Lending Masterclass Art of Living Wellness Programme Creating High Performance Teams
All employees are given training on re safety and evacuation drills. During the year, there were no accidents of any employee of the Corporation whilst on duty.
22 HDFC Integrated Report 2020-21 23 SOCIAL AND RELATIONSHIP CAPITAL
We strive to engage with our stakeholders on a continuous basis. This enables us to understand their expectations and serve them better. Stakeholder engagement is an important driver for building long-term relations.
Customer Capital
The COVID-19 pandemic has re- is also the second largest employment nance market, the key differentiator is emphasised the importance of a generator in the country. At HDFC, we the quality of customer service home. Housing also has several are bonded by a shared purpose of rendered. We remain driven to multiplier effects on an economy given increasing home ownership in India. constantly nd ways to enhance the its strong backward and forward quality of our customer service. linkages with various industries. The Customers form the core of our housing and real estate sector in India business. In a competitive housing
Customer Prole
As at March 31, 2021, 77% of assets HDFC strives to maintain a judicious across all income segments and under management were individual mix of lending to all income segments. expand our reach through rural loans and 23% were to non-individual We believe in cash-ow based lending housing loans, loans to self-employed loans, comprising loans to corporates, and not asset-backed lending customers and those belonging to the SOCIAL AND construction nance and commercial practices. We continue to widen our informal sector. RELATIONSHIP CAPITAL lease rental discounting. efforts to reach out to customers
Credit Linked Subsidy Scheme - Working Together with the Government to Promote Homeownership
The Honourable Prime Minister of Various incentives are being provided Linked Subsidy Scheme (CLSS) is one India envisaged 'Housing for All by to beneciaries under these schemes of the verticals under the Pradhan 2022’ coinciding with the nation to promote the mission. The Credit Mantri Awas Yojana (PMAY) - Urban. completing 75 years of independence. To achieve this objective, the government has undertaken various initiatives both, at the centre as well as state level to provide housing to citizens of India.
24 HDFC Integrated Report 2020-21 25 SOCIAL AND RELATIONSHIP CAPITAL
We strive to engage with our stakeholders on a continuous basis. This enables us to understand their expectations and serve them better. Stakeholder engagement is an important driver for building long-term relations.
Customer Capital
The COVID-19 pandemic has re- is also the second largest employment nance market, the key differentiator is emphasised the importance of a generator in the country. At HDFC, we the quality of customer service home. Housing also has several are bonded by a shared purpose of rendered. We remain driven to multiplier effects on an economy given increasing home ownership in India. constantly nd ways to enhance the its strong backward and forward quality of our customer service. linkages with various industries. The Customers form the core of our housing and real estate sector in India business. In a competitive housing
Customer Prole
As at March 31, 2021, 77% of assets HDFC strives to maintain a judicious across all income segments and under management were individual mix of lending to all income segments. expand our reach through rural loans and 23% were to non-individual We believe in cash-ow based lending housing loans, loans to self-employed loans, comprising loans to corporates, and not asset-backed lending customers and those belonging to the SOCIAL AND construction nance and commercial practices. We continue to widen our informal sector. RELATIONSHIP CAPITAL lease rental discounting. efforts to reach out to customers
Credit Linked Subsidy Scheme - Working Together with the Government to Promote Homeownership
The Honourable Prime Minister of Various incentives are being provided Linked Subsidy Scheme (CLSS) is one India envisaged 'Housing for All by to beneciaries under these schemes of the verticals under the Pradhan 2022’ coinciding with the nation to promote the mission. The Credit Mantri Awas Yojana (PMAY) - Urban. completing 75 years of independence. To achieve this objective, the government has undertaken various initiatives both, at the centre as well as state level to provide housing to citizens of India.
24 HDFC Integrated Report 2020-21 25 SOCIAL AND RELATIONSHIP CAPITAL
Efforts Towards Encouraging Women Home Ownership
HDFC believes in women bound period, HDFC offered a special arrangement, HDFC is able to reach empowerment. In order to encourage women’s day concessional out to more women home loan more women to become home processing fee for home loans. borrowers. owners, the Corporation has a product for women home buyers called To help increase women In FY21, of the total loans disbursed, Serving all Income Segments ‘Women Power’. Under this product, homeownership, during the year, we 70% in value terms had women as women have to be an owner /co- entered into a partnership with a owners of the property. These loans In FY21, in volume terms 48% of our group, 19% to the high-income group owner in the property for which the company focused on encouraging ensure that women’s property rights loans approved were to the middle- and 6% to the economically weaker home loan is being availed as well as women to become home owners. The are recognised and protected as their income group, 27% to the low-income section. an applicant /co-applicant in the home objective of this arrangement is ‘safe names are registered on their loan to avail a concession on the and affordable housing by women, for respective properties. Housing Loan Approvals to Customers Based on Income Slabs in FY21 home loan interest rate as applicable. women’. The company works with select developers and helps women Further, certain states too have offered In Value Terms (%) In Volume Terms (%) To celebrate International Women’s through the process of purchasing a concessional stamp duty rates for Day, in the month of March, for a time- home. Under this business sourcing women home owners.
19% HIG HIG 40% EWS 6% EWS 44% 48% LIG LIG Supporting the Underserved and Inclusivity
MIG 27% MIG We have always believed that we need to support underserved sections of society. We were amongst the early equity 14% 2% investors in micronance in India. Presently, our support to the micronance and micro, small and medium enterprises (MSME) sectors are through a combination of equity investments and funding lines for on-lending to these sectors.
We have also supported social initiative projects such as education buildings, senior citizen housing and hospitals, amongst others. In terms of inclusivity:
• 33% of loans approved in volume • Of the total housing loans • Our niche housing product, ‘HDFC terms and 16% in value terms were disbursed in FY21, 48% were to Reach’ addresses the housing to customers from economically rst-time home buyers. needs of those in the informal Individual Loans - Based on Value of Approvals weaker section and low income sector. groups. • We have provided housing nance facilities to farmers, agriculturists, • Our focus is also on identifying Based on Employment (%) Acquisition Mode (%) Geographic Spread (%) planters and horticulturists. deep geographies to expand our reach to customers. 8% 22% 27% 37% 37%
55% 78% 32% 4%
Self-Employed Re-sale North (incl. professionals) First Purchase South Employed Self-Construction East West 26 HDFC Integrated Report 2020-21 27 SOCIAL AND RELATIONSHIP CAPITAL
Efforts Towards Encouraging Women Home Ownership
HDFC believes in women bound period, HDFC offered a special arrangement, HDFC is able to reach empowerment. In order to encourage women’s day concessional out to more women home loan more women to become home processing fee for home loans. borrowers. owners, the Corporation has a product for women home buyers called To help increase women In FY21, of the total loans disbursed, Serving all Income Segments ‘Women Power’. Under this product, homeownership, during the year, we 70% in value terms had women as women have to be an owner /co- entered into a partnership with a owners of the property. These loans In FY21, in volume terms 48% of our group, 19% to the high-income group owner in the property for which the company focused on encouraging ensure that women’s property rights loans approved were to the middle- and 6% to the economically weaker home loan is being availed as well as women to become home owners. The are recognised and protected as their income group, 27% to the low-income section. an applicant /co-applicant in the home objective of this arrangement is ‘safe names are registered on their loan to avail a concession on the and affordable housing by women, for respective properties. Housing Loan Approvals to Customers Based on Income Slabs in FY21 home loan interest rate as applicable. women’. The company works with select developers and helps women Further, certain states too have offered In Value Terms (%) In Volume Terms (%) To celebrate International Women’s through the process of purchasing a concessional stamp duty rates for Day, in the month of March, for a time- home. Under this business sourcing women home owners.
19% HIG HIG 40% EWS 6% EWS 44% 48% LIG LIG Supporting the Underserved and Inclusivity
MIG 27% MIG We have always believed that we need to support underserved sections of society. We were amongst the early equity 14% 2% investors in micronance in India. Presently, our support to the micronance and micro, small and medium enterprises (MSME) sectors are through a combination of equity investments and funding lines for on-lending to these sectors.
We have also supported social initiative projects such as education buildings, senior citizen housing and hospitals, amongst others. In terms of inclusivity:
• 33% of loans approved in volume • Of the total housing loans • Our niche housing product, ‘HDFC terms and 16% in value terms were disbursed in FY21, 48% were to Reach’ addresses the housing to customers from economically rst-time home buyers. needs of those in the informal Individual Loans - Based on Value of Approvals weaker section and low income sector. groups. • We have provided housing nance facilities to farmers, agriculturists, • Our focus is also on identifying Based on Employment (%) Acquisition Mode (%) Geographic Spread (%) planters and horticulturists. deep geographies to expand our reach to customers. 8% 22% 27% 37% 37%
55% 78% 32% 4%
Self-Employed Re-sale North (incl. professionals) First Purchase South Employed Self-Construction East West 26 HDFC Integrated Report 2020-21 27 SOCIAL AND RELATIONSHIP CAPITAL
Salient features of the complaint management system Responsible Lending Practices 1. Easy upload and creation of complaints 2. Verication of customer credentials, customer information and security Our consumer charter is enshrined in communicate to customers as to why A copy of the application form is also 3. Complaint ID acknowledgement mail and advisory to customers our Fair Practices Code and Most a new loan application or other maintained in Braille, to cater to the 4. Auto-assignment of complaints based on the category of complaint Important Terms and Conditions and existing loan related request is special needs of visually impaired the Prevention of Money Laundering rejected by the Corporation if it does customers. 5. Escalation is done to ensure complaints are responded Policy is also a critical component of not meet with our lending norms. This 6. Monitoring and analysing complaints product responsibility for the ensures transparency and fairness in In our non-individual lending, HDFC Corporation. our dealings. ensures that at the time of appraisal of 7. Customer feedback certain loans, environmental and We ensure that our lending policies do We also adhere to the guidelines social (E&S) risks are assessed. We Kindly refer to the Business Responsibility and Sustainability Report FY21 for grievances under the section ‘Transparency and Disclosure Compliances’. not discriminate in extending products provided by the regulator on loan have E&S covenants embedded in our The hyperlink is https://www.hdfc.com/sites/default/les/2021-08/nal-brsr-report-2020-21-md-1.pdf and services to any persons. We also facilities to visually impaired persons. legal documents / offer letters for these loans.
As part of our Environment and Social Policy Framework and Environmental and Social Risk Management System, we do not fund controversial activities and/or provide loans where the end use is towards: Corporate Whistle Blower Initiative • Production and distribution of pornographic materials; HDFC has in place a Corporate their concerns or grievances on authority by any ofcial of the • Manufacturing, marketing or dealing in banned drugs, narcotics and other chemicals of concern; Whistle Blower Initiative (CWI) portal, a various matters pertaining to any company or any other act with an • Standalone manufacture and marketing of tobacco; third party web-based reporting malpractice, actual/suspected fraud, intention of unethical personal gain or • Production or trade in alcoholic beverages (excluding beer and wine); initiative. This is an extension of the nancial irregularities, violation of the to cause damage to the Corporation Code of Conduct formulated with an Corporation’s Code of Conduct, or its employees or public interest • Dealing in banned wildlife related products; aim to promote good corporate instances of leakage of unpublished without fear of reprisal. • Production/trade in weapons & ammunitions; governance, instil faith and make price sensitive information, breach of stakeholders feel condent to voice any policy, abuse of power and • Production/trade in radioactive materials; • Production or trade in unbonded asbestos bres; • Gambling, casinos and equivalent enterprises; • Polluting industries, unless the unit has explicit clearance from pollution control authorities and has installed efuent treatment plants; • Any other activity deemed as illegal or construed as being harmful to the environment and/or society.
Note: The above is not exhaustive, but an illustrative list.
Grievances
HDFC believes that customers are the desired service standards. To The Corporation’s complaints one of the most important effectively deal with customer management technology platform stakeholders and hence it is essential grievances, we have in place a facilitates greater efciency and timely to engage with them, understand their sophisticated system to record, redressal of customer complaints. expectations and accordingly, provide monitor and redress grievances / This in turn helps us maintain higher feedback received from customers. service standards.
28 HDFC Integrated Report 2020-21 29 SOCIAL AND RELATIONSHIP CAPITAL
Salient features of the complaint management system Responsible Lending Practices 1. Easy upload and creation of complaints 2. Verication of customer credentials, customer information and security Our consumer charter is enshrined in communicate to customers as to why A copy of the application form is also 3. Complaint ID acknowledgement mail and advisory to customers our Fair Practices Code and Most a new loan application or other maintained in Braille, to cater to the 4. Auto-assignment of complaints based on the category of complaint Important Terms and Conditions and existing loan related request is special needs of visually impaired the Prevention of Money Laundering rejected by the Corporation if it does customers. 5. Escalation is done to ensure complaints are responded Policy is also a critical component of not meet with our lending norms. This 6. Monitoring and analysing complaints product responsibility for the ensures transparency and fairness in In our non-individual lending, HDFC Corporation. our dealings. ensures that at the time of appraisal of 7. Customer feedback certain loans, environmental and We ensure that our lending policies do We also adhere to the guidelines social (E&S) risks are assessed. We Kindly refer to the Business Responsibility and Sustainability Report FY21 for grievances under the section ‘Transparency and Disclosure Compliances’. not discriminate in extending products provided by the regulator on loan have E&S covenants embedded in our The hyperlink is https://www.hdfc.com/sites/default/les/2021-08/nal-brsr-report-2020-21-md-1.pdf and services to any persons. We also facilities to visually impaired persons. legal documents / offer letters for these loans.
As part of our Environment and Social Policy Framework and Environmental and Social Risk Management System, we do not fund controversial activities and/or provide loans where the end use is towards: Corporate Whistle Blower Initiative • Production and distribution of pornographic materials; HDFC has in place a Corporate their concerns or grievances on authority by any ofcial of the • Manufacturing, marketing or dealing in banned drugs, narcotics and other chemicals of concern; Whistle Blower Initiative (CWI) portal, a various matters pertaining to any company or any other act with an • Standalone manufacture and marketing of tobacco; third party web-based reporting malpractice, actual/suspected fraud, intention of unethical personal gain or • Production or trade in alcoholic beverages (excluding beer and wine); initiative. This is an extension of the nancial irregularities, violation of the to cause damage to the Corporation Code of Conduct formulated with an Corporation’s Code of Conduct, or its employees or public interest • Dealing in banned wildlife related products; aim to promote good corporate instances of leakage of unpublished without fear of reprisal. • Production/trade in weapons & ammunitions; governance, instil faith and make price sensitive information, breach of stakeholders feel condent to voice any policy, abuse of power and • Production/trade in radioactive materials; • Production or trade in unbonded asbestos bres; • Gambling, casinos and equivalent enterprises; • Polluting industries, unless the unit has explicit clearance from pollution control authorities and has installed efuent treatment plants; • Any other activity deemed as illegal or construed as being harmful to the environment and/or society.
Note: The above is not exhaustive, but an illustrative list.
Grievances
HDFC believes that customers are the desired service standards. To The Corporation’s complaints one of the most important effectively deal with customer management technology platform stakeholders and hence it is essential grievances, we have in place a facilitates greater efciency and timely to engage with them, understand their sophisticated system to record, redressal of customer complaints. expectations and accordingly, provide monitor and redress grievances / This in turn helps us maintain higher feedback received from customers. service standards.
28 HDFC Integrated Report 2020-21 29 SOCIAL AND RELATIONSHIP CAPITAL Corporate Social Responsibility & Community Engagement
The philosophy of our Founder, organisations that have the ability to During the year, the key focus areas CSR Spend - Sector-wise Share (%) Mr. H. T. Parekh was to actively scale up, whilst maintaining their entailed COVID-19 relief, healthcare, engage with the wider community and quality and the ability to deliver education, livelihoods, persons with During the year, we promoted inclusive growth by supporting and focusing primarily on three social sector areas - in particular, with the less fortunate. transformational results on the disabilities and environmental Healthcare (including Water and Sanitation), Education and Skilling & Livelihoods. This sensitisation since inception has ground. sustainability. led us to be mindful of our community engagements. We created a ‘Shelter 15% 14% Assistance Reserve’ to support worthwhile social projects and Healthcare communities in 1987, our tenth year of Education operations. Today, a large part of our 25% Skilling & Livelihoods community engagements are COVID-19 Relief channelled through the H T Parekh 41% Others Foundation.
HDFC’s CSR objective is not bound 5% by geography. The CSR projects are both, in rural settlements as well as in urban areas and involve a diverse mix of communities. We partner with Sustainable Development Goals
Through our CSR initiatives we have touched upon 13 Sustainable Development Goals prescribed by the United Nations. Kindly refer to Annex 1 in this report which maps our CSR projects against the Sustainable Development Goals. COVID-19 Response formed 41% of the total CSR expenditure during the year.
Education projects constituted 25% of HDFC’s CSR expenditure during the year. The education Community Development Projects partnerships have focused on collaborating with targeted interventions at various levels to foster improved learning outcomes, preparing children for school readiness, strengthening the capacity of teachers, scholarships and supporting research projects. COVID-19 Response HDFC’s strategy to manage the COVID-19 crisis was focused on building resilience of vulnerable and marginalised communities who were signicantly impacted. HDFC’s contribution ensured that support was provided in Healthcare formed 14% of the total CSR expenditure during the year. The main interventions have addressing social and economic challenges faced by such communities, as well as supporting the healthcare been towards providing quality and affordable healthcare to the most marginalised. Some of the system in a timely and humane manner. programmes supported include cancer support, access to nutrition, eye surgeries and paediatric care. Restoration of Heritage Precinct 'Dhal ni Pol' is one of oldest precincts in Ahmedabad (Gujarat) and is considered to be the genesis of the city Skilling & Livelihoods projects have focused on thematic areas like migrant welfare and women (UNESCO World Heritage site). Such neighbourhoods are a living example of the city’s rich architectural and cultural focused livelihoods. The sector constituted 5% of the CSR expenditure during the year. heritage and have generated interest from both government and civil society to restore and revitalise these areas. The two-year project which is almost nearing completion has involved working closely with the Dhal ni Pol community through HDFC’s partner for a complete facelift and revitalisation of public spaces, along with conserving the heritage character of the precinct. HDFC has supported this unique project in a section of the Pol which houses Other Sectors entails persons with disabilities, environmental sustainability, urban sanitation and over 200 families. The overall upgrade will benet over 1,000 households in the neighbourhood. community development. Other sectors contributed to 15% of the CSR expenditure during the year.
30 HDFC Integrated Report 2020-21 31 SOCIAL AND RELATIONSHIP CAPITAL Corporate Social Responsibility & Community Engagement
The philosophy of our Founder, organisations that have the ability to During the year, the key focus areas CSR Spend - Sector-wise Share (%) Mr. H. T. Parekh was to actively scale up, whilst maintaining their entailed COVID-19 relief, healthcare, engage with the wider community and quality and the ability to deliver education, livelihoods, persons with During the year, we promoted inclusive growth by supporting and focusing primarily on three social sector areas - in particular, with the less fortunate. transformational results on the disabilities and environmental Healthcare (including Water and Sanitation), Education and Skilling & Livelihoods. This sensitisation since inception has ground. sustainability. led us to be mindful of our community engagements. We created a ‘Shelter 15% 14% Assistance Reserve’ to support worthwhile social projects and Healthcare communities in 1987, our tenth year of Education operations. Today, a large part of our 25% Skilling & Livelihoods community engagements are COVID-19 Relief channelled through the H T Parekh 41% Others Foundation.
HDFC’s CSR objective is not bound 5% by geography. The CSR projects are both, in rural settlements as well as in urban areas and involve a diverse mix of communities. We partner with Sustainable Development Goals
Through our CSR initiatives we have touched upon 13 Sustainable Development Goals prescribed by the United Nations. Kindly refer to Annex 1 in this report which maps our CSR projects against the Sustainable Development Goals. COVID-19 Response formed 41% of the total CSR expenditure during the year.
Education projects constituted 25% of HDFC’s CSR expenditure during the year. The education Community Development Projects partnerships have focused on collaborating with targeted interventions at various levels to foster improved learning outcomes, preparing children for school readiness, strengthening the capacity of teachers, scholarships and supporting research projects. COVID-19 Response HDFC’s strategy to manage the COVID-19 crisis was focused on building resilience of vulnerable and marginalised communities who were signicantly impacted. HDFC’s contribution ensured that support was provided in Healthcare formed 14% of the total CSR expenditure during the year. The main interventions have addressing social and economic challenges faced by such communities, as well as supporting the healthcare been towards providing quality and affordable healthcare to the most marginalised. Some of the system in a timely and humane manner. programmes supported include cancer support, access to nutrition, eye surgeries and paediatric care. Restoration of Heritage Precinct 'Dhal ni Pol' is one of oldest precincts in Ahmedabad (Gujarat) and is considered to be the genesis of the city Skilling & Livelihoods projects have focused on thematic areas like migrant welfare and women (UNESCO World Heritage site). Such neighbourhoods are a living example of the city’s rich architectural and cultural focused livelihoods. The sector constituted 5% of the CSR expenditure during the year. heritage and have generated interest from both government and civil society to restore and revitalise these areas. The two-year project which is almost nearing completion has involved working closely with the Dhal ni Pol community through HDFC’s partner for a complete facelift and revitalisation of public spaces, along with conserving the heritage character of the precinct. HDFC has supported this unique project in a section of the Pol which houses Other Sectors entails persons with disabilities, environmental sustainability, urban sanitation and over 200 families. The overall upgrade will benet over 1,000 households in the neighbourhood. community development. Other sectors contributed to 15% of the CSR expenditure during the year.
30 HDFC Integrated Report 2020-21 31 SOCIAL AND RELATIONSHIP CAPITAL
Rural Livelihoods For livelihoods enhancement especially among vulnerable women we have partnered with organisations which have a strong regional presence and context specic models. Programmes supported include goat-rearing based income generation projects in drought prone regions of Maharashtra, where agriculture may not be the most dependable source of income.
In the environmentally diverse but sensitive regions of Assam, we work with communities through afforestation and agro-forestry related interventions to improve their food security and enhance community income levels, while making sure the ecosystem is restored and preserved.
Sanitation HDFC continued its support for community-led and public sanitation programmes with a focus on urban areas. Some of the projects included a drinking water, sanitation and hygiene facilities programme in 35 schools and 2 communities with our partners in Tamil Nadu and West Bengal. Projects also included construction of individual household level toilet blocks and refurbishment of existing community toilet blocks with partners across Maharashtra, Rajasthan and Tamil Nadu.
A pilot was initiated in some wards of Bhubaneswar (Odisha) to put in place a process of community participation and complaint redressal system so that services like waste collection and emptying of septic tanks happens in a streamlined manner on a regular basis. This was done in partnership with the urban local body and community groups.
For further details, kindly refer to Corporate Social Responsibility Activities in the Annual Report 2020-21 and the H T Parekh Foundation website, http://www.htparekhfoundation.com PHYSICAL AND DIGITAL CAPITAL
32 33 SOCIAL AND RELATIONSHIP CAPITAL
Rural Livelihoods For livelihoods enhancement especially among vulnerable women we have partnered with organisations which have a strong regional presence and context specic models. Programmes supported include goat-rearing based income generation projects in drought prone regions of Maharashtra, where agriculture may not be the most dependable source of income.
In the environmentally diverse but sensitive regions of Assam, we work with communities through afforestation and agro-forestry related interventions to improve their food security and enhance community income levels, while making sure the ecosystem is restored and preserved.
Sanitation HDFC continued its support for community-led and public sanitation programmes with a focus on urban areas. Some of the projects included a drinking water, sanitation and hygiene facilities programme in 35 schools and 2 communities with our partners in Tamil Nadu and West Bengal. Projects also included construction of individual household level toilet blocks and refurbishment of existing community toilet blocks with partners across Maharashtra, Rajasthan and Tamil Nadu.
A pilot was initiated in some wards of Bhubaneswar (Odisha) to put in place a process of community participation and complaint redressal system so that services like waste collection and emptying of septic tanks happens in a streamlined manner on a regular basis. This was done in partnership with the urban local body and community groups.
For further details, kindly refer to Corporate Social Responsibility Activities in the Annual Report 2020-21 and the H T Parekh Foundation website, http://www.htparekhfoundation.com PHYSICAL AND DIGITAL CAPITAL
32 33 PHYSICAL AND DIGITAL CAPITAL Physical and digital capital essentially entails our tangible infrastructure like physical assets and also includes information Digital Infrastructure technology related assets wherein these platforms enable value creation for all our business activities. A large part of our low-cost IT professionals are responsible for operating structure is delivering and maintaining all Physical Infrastructure attributable to our strong applications, networks and IT technology-based platforms, infrastructure, including IT security and As at March 31, 2021, we had 390 conveniently located for customers locations across India. The hubs in particularly for our home loan providing end user support. ofces of our own and 203 ofces of and that they are well maintained with turn have specialised clusters - for and deposit customers. our wholly owned subsidiary, HDFC energy efcient lighting and equipped instance, salaried, self-employed, As per our Corporation’s Asset Sales Private Limited. Thus, we have a with energy saving/energy star non-resident Indian loans, online Information Technology Management Policy, our IT assets are physical reach across 593 locations. devices. applications, amongst several others. (IT) is the backbone of classied into three key components- Some of our ofces are owned This hub and spoke model enables all functions within the software assets, hardware assets and premises while most are leased We follow a hub and spoke model to faster turnaround time. Corporation and thus information assets. Our software premises. optimise efciencies. Most of our the IT team plays a assets are a combination of both, ofces are small format ofces, staffed Through a combination of digital and crucial role in the home grown and licensed Our ofces follow a fairly standardised by few individuals who act as the physical presence, we are focusing on overall functioning of the technologies. physical layout and are designed interface for our customers. The loans entering deeper geographies and organisation. Our team of keeping the customer in mind. We try are processed at their respective micro emerging markets across India to ensure that our ofces are processing hubs, spread over 30 in order to reach out to more customers in a cost efcient manner. Bridging IT and Business Operations New Ofces Since inception, it has been our The IT-USG team test the systems for has adopted a ‘One HDFC’ strategy constant endeavour to automate logic, processes, ease of usage and which capitalises on using technology several operating processes which data hygiene. Another key role played seamlessly and facilitates has enabled us to gain scale and by the IT-USG is to assist in training redeployment of manpower wherever it efciency. the frontline staff to use the systems is most required. Thus, if there is a efciently. This in turn helps us serve particular geography where there is an We have a core team, referred as the our customers in a more efcient increase in business volumes, the IT-User Support Group (IT-USG), which manner. Corporation optimises its use of acts as the bridge between the IT and resources so as to ensure that high business operations teams. The Digital platforms not only enabled customer service standards are members of the IT-USG group have a business continuity during the maintained. Customers have combination of skills of being lockdown, but has also helped responded well to the Corporation’s technology savvy and a strong process larger volumes with greater online platforms and have appreciated understanding of business operations speed and efciency. The Corporation the ease of using such platforms. as well.
Data Protection & Customer Privacy
We understand the obligations we Data governance is of paramount We have an information privacy policy have towards the nancial and importance as is data protection. Data which forms a part of the information personal information of all our protection is required for both, data at security policy of the Corporation. For customers. We continue to strengthen rest (data encryption for customer data) our website users, our privacy policy is our operational risk management and data in transit (protected by way of published on our website. framework and ensure the stability and secured communication practices). In security of our information technology addition, we have implemented data During the year, we have had no 593 platforms. leakage prevention across the instances of any breach of customer Ofce Locations organisation along with document privacy. rights management solutions. 34 HDFC Integrated Report 2020-21 35 PHYSICAL AND DIGITAL CAPITAL Physical and digital capital essentially entails our tangible infrastructure like physical assets and also includes information Digital Infrastructure technology related assets wherein these platforms enable value creation for all our business activities. A large part of our low-cost IT professionals are responsible for operating structure is delivering and maintaining all Physical Infrastructure attributable to our strong applications, networks and IT technology-based platforms, infrastructure, including IT security and As at March 31, 2021, we had 390 conveniently located for customers locations across India. The hubs in particularly for our home loan providing end user support. ofces of our own and 203 ofces of and that they are well maintained with turn have specialised clusters - for and deposit customers. our wholly owned subsidiary, HDFC energy efcient lighting and equipped instance, salaried, self-employed, As per our Corporation’s Asset Sales Private Limited. Thus, we have a with energy saving/energy star non-resident Indian loans, online Information Technology Management Policy, our IT assets are physical reach across 593 locations. devices. applications, amongst several others. (IT) is the backbone of classied into three key components- Some of our ofces are owned This hub and spoke model enables all functions within the software assets, hardware assets and premises while most are leased We follow a hub and spoke model to faster turnaround time. Corporation and thus information assets. Our software premises. optimise efciencies. Most of our the IT team plays a assets are a combination of both, ofces are small format ofces, staffed Through a combination of digital and crucial role in the home grown and licensed Our ofces follow a fairly standardised by few individuals who act as the physical presence, we are focusing on overall functioning of the technologies. physical layout and are designed interface for our customers. The loans entering deeper geographies and organisation. Our team of keeping the customer in mind. We try are processed at their respective micro emerging markets across India to ensure that our ofces are processing hubs, spread over 30 in order to reach out to more customers in a cost efcient manner. Bridging IT and Business Operations New Ofces Since inception, it has been our The IT-USG team test the systems for has adopted a ‘One HDFC’ strategy constant endeavour to automate logic, processes, ease of usage and which capitalises on using technology several operating processes which data hygiene. Another key role played seamlessly and facilitates has enabled us to gain scale and by the IT-USG is to assist in training redeployment of manpower wherever it efciency. the frontline staff to use the systems is most required. Thus, if there is a efciently. This in turn helps us serve particular geography where there is an We have a core team, referred as the our customers in a more efcient increase in business volumes, the IT-User Support Group (IT-USG), which manner. Corporation optimises its use of acts as the bridge between the IT and resources so as to ensure that high business operations teams. The Digital platforms not only enabled customer service standards are members of the IT-USG group have a business continuity during the maintained. Customers have combination of skills of being lockdown, but has also helped responded well to the Corporation’s technology savvy and a strong process larger volumes with greater online platforms and have appreciated understanding of business operations speed and efciency. The Corporation the ease of using such platforms. as well.
Data Protection & Customer Privacy
We understand the obligations we Data governance is of paramount We have an information privacy policy have towards the nancial and importance as is data protection. Data which forms a part of the information personal information of all our protection is required for both, data at security policy of the Corporation. For customers. We continue to strengthen rest (data encryption for customer data) our website users, our privacy policy is our operational risk management and data in transit (protected by way of published on our website. framework and ensure the stability and secured communication practices). In security of our information technology addition, we have implemented data During the year, we have had no 593 platforms. leakage prevention across the instances of any breach of customer Ofce Locations organisation along with document privacy. rights management solutions. 34 HDFC Integrated Report 2020-21 35 PHYSICAL AND DIGITAL CAPITAL
Cyber Security Framework
Protection of our IT infrastructure from policies on information security and Framework, ISO 27001 and National cyber security risks calls for increased cyber security. These are in line with Institute of Standards and Technology vigilance and risk mitigation measures. the Reserve Bank of India’s directions (NIST) guidelines. We have various board approved on Information Technology
Advanced Threat Security Event & Incident Protection at Network & Management Endpoint - SIEM Tools Next Gen Network Intrusion - Decoy System Prevention - Cert-In Alerts Business Continuity and Disaster Recovery Host Intrusion Prevention Anti-Phishing Monitoring Wireless Intrusion Rogue Mobile App Prevention 24x7 Security Monitoring The Corporation has a Business dened for all critical business Disaster drills and table top exercises DDoS Protection Event & Incident Continuity Management (BCM) processes. The IT Disaster Recovery are conducted at regular intervals to Management Layer Malware Monitoring for Email Security Websites Committee and has a board approved Plan ensures that the dened RTO test whether the set procedures are Business Continuity Plan (BCP). and RPO are met. working as dened within the pre- Web Browsing Security Data Leakage Monitoring Threat Prevention dened RTO and RPO and people Endpoint Antivirus File Integrity Monitoring & Remediation Layer A detailed Business Impact Analysis The BCP denes the overall understand and follow it appropriately. ZeroDay Network Malware Cloud monitoring (BIA) has been carried out considering governance and monitoring of the Such drills are audited through Mutation Vulnerability Decoy various conventional threat vectors business continuity function, including external CERT-In (Indian Computer Risky user identication Management Layer Attack Simulation platform and cyber threats. This BIA identies setting up of Emergency Response Emergency Response Team) certied core business functions and critical Teams (ERT) and Function Recovery auditors. Observations received from Access business sites that are covered under Teams (FRT). such audits are considered as a part Control Layer the resiliency programme. Most of the of continuous improvements. business functions are supported Business continuity spans across people, processes and technology. Data through automation with the help of The plan is reviewed at periodic Protection Layer technology. Hence IT resiliency forms Requisite training programmes have intervals and the management and Web Application Firewall User Access Control (IdAM) a critical component of BCP. been conducted for the teams to be board are kept abreast of any Vulnerability Treatment & Privileged User Access prepared to respond in a crisis. developments or changes in the BCP. Patch Management Control (PIM) Recovery Time Objectives (RTO) and Vulnerability Assessment Data Next Gen Network Firewall Recovery Point Objectives (RPO) are - Web Applications Remote Access Control (VPN) - Mobile Apps Removable Device Control - System Platforms Endpoint NAC Secure Conguration & Encryption of Data in Transit Hardening End User Compliance Encryption of Data at Rest Data Masking Document Rights Management Mobile Data Protection (MAM)
36 HDFC Integrated Report 2020-21 37 PHYSICAL AND DIGITAL CAPITAL
Cyber Security Framework
Protection of our IT infrastructure from policies on information security and Framework, ISO 27001 and National cyber security risks calls for increased cyber security. These are in line with Institute of Standards and Technology vigilance and risk mitigation measures. the Reserve Bank of India’s directions (NIST) guidelines. We have various board approved on Information Technology
Advanced Threat Security Event & Incident Protection at Network & Management Endpoint - SIEM Tools Next Gen Network Intrusion - Decoy System Prevention - Cert-In Alerts Business Continuity and Disaster Recovery Host Intrusion Prevention Anti-Phishing Monitoring Wireless Intrusion Rogue Mobile App Prevention 24x7 Security Monitoring The Corporation has a Business dened for all critical business Disaster drills and table top exercises DDoS Protection Event & Incident Continuity Management (BCM) processes. The IT Disaster Recovery are conducted at regular intervals to Management Layer Malware Monitoring for Email Security Websites Committee and has a board approved Plan ensures that the dened RTO test whether the set procedures are Business Continuity Plan (BCP). and RPO are met. working as dened within the pre- Web Browsing Security Data Leakage Monitoring Threat Prevention dened RTO and RPO and people Endpoint Antivirus File Integrity Monitoring & Remediation Layer A detailed Business Impact Analysis The BCP denes the overall understand and follow it appropriately. ZeroDay Network Malware Cloud monitoring (BIA) has been carried out considering governance and monitoring of the Such drills are audited through Mutation Vulnerability Decoy various conventional threat vectors business continuity function, including external CERT-In (Indian Computer Risky user identication Management Layer Attack Simulation platform and cyber threats. This BIA identies setting up of Emergency Response Emergency Response Team) certied core business functions and critical Teams (ERT) and Function Recovery auditors. Observations received from Access business sites that are covered under Teams (FRT). such audits are considered as a part Control Layer the resiliency programme. Most of the of continuous improvements. business functions are supported Business continuity spans across people, processes and technology. Data through automation with the help of The plan is reviewed at periodic Protection Layer technology. Hence IT resiliency forms Requisite training programmes have intervals and the management and Web Application Firewall User Access Control (IdAM) a critical component of BCP. been conducted for the teams to be board are kept abreast of any Vulnerability Treatment & Privileged User Access prepared to respond in a crisis. developments or changes in the BCP. Patch Management Control (PIM) Recovery Time Objectives (RTO) and Vulnerability Assessment Data Next Gen Network Firewall Recovery Point Objectives (RPO) are - Web Applications Remote Access Control (VPN) - Mobile Apps Removable Device Control - System Platforms Endpoint NAC Secure Conguration & Encryption of Data in Transit Hardening End User Compliance Encryption of Data at Rest Data Masking Document Rights Management Mobile Data Protection (MAM)
36 HDFC Integrated Report 2020-21 37 INTELLECTUAL CAPITAL
Values
HDFC was built on the founding values in every sphere of activity that values of kindness, fairness, efciency we undertake. We believe that our and effectiveness. Our daily value and culture is our strongest endeavour is to remain true to these capital.
Brand Value
We have not ascribed a value to our The HDFC group has emerged as a As an organisation, HDFC is unique - brand. However, we believe we derive diverse conglomerate with a footprint it is both, a mortgage nance immense value as our brand name is across banking, life insurance, non-life company and the holding company perceived as being synonymous with insurance, pension funds, asset for investments in its subsidiary and trust and quality customer service. All management, property funds, associate companies. our group companies have in good education nance and schools. faith, been entrusted with the ‘HDFC’ INTELLECTUAL CAPITAL brand.
Awards & Accolades
Awarded 'Company of The Year’ at The Economic Times Awards for Corporate Excellence for the year 2020
Awarded the ‘Golden Peacock Award for Excellence in Corporate Governance - 2020’ by the Institute of Directors
Awarded ‘Best Audit Committee - 2019’ at the 7th Asia Business Responsibility E-Summit by the Asian Centre for Corporate Governance & Sustainability
Featured in the list of top ten wealth creators over 25 years (1995-2020) - a study undertaken by Motilal Oswal - 25th Annual Wealth Creation Study, 2020
Ranked amongst the Top 10 most valuable Indian companies in 2020 by Hurun Global 500
Ranked 5th amongst Indian companies and 220th globally in the Forbes Global 2,000 List - 2021
Recognised amongst India’s most sustainable companies by Sustain Labs Paris in association with Business World
38 39 INTELLECTUAL CAPITAL
Values
HDFC was built on the founding values in every sphere of activity that values of kindness, fairness, efciency we undertake. We believe that our and effectiveness. Our daily value and culture is our strongest endeavour is to remain true to these capital.
Brand Value
We have not ascribed a value to our The HDFC group has emerged as a As an organisation, HDFC is unique - brand. However, we believe we derive diverse conglomerate with a footprint it is both, a mortgage nance immense value as our brand name is across banking, life insurance, non-life company and the holding company perceived as being synonymous with insurance, pension funds, asset for investments in its subsidiary and trust and quality customer service. All management, property funds, associate companies. our group companies have in good education nance and schools. faith, been entrusted with the ‘HDFC’ INTELLECTUAL CAPITAL brand.
Awards & Accolades
Awarded 'Company of The Year’ at The Economic Times Awards for Corporate Excellence for the year 2020
Awarded the ‘Golden Peacock Award for Excellence in Corporate Governance - 2020’ by the Institute of Directors
Awarded ‘Best Audit Committee - 2019’ at the 7th Asia Business Responsibility E-Summit by the Asian Centre for Corporate Governance & Sustainability
Featured in the list of top ten wealth creators over 25 years (1995-2020) - a study undertaken by Motilal Oswal - 25th Annual Wealth Creation Study, 2020
Ranked amongst the Top 10 most valuable Indian companies in 2020 by Hurun Global 500
Ranked 5th amongst Indian companies and 220th globally in the Forbes Global 2,000 List - 2021
Recognised amongst India’s most sustainable companies by Sustain Labs Paris in association with Business World
38 39 INTELLECTUAL CAPITAL
In-house Value Added Services
In India, land is a state subject. Each We have always believed that when a building structure is sound or turn to state has different regulations. Real customer comes to us for a home us for fair valuations of properties. estate markets require local level loan, funding is not their only These value added services have knowledge and expertise. HDFC is a requirement. They derive comfort been our key differentiator. Housing single product company and this has knowing that a housing project has nance products are fairly enabled us to stay focused and been pre-approved by HDFC. They standardised across the industry and deepen our understanding and seek our advice on the legal title of the we believe that the only product nuances of local real estate markets. property or seek our inputs on patent a home nancier has is the technical appraisals to ensure the quality of customer service.
Sharing of Expertise Globally
We have been recognised for our of expert trainers and various global Finance. The Frankfurt School of deep understanding and knowledge institutions reach out to us for Finance & Management and HDFC of mortgage nance and this has consultancy services and training jointly organise ‘Housing Finance helped us establish housing nance programmes. Summer Academy’ in Germany. companies and render consultancy NATURAL CAPITAL services and technical assistance in The Corporation also conducts its own However, during the year we were not countries with nascent mortgage international training programme, able to conduct these training nance markets, especially in Asia ‘Housing Finance Management’ at its programmes due to the pandemic. and Africa. We also have a large pool training centre, Centre for Housing
40 41 INTELLECTUAL CAPITAL
In-house Value Added Services
In India, land is a state subject. Each We have always believed that when a building structure is sound or turn to state has different regulations. Real customer comes to us for a home us for fair valuations of properties. estate markets require local level loan, funding is not their only These value added services have knowledge and expertise. HDFC is a requirement. They derive comfort been our key differentiator. Housing single product company and this has knowing that a housing project has nance products are fairly enabled us to stay focused and been pre-approved by HDFC. They standardised across the industry and deepen our understanding and seek our advice on the legal title of the we believe that the only product nuances of local real estate markets. property or seek our inputs on patent a home nancier has is the technical appraisals to ensure the quality of customer service.
Sharing of Expertise Globally
We have been recognised for our of expert trainers and various global Finance. The Frankfurt School of deep understanding and knowledge institutions reach out to us for Finance & Management and HDFC of mortgage nance and this has consultancy services and training jointly organise ‘Housing Finance helped us establish housing nance programmes. Summer Academy’ in Germany. companies and render consultancy NATURAL CAPITAL services and technical assistance in The Corporation also conducts its own However, during the year we were not countries with nascent mortgage international training programme, able to conduct these training nance markets, especially in Asia ‘Housing Finance Management’ at its programmes due to the pandemic. and Africa. We also have a large pool training centre, Centre for Housing
40 41 NATURAL CAPITAL The Government of India is committed take both, home loan insurance and French Development Agency (AFD) Being conscious of our carbon footprint towards a low carbon path, which is home insurance, which is insurance under the SUNREF scheme, communicated through its Intended against re, earthquake, oods, natural “Sustainable Use of Natural Nationally Determined Contributions disasters, bush re, landslides, Resources and Energy Finance”. target under the 2015 Paris amongst others. The objective of the scheme is to Agreement. Some of the salient promote affordable, green housing. Recycling targets include, reduce emission At HDFC, we understand that climate • We have signed a Memorandum of intensity of the economy by one-third change is not just an environmental Understanding (MoU) with the Given the nature of the business, HDFC uses local vendors for disposal HDFC is being donated to Cancer by 2030 from 2005 levels, increase the issue, but is also a business risk. Thus, Indian Green Building Council HDFC has limited scope to use of paper for recycling. For several Patients Aid Association. In an share of non-fossil fuels to 40% of the Risk Management Committee of (IGBC). Under the MOU, HDFC and recycled material as processed inputs. years, the sale value of paper scrap of endeavour to reduce consumption of total electricity generation capacity the Corporation incorporates climate IGBC will promote green housing However, the Corporation has systems plastics, the Corporation, as a policy and create an additional carbon sink risk amongst various risks which need by jointly organising training and in place at an all-India level to manage does not procure plastic bottled water of 2.5 to 3 billion tonnes of carbon to be closely monitored. awareness programmes to facilitate e-waste. The Corporation engages in its ofces as such plastics are not dioxide equivalent through forest and capacity building. with certied e-waste handlers for biodegradable and micro plastics tree cover by 2030. There are both, risks and opportunities for the organisation as far as natural disposal of e-waste. Approximately release toxic chemicals into the • We engage with developers to capital is concerned. 7,016 kg of e-waste generated has environment. As a housing nance company, our sensitise them on E&S best been disposed through authorised environmental impact is largely limited • Environmental and social (E&S) practices. recyclers. HDFC has received green, to the consumption of natural risks framework has been put in disposable and re-cycling certicates resources such as energy, paper and place for various components of the • Two-thirds of our Lease Rental from the respective e-waste vendors. water, yet, as a responsible lending portfolio. Discounting (LRD) portfolio has organisation, we recognise the green ratings from various severity of the impact of climate • We have certain pools of funding accredited green rating institutions change. Unprecedented weather from multilateral agencies wherein such as (Leadership in Energy & patterns may have devastating effects the proceeds are to be used for on- Environmental Design) LEED, on natural ecosystems, biodiversity, lending to developers for green and Green Rating for Integrated Habitat Installation of Solar Panels water resources and people. affordable housing where there is Assessment (GRIHA), IGBC, enhanced E&S due diligence on amongst others. In an endeavour to transition to We recognise that some of the key aspects like pollution prevention, renewable energy, HDFC has installed climate related risks on the mortgage water permits, reporting on fatalities • As at March 31, 2021, HDFC had solar power roof panels in some of its portfolio include ood risk and or injuries, labour codes, crèche cumulatively disbursed 19,665 owned premises. The objective is to conversely water stress. For instance, facilities, or resettlements, amongst crore of individual housing loans to incrementally transit to renewable coastal inundation can have a others. home buyers in certied green energy, wherever feasible and enable devastating impact on housing and building projects across the cost savings. surrounding communities. Hence we • We have got renance from the country. strongly encourage our customers to National Housing Bank and the
Evaluation of Environmental and Social Risks
Initial Screening: Screening the loan proposal to ensure that there is no funding of controversial activities i.e. exclusion list criteria
Due Diligence: Review and identication of E&S risks pertaining to the loan
Loan Agreements: Incorporation of E&S covenants in the legal documentation and offer letters
Performance Monitoring: Periodic engagement with borrowers to assess the performance of the loan
Reporting: Where mandated, provide necessary disclosures and reporting on end use of funds
42 HDFC Integrated Report 2020-21 43 NATURAL CAPITAL The Government of India is committed take both, home loan insurance and French Development Agency (AFD) Being conscious of our carbon footprint towards a low carbon path, which is home insurance, which is insurance under the SUNREF scheme, communicated through its Intended against re, earthquake, oods, natural “Sustainable Use of Natural Nationally Determined Contributions disasters, bush re, landslides, Resources and Energy Finance”. target under the 2015 Paris amongst others. The objective of the scheme is to Agreement. Some of the salient promote affordable, green housing. Recycling targets include, reduce emission At HDFC, we understand that climate • We have signed a Memorandum of intensity of the economy by one-third change is not just an environmental Understanding (MoU) with the Given the nature of the business, HDFC uses local vendors for disposal HDFC is being donated to Cancer by 2030 from 2005 levels, increase the issue, but is also a business risk. Thus, Indian Green Building Council HDFC has limited scope to use of paper for recycling. For several Patients Aid Association. In an share of non-fossil fuels to 40% of the Risk Management Committee of (IGBC). Under the MOU, HDFC and recycled material as processed inputs. years, the sale value of paper scrap of endeavour to reduce consumption of total electricity generation capacity the Corporation incorporates climate IGBC will promote green housing However, the Corporation has systems plastics, the Corporation, as a policy and create an additional carbon sink risk amongst various risks which need by jointly organising training and in place at an all-India level to manage does not procure plastic bottled water of 2.5 to 3 billion tonnes of carbon to be closely monitored. awareness programmes to facilitate e-waste. The Corporation engages in its ofces as such plastics are not dioxide equivalent through forest and capacity building. with certied e-waste handlers for biodegradable and micro plastics tree cover by 2030. There are both, risks and opportunities for the organisation as far as natural disposal of e-waste. Approximately release toxic chemicals into the • We engage with developers to capital is concerned. 7,016 kg of e-waste generated has environment. As a housing nance company, our sensitise them on E&S best been disposed through authorised environmental impact is largely limited • Environmental and social (E&S) practices. recyclers. HDFC has received green, to the consumption of natural risks framework has been put in disposable and re-cycling certicates resources such as energy, paper and place for various components of the • Two-thirds of our Lease Rental from the respective e-waste vendors. water, yet, as a responsible lending portfolio. Discounting (LRD) portfolio has organisation, we recognise the green ratings from various severity of the impact of climate • We have certain pools of funding accredited green rating institutions change. Unprecedented weather from multilateral agencies wherein such as (Leadership in Energy & patterns may have devastating effects the proceeds are to be used for on- Environmental Design) LEED, on natural ecosystems, biodiversity, lending to developers for green and Green Rating for Integrated Habitat Installation of Solar Panels water resources and people. affordable housing where there is Assessment (GRIHA), IGBC, enhanced E&S due diligence on amongst others. In an endeavour to transition to We recognise that some of the key aspects like pollution prevention, renewable energy, HDFC has installed climate related risks on the mortgage water permits, reporting on fatalities • As at March 31, 2021, HDFC had solar power roof panels in some of its portfolio include ood risk and or injuries, labour codes, crèche cumulatively disbursed 19,665 owned premises. The objective is to conversely water stress. For instance, facilities, or resettlements, amongst crore of individual housing loans to incrementally transit to renewable coastal inundation can have a others. home buyers in certied green energy, wherever feasible and enable devastating impact on housing and building projects across the cost savings. surrounding communities. Hence we • We have got renance from the country. strongly encourage our customers to National Housing Bank and the
Evaluation of Environmental and Social Risks
Initial Screening: Screening the loan proposal to ensure that there is no funding of controversial activities i.e. exclusion list criteria
Due Diligence: Review and identication of E&S risks pertaining to the loan
Loan Agreements: Incorporation of E&S covenants in the legal documentation and offer letters
Performance Monitoring: Periodic engagement with borrowers to assess the performance of the loan
Reporting: Where mandated, provide necessary disclosures and reporting on end use of funds
42 HDFC Integrated Report 2020-21 43 NATURAL CAPITAL
Measuring Our Carbon Footprint
We have partnered with a leading environment and research institution Scope 1: Direct emissions that resulted from activities and operations to help us strengthen and better under HDFC’s control; monitor our carbon footprint. We have measured the carbon footprint of Scope 2: Indirect emissions from the external production of energy, select ofces. The carbon footprint consumed by HDFC; and was prepared in accordance with the GHG Protocol Corporate Accounting Scope 3: Indirect emissions that are a result of HDFC’s activities, but are Standard and identied Greenhouse not under the direct control of the Corporation. Gas (GHG) emissions across the three scopes.
The sources of emissions for our ofces were as follows: *Based on select ofces and where the Corporation owns the premises.
Scope Emission Source* Activity Data FY21 Emissions Contribution FY20 Emissions Contribution COVID-19 has had an impact on FY21 emissions - largely on purchased electricity, HVAC and reduction in Scope 3 emissions. (MT CO2e) (FY21) (MT CO2e) (FY20) ^Owing to the pandemic and resultant lockdowns, the employee commute for FY21 was not computed. Scope 1 Diesel Generator Sets Diesel Consumption (L) 3.5 0.1% 5.7 0.1% Scope 1 Fuel Allowance (Provided to employees) Petrol Allowance (L) 720.4 18.6% 769.7 14.7% Scope 1 Company Cars Petrol Consumption (L) 12.7 0.3% 34.1 0.7% Key Expenditure Heads Pertaining to Our Carbon Footprint Scope 1 HVAC (Heating Number of AC Carriers Ventilating and Air & Refrigerant rells (kg) 229.5 5.9% 530.6 10.2% conditioning Systems) Scope 1 966.1 24.9% 1,340.1 25.7% Scope 2 Purchased Electricity Electricity Consumption 2,240.5 57.8% 2,525.0 48.4% (kWh) Scope 2 Electricity for Data Electricity Consumption 443.6 11.4% 339.6 6.5% Centres (kWh) The Corporation has always been cost conscious and this reects in the above expenses and is extremely low, especially if Scope 2 2,684.1 69.2% 2,864.6 54.9% mapped against our non-interest expenses, protability or asset base. Scope 3 Business Travel - Air Class, Sector & 0.2 0.0% 271.6 5.2% Passenger (km) Scope 3 Business Travel - Road Sector Travel & 4.5 0.1% 20.1 0.4% Car Type (km) Scope 3 Hotel Stays - Business Number of Overnight Stays per Room & 1.2 0.0% 83.5 1.6% Occupancy Scope 3 Company Organised Sector, Number of 23.9 0.6% 23.5 0.5% Road Transport Trips per day (km) Scope 3 Employee Commute^ Based on survey (km) - - 295.1 5.7% Scope 3 Paper Consumption Quantities of Paper Products (Metric 178.3 4.6% 282.4 5.4% Tonne - MT)
44 HDFC Integrated Report 2020-21 45 NATURAL CAPITAL
Measuring Our Carbon Footprint
We have partnered with a leading environment and research institution Scope 1: Direct emissions that resulted from activities and operations to help us strengthen and better under HDFC’s control; monitor our carbon footprint. We have measured the carbon footprint of Scope 2: Indirect emissions from the external production of energy, select ofces. The carbon footprint consumed by HDFC; and was prepared in accordance with the GHG Protocol Corporate Accounting Scope 3: Indirect emissions that are a result of HDFC’s activities, but are Standard and identied Greenhouse not under the direct control of the Corporation. Gas (GHG) emissions across the three scopes.
The sources of emissions for our ofces were as follows: *Based on select ofces and where the Corporation owns the premises.
Scope Emission Source* Activity Data FY21 Emissions Contribution FY20 Emissions Contribution COVID-19 has had an impact on FY21 emissions - largely on purchased electricity, HVAC and reduction in Scope 3 emissions. (MT CO2e) (FY21) (MT CO2e) (FY20) ^Owing to the pandemic and resultant lockdowns, the employee commute for FY21 was not computed. Scope 1 Diesel Generator Sets Diesel Consumption (L) 3.5 0.1% 5.7 0.1% Scope 1 Fuel Allowance (Provided to employees) Petrol Allowance (L) 720.4 18.6% 769.7 14.7% Scope 1 Company Cars Petrol Consumption (L) 12.7 0.3% 34.1 0.7% Key Expenditure Heads Pertaining to Our Carbon Footprint Scope 1 HVAC (Heating Number of AC Carriers Ventilating and Air & Refrigerant rells (kg) 229.5 5.9% 530.6 10.2% conditioning Systems) Scope 1 966.1 24.9% 1,340.1 25.7% Scope 2 Purchased Electricity Electricity Consumption 2,240.5 57.8% 2,525.0 48.4% (kWh) Scope 2 Electricity for Data Electricity Consumption 443.6 11.4% 339.6 6.5% Centres (kWh) The Corporation has always been cost conscious and this reects in the above expenses and is extremely low, especially if Scope 2 2,684.1 69.2% 2,864.6 54.9% mapped against our non-interest expenses, protability or asset base. Scope 3 Business Travel - Air Class, Sector & 0.2 0.0% 271.6 5.2% Passenger (km) Scope 3 Business Travel - Road Sector Travel & 4.5 0.1% 20.1 0.4% Car Type (km) Scope 3 Hotel Stays - Business Number of Overnight Stays per Room & 1.2 0.0% 83.5 1.6% Occupancy Scope 3 Company Organised Sector, Number of 23.9 0.6% 23.5 0.5% Road Transport Trips per day (km) Scope 3 Employee Commute^ Based on survey (km) - - 295.1 5.7% Scope 3 Paper Consumption Quantities of Paper Products (Metric 178.3 4.6% 282.4 5.4% Tonne - MT)
44 HDFC Integrated Report 2020-21 45 NATURAL CAPITAL Supporting Environmental Projects Ecological Restoration
HDFC and the H T Parekh Foundation partnered with various NGOs to implement several environmental projects. During the practices, aiding in forming village and agroforestry programmes have year, projects focused more on urban areas in an endeavour to improve the quality of life and make these cities sustainable level water budgeting committees been an important source of and ecologically safe. Innovative pilot models were supported which could be up-scaled or replicated. and supporting grasslands to income for rural communities who improve animal husbandry. were either returning home from urban centres or who had been ii) Since 2018, HDFC is supporting a unable to purchase/access seeds Waste Management reforestation programme in the for the planting season due to the Balipara reserve forest area in lockdown. Assam, which has faced heavy A more holistic approach was pilot a capital expenditure deforestation over the past few adopted by combining our projects investment to build and enhance decades. The reforestation under sanitation, liquid waste the de-centralised faecal sludge programme included engaging management and solid management. and septage treatment with the community in villages Such an approach is particularly infrastructure. Such programmes Water and green cover are closely around the forest reserve and with benecial in urban low-income are accompanied by helping cities intertwined and support all life and their joint forest management settlements. Some of our projects to put in place a streamlined plan maintain the micro-climate in the local committee. Interventions included were as follows: for safe collection and transport of area. Some of the supported projects early capacity building liquid waste by training the de- that addressed these themes are as i) A household level toilet programmes on managing forests sludging operators. follows: construction project was and planting, climate and supported in Jodhpur (Rajasthan) iv) A project on solid waste i) HDFC partnered with a NGO that environmental sensitisation, and and Kolhapur (Maharashtra) which management in Dharamshala works in drought-prone districts of basic nancial management. The was accompanied by strong (Himachal Pradesh) was expanded Maharashtra to promote water programme focused heavily on training programmes on conservation through large-scale to cover two municipal wards and bringing women into the decision- In an effort to nurture nature, behavioural change. In community participation and will be further expanded to cover making process and ensuring their HDFC organised a Tree Bhubaneswar (Odisha), as the intense training and behaviour ve wards in FY22. The intervention equality across all eld work - in Plantation Drive. This was under toilet coverage was considerable, change programmes. These targets to create model wards both voice and pay. So far, over our "Go Green Initiative". or where funds were being which have strong practices of solid interventions over the last three 5.88 lac trees have been planted leveraged from other sources, waste management, awareness years included building water which has created over 1.08 This drive was conducted with an HDFC’s partner is working on creation and beautication of the conservation structures to create crore in direct incomes for NGO working in the areas of tree forming processes and aiding in city by installing structures created or rejuvenate water bodies. During communities, thereby improving plantation, bio diversity policies to ensure that community- from waste. Self-help groups of the FY21, the focus shifted to overall incomes by up to 40%. conservation, rain water level committees take ownership of waste collectors are formed and enhancing tree cover, improving During the COVID-19 national harvesting & soil conservation. waste collection and management are trained to become waste cropping patterns and agricultural lockdown in FY21, the reforestation services. entrepreneurs. Through the central material recovery facility, all ii) In Trichy (Tamil Nadu), need was recyclables are sent to the identied for refurbishing public appropriate value chain while the toilets to ensure that people do not H@ART Programme composting units in each ward help go back to defecating in the open put the wet waste back into HDFC’s wholly owned subsidiary company, HDFC Capital Advisors (leading to soil and water pollution) circulation as manure. Limited, (HDFC Capital) was set up with the primary objective of providing due to the dilapidated condition. long-term equity and mezzanine capital to developers at the land and pre- Refurbishment of approximately v) HDFC supported a pilot waste-to- approval stage for the development of affordable and mid- 200 public and community energy project in Gurugram income housing in India. sanitation facilities will be (Haryana). Through a decentralised supported, which will be managed system in housing societies and at HDFC Capital has set up H@ART (HDFC Affordable Real by women-led teams for future a central facility, waste generated Estate and Technology) Programme to mentor, partner, and maintenance and sustainability. from large housing societies will be invest in real estate technology companies that drive innovation used to produce biogas (2 ton per in the affordable housing system. Use of environmental and iii) HDFC’s partners are working with day in year 1 and to 5 ton per day sustainable technologies is one of the key focus areas of the programme. the city level administrations of in year 2). Kolhapur, Satara (Maharashtra) and Hyderabad (Telangana) to 46 HDFC Integrated Report 2020-21 47 NATURAL CAPITAL Supporting Environmental Projects Ecological Restoration
HDFC and the H T Parekh Foundation partnered with various NGOs to implement several environmental projects. During the practices, aiding in forming village and agroforestry programmes have year, projects focused more on urban areas in an endeavour to improve the quality of life and make these cities sustainable level water budgeting committees been an important source of and ecologically safe. Innovative pilot models were supported which could be up-scaled or replicated. and supporting grasslands to income for rural communities who improve animal husbandry. were either returning home from urban centres or who had been ii) Since 2018, HDFC is supporting a unable to purchase/access seeds Waste Management reforestation programme in the for the planting season due to the Balipara reserve forest area in lockdown. Assam, which has faced heavy A more holistic approach was pilot a capital expenditure deforestation over the past few adopted by combining our projects investment to build and enhance decades. The reforestation under sanitation, liquid waste the de-centralised faecal sludge programme included engaging management and solid management. and septage treatment with the community in villages Such an approach is particularly infrastructure. Such programmes Water and green cover are closely around the forest reserve and with benecial in urban low-income are accompanied by helping cities intertwined and support all life and their joint forest management settlements. Some of our projects to put in place a streamlined plan maintain the micro-climate in the local committee. Interventions included were as follows: for safe collection and transport of area. Some of the supported projects early capacity building liquid waste by training the de- that addressed these themes are as i) A household level toilet programmes on managing forests sludging operators. follows: construction project was and planting, climate and supported in Jodhpur (Rajasthan) iv) A project on solid waste i) HDFC partnered with a NGO that environmental sensitisation, and and Kolhapur (Maharashtra) which management in Dharamshala works in drought-prone districts of basic nancial management. The was accompanied by strong (Himachal Pradesh) was expanded Maharashtra to promote water programme focused heavily on training programmes on conservation through large-scale to cover two municipal wards and bringing women into the decision- In an effort to nurture nature, behavioural change. In community participation and will be further expanded to cover making process and ensuring their HDFC organised a Tree Bhubaneswar (Odisha), as the intense training and behaviour ve wards in FY22. The intervention equality across all eld work - in Plantation Drive. This was under toilet coverage was considerable, change programmes. These targets to create model wards both voice and pay. So far, over our "Go Green Initiative". or where funds were being which have strong practices of solid interventions over the last three 5.88 lac trees have been planted leveraged from other sources, waste management, awareness years included building water which has created over 1.08 This drive was conducted with an HDFC’s partner is working on creation and beautication of the conservation structures to create crore in direct incomes for NGO working in the areas of tree forming processes and aiding in city by installing structures created or rejuvenate water bodies. During communities, thereby improving plantation, bio diversity policies to ensure that community- from waste. Self-help groups of the FY21, the focus shifted to overall incomes by up to 40%. conservation, rain water level committees take ownership of waste collectors are formed and enhancing tree cover, improving During the COVID-19 national harvesting & soil conservation. waste collection and management are trained to become waste cropping patterns and agricultural lockdown in FY21, the reforestation services. entrepreneurs. Through the central material recovery facility, all ii) In Trichy (Tamil Nadu), need was recyclables are sent to the identied for refurbishing public appropriate value chain while the toilets to ensure that people do not H@ART Programme composting units in each ward help go back to defecating in the open put the wet waste back into HDFC’s wholly owned subsidiary company, HDFC Capital Advisors (leading to soil and water pollution) circulation as manure. Limited, (HDFC Capital) was set up with the primary objective of providing due to the dilapidated condition. long-term equity and mezzanine capital to developers at the land and pre- Refurbishment of approximately v) HDFC supported a pilot waste-to- approval stage for the development of affordable and mid- 200 public and community energy project in Gurugram income housing in India. sanitation facilities will be (Haryana). Through a decentralised supported, which will be managed system in housing societies and at HDFC Capital has set up H@ART (HDFC Affordable Real by women-led teams for future a central facility, waste generated Estate and Technology) Programme to mentor, partner, and maintenance and sustainability. from large housing societies will be invest in real estate technology companies that drive innovation used to produce biogas (2 ton per in the affordable housing system. Use of environmental and iii) HDFC’s partners are working with day in year 1 and to 5 ton per day sustainable technologies is one of the key focus areas of the programme. the city level administrations of in year 2). Kolhapur, Satara (Maharashtra) and Hyderabad (Telangana) to 46 HDFC Integrated Report 2020-21 47 ANNEX 1 RESPONSE TO COVID-19 CSR Projects Undertaken Mapped against THROUGH CSR 13 Sustainable Development Goals CSR Project/ Amount Spent Sector Sustainable Development Goals (SDG) Activity in FY21
HDFC’s approach to manage the COVID-19 crisis was focused on building the resilience of vulnerable and marginalised communities who were signicantly impacted. HDFC’s contribution ensured that support was provided in addressing social and economic challenges faced by such Programmes targeting QUALITY Goal 4: Ensure inclusive and communities, as well as supporting the healthcare system in a timely and Education- EDUCATION institutional support, need equitable quality education humane manner in the following ways: 1A based scholarships and Higher and promote lifelong learning 29.46 research projects Education opportunities for all
Programmes focused on systems strengthening, QUALITY Goal 4: Ensure inclusive and Education- EDUCATION teacher capacity building and equitable quality education 1B development of resources to Foundational and promote lifelong learning 11.95 achieve grade appropriate Learning opportunities for all learning for children 24 community-based organisations The national lockdown saw migrants were rapidly mobilised to distribute stranded with no sustenance or shelter over 27,700 dry ration and hygiene kits and an inability to return to their to vulnerable communities that faced COVID-19 villages. They were also at a high risk Programmes addressing Education- QUALITY Goal 4: Ensure inclusive and loss of income and struggled for basic of being infected. HDFC supported 3 EDUCATION Relief Program education needs of pre- Early equitable quality education amenities and necessities. organisations towards the distribution 1C 4.18 school children for better Childhood and promote lifelong learning of over 10 lac cooked meals. school readiness Education opportunities for all
QUALITY EDUCATION Goal 4: Ensure inclusive and equitable quality education and promote lifelong learning Education- Lockdowns and disruptions in supply Healthcare workers and police Programmes for secondary opportunities for all Career chain and logistics coupled with high personnel were at the forefront of the 1D students especially girls to 1.20 Readiness demand led to a shortfall of life saving crisis, with a high risk of infection. Our stay & complete school GENDER EQUALITY ventilators as early as April 2020. interventions focused on procuring and & Life-skills Goal 5: Achieve gender Responding to this crisis, HDFC distributing over 200,000 personal equality and empower all women and girls donated ventilators to support Delhi, protective equipment for healthcare Nagaland and West Bengal’s workers and police personnel across 5 healthcare efforts in their response to states. COVID-19.
GOOD HEALTH Programmes for prevention, Healthcare- AND WELL-BEING Goal 3: Ensure healthy Further details are available on the hyperlinks: 2A early diagnosis, treatment & Cancer lives and promote well- 13.14 https://www.hdfc.com/sites/default/les/2020-10/htpf-rti-ia-nal_0.pdf care Support being for all at all ages https://www.hdfc.com/sites/default/les/2021-07/htpf-covid-19-2021.pdf
48 HDFC Integrated Report 2020-21 49 ANNEX 1 RESPONSE TO COVID-19 CSR Projects Undertaken Mapped against THROUGH CSR 13 Sustainable Development Goals CSR Project/ Amount Spent Sector Sustainable Development Goals (SDG) Activity in FY21
HDFC’s approach to manage the COVID-19 crisis was focused on building the resilience of vulnerable and marginalised communities who were signicantly impacted. HDFC’s contribution ensured that support was provided in addressing social and economic challenges faced by such Programmes targeting QUALITY Goal 4: Ensure inclusive and communities, as well as supporting the healthcare system in a timely and Education- EDUCATION institutional support, need equitable quality education humane manner in the following ways: 1A based scholarships and Higher and promote lifelong learning 29.46 research projects Education opportunities for all
Programmes focused on systems strengthening, QUALITY Goal 4: Ensure inclusive and Education- EDUCATION teacher capacity building and equitable quality education 1B development of resources to Foundational and promote lifelong learning 11.95 achieve grade appropriate Learning opportunities for all learning for children 24 community-based organisations The national lockdown saw migrants were rapidly mobilised to distribute stranded with no sustenance or shelter over 27,700 dry ration and hygiene kits and an inability to return to their to vulnerable communities that faced COVID-19 villages. They were also at a high risk Programmes addressing Education- QUALITY Goal 4: Ensure inclusive and loss of income and struggled for basic of being infected. HDFC supported 3 EDUCATION Relief Program education needs of pre- Early equitable quality education amenities and necessities. organisations towards the distribution 1C 4.18 school children for better Childhood and promote lifelong learning of over 10 lac cooked meals. school readiness Education opportunities for all
QUALITY EDUCATION Goal 4: Ensure inclusive and equitable quality education and promote lifelong learning Education- Lockdowns and disruptions in supply Healthcare workers and police Programmes for secondary opportunities for all Career chain and logistics coupled with high personnel were at the forefront of the 1D students especially girls to 1.20 Readiness demand led to a shortfall of life saving crisis, with a high risk of infection. Our stay & complete school GENDER EQUALITY ventilators as early as April 2020. interventions focused on procuring and & Life-skills Goal 5: Achieve gender Responding to this crisis, HDFC distributing over 200,000 personal equality and empower all women and girls donated ventilators to support Delhi, protective equipment for healthcare Nagaland and West Bengal’s workers and police personnel across 5 healthcare efforts in their response to states. COVID-19.
GOOD HEALTH Programmes for prevention, Healthcare- AND WELL-BEING Goal 3: Ensure healthy Further details are available on the hyperlinks: 2A early diagnosis, treatment & Cancer lives and promote well- 13.14 https://www.hdfc.com/sites/default/les/2020-10/htpf-rti-ia-nal_0.pdf care Support being for all at all ages https://www.hdfc.com/sites/default/les/2021-07/htpf-covid-19-2021.pdf
48 HDFC Integrated Report 2020-21 49 CSR Project/ Amount Spent CSR Project/ Amount Spent Sector Sustainable Development Goals (SDG) Sector Sustainable Development Goals (SDG) Activity in FY21 Activity in FY21
Programmes for capacity Programmes for creating ZERO Goal 2: End hunger, achieve CLEAN WATER Goal 6: Ensure availability building of frontline workers HUNGER access to and improvement AMD SANITATION Healthcare- food security and improved Urban and sustainability and access to nutritious food of sustainable sanitation 2B nutrition and promote 6.80 4 management of water and 6.42 & supplements for maternal & Nutrition Sanitation sustainable agriculture services across urban, low sanitation for all child health income settlements
CLEAN WATER GOOD HEALTH Other interventions including AMD SANITATION Goal 6: Ensure availability Healthcare- AND WELL-BEING Goal 3: Ensure healthy lives eye care programmes to and sustainability 2C Other and promote well-being for all 6.21 prevent blindness and management of water and at all ages sanitation for all paediatric surgeries Interventions
AFFORDABLE AND CLEAN Goal 7: Ensure access to ENERGY affordable, reliable, sustainable and modern QUALITY EDUCATION Goal 4: Ensure inclusive and energy for all equitable quality education and promote lifelong learning Programmes for access to Skilling & opportunities for all RESPONSIBLE CONSUMPTION Goal 12: Ensure sustainable social security & entitlements, Livelihoods- AND 3A 5.40 PRODUCTION consumption and production job link support & livelihood Ecological restoration, Migrants DECENT WORK Environmental Goal 8: Promote sustained, patterns opportunities Welfare AND ECONOMIC 5 waste management & 4.89 GROWTH inclusive and sustainable clean energy projects Sustainability economic growth, full and CLIMATE productive employment and ACTION Goal 13: Take urgent action decent work for all to combat climate change and its impacts
QUALITY EDUCATION Goal 4: Ensure inclusive and LIFE Goal 15: Protect, restore and equitable quality education ON LAND promote sustainable use of and promote lifelong learning terrestrial ecosystems, opportunities for all sustainably manage forests, combat desertication, and Programmes for job-linked Skilling & GENDER halt and reverse land skilling & livelihood Livelihoods- EQUALITY Goal 5: Achieve gender degradation and halt 3B enhancement in rural & urban Women equality and empower all 3.08 biodiversity loss locations, focussing primarily focused women and girls on women Livelihoods
DECENT WORK Goal 8: Promote sustained, AND ECONOMIC GROWTH inclusive and sustainable economic growth, full and productive employment and decent work for all
50 HDFC Integrated Report 2020-21 51 CSR Project/ Amount Spent CSR Project/ Amount Spent Sector Sustainable Development Goals (SDG) Sector Sustainable Development Goals (SDG) Activity in FY21 Activity in FY21
Programmes for capacity Programmes for creating ZERO Goal 2: End hunger, achieve CLEAN WATER Goal 6: Ensure availability building of frontline workers HUNGER access to and improvement AMD SANITATION Healthcare- food security and improved Urban and sustainability and access to nutritious food of sustainable sanitation 2B nutrition and promote 6.80 4 management of water and 6.42 & supplements for maternal & Nutrition Sanitation sustainable agriculture services across urban, low sanitation for all child health income settlements
CLEAN WATER GOOD HEALTH Other interventions including AMD SANITATION Goal 6: Ensure availability Healthcare- AND WELL-BEING Goal 3: Ensure healthy lives eye care programmes to and sustainability 2C Other and promote well-being for all 6.21 prevent blindness and management of water and at all ages sanitation for all paediatric surgeries Interventions
AFFORDABLE AND CLEAN Goal 7: Ensure access to ENERGY affordable, reliable, sustainable and modern QUALITY EDUCATION Goal 4: Ensure inclusive and energy for all equitable quality education and promote lifelong learning Programmes for access to Skilling & opportunities for all RESPONSIBLE CONSUMPTION Goal 12: Ensure sustainable social security & entitlements, Livelihoods- AND 3A 5.40 PRODUCTION consumption and production job link support & livelihood Ecological restoration, Migrants DECENT WORK Environmental Goal 8: Promote sustained, patterns opportunities Welfare AND ECONOMIC 5 waste management & 4.89 GROWTH inclusive and sustainable clean energy projects Sustainability economic growth, full and CLIMATE productive employment and ACTION Goal 13: Take urgent action decent work for all to combat climate change and its impacts
QUALITY EDUCATION Goal 4: Ensure inclusive and LIFE Goal 15: Protect, restore and equitable quality education ON LAND promote sustainable use of and promote lifelong learning terrestrial ecosystems, opportunities for all sustainably manage forests, combat desertication, and Programmes for job-linked Skilling & GENDER halt and reverse land skilling & livelihood Livelihoods- EQUALITY Goal 5: Achieve gender degradation and halt 3B enhancement in rural & urban Women equality and empower all 3.08 biodiversity loss locations, focussing primarily focused women and girls on women Livelihoods
DECENT WORK Goal 8: Promote sustained, AND ECONOMIC GROWTH inclusive and sustainable economic growth, full and productive employment and decent work for all
50 HDFC Integrated Report 2020-21 51 CSR Project/ Amount Spent CSR Project/ Amount Spent Sector Sustainable Development Goals (SDG) Sector Sustainable Development Goals (SDG) Activity in FY21 Activity in FY21
GOOD HEALTH NO AND WELL-BEING POVERTY Goal 3: Ensure healthy lives Goal 1: End poverty in all and promote well-being for all its forms everywhere at all ages
Programmes focused on Supporting QUALITY ZERO Goal 2: End hunger, achieve healthcare, education and EDUCATION Goal 4: Ensure inclusive and HUNGER Persons food security and improved 6 livelihoods to improve quality equitable quality education 7.15 nutrition and promote of life for persons with with and promote lifelong learning opportunities for all sustainable agriculture disabilities Disabilities Contribution to PM CARES
DECENT WORK Goal 8: Promote sustained, Fund, preventive and curative GOOD HEALTH AND WELL-BEING AND ECONOMIC inclusive and sustainable healthcare activities and COVID-19 Goal 3: Ensure healthy lives GROWTH 9 76.90 economic growth, full and supplies and community Support and promote well-being for productive employment and based relief activities and aid all at all ages decent work for all to COVID-19 health facilities
DECENT WORK Goal 8: Promote sustained, AND ECONOMIC GROWTH inclusive and sustainable economic growth, full and Supporting programmes on Promotion of SUSTAINABLE productive employment and promotion & development of CITIES AND Goal 11: Make cities and Arts & COMMUNITIES decent work for all 7 traditional art, restoration of human settlements inclusive, 7.80 Heritage buildings and sites of safe, resilient and sustainable REDUCED Restoration INEQUALITIES historical importance Goal 10: Reduce inequality within and among countries
NO POVERTY Goal 1: End poverty in all Administrative Expenses its forms everywhere 10 Others 4.15 Supporting facilities for Community 8 senior citizens and 1.09 Development Total 189.82 women shelters SUSTAINABLE CITIES AND COMMUNITIES Goal 11: Make cities and human settlements inclusive, safe, resilient and sustainable
52 HDFC Integrated Report 2020-21 53 CSR Project/ Amount Spent CSR Project/ Amount Spent Sector Sustainable Development Goals (SDG) Sector Sustainable Development Goals (SDG) Activity in FY21 Activity in FY21
GOOD HEALTH NO AND WELL-BEING POVERTY Goal 3: Ensure healthy lives Goal 1: End poverty in all and promote well-being for all its forms everywhere at all ages
Programmes focused on Supporting QUALITY ZERO Goal 2: End hunger, achieve healthcare, education and EDUCATION Goal 4: Ensure inclusive and HUNGER Persons food security and improved 6 livelihoods to improve quality equitable quality education 7.15 nutrition and promote of life for persons with with and promote lifelong learning opportunities for all sustainable agriculture disabilities Disabilities Contribution to PM CARES
DECENT WORK Goal 8: Promote sustained, Fund, preventive and curative GOOD HEALTH AND WELL-BEING AND ECONOMIC inclusive and sustainable healthcare activities and COVID-19 Goal 3: Ensure healthy lives GROWTH 9 76.90 economic growth, full and supplies and community Support and promote well-being for productive employment and based relief activities and aid all at all ages decent work for all to COVID-19 health facilities
DECENT WORK Goal 8: Promote sustained, AND ECONOMIC GROWTH inclusive and sustainable economic growth, full and Supporting programmes on Promotion of SUSTAINABLE productive employment and promotion & development of CITIES AND Goal 11: Make cities and Arts & COMMUNITIES decent work for all 7 traditional art, restoration of human settlements inclusive, 7.80 Heritage buildings and sites of safe, resilient and sustainable REDUCED Restoration INEQUALITIES historical importance Goal 10: Reduce inequality within and among countries
NO POVERTY Goal 1: End poverty in all Administrative Expenses its forms everywhere 10 Others 4.15 Supporting facilities for Community 8 senior citizens and 1.09 Development Total 189.82 women shelters SUSTAINABLE CITIES AND COMMUNITIES Goal 11: Make cities and human settlements inclusive, safe, resilient and sustainable
52 HDFC Integrated Report 2020-21 53 Hope Begins at Home
Simple steps towards sustainability
Reduce Water Waste Say No to Plastic Being Socially Responsible Being Socially Responsible
54 Conserving Energy Waste Segregation Reduce Water Waste Conserving Energy Hope Begins at Home
Simple steps towards sustainability
Reduce Water Waste Say No to Plastic Being Socially Responsible Being Socially Responsible
54 Conserving Energy Waste Segregation Reduce Water Waste Conserving Energy WITH YOU, RIGHT THROUGH
For queries on the Integrated Report, please contact: [email protected]
Conrad D’Souza: Member of Executive Management & Chief Investor Relations Ofcer
Anjalee Tarapore: General Manager, Management Services & Investor Relations