It gives me immense pleasure to present to you our FY25 Integrated
Annual Report. This year will go down in the history of the microfinanceindustry period,
as a defining shaped by multiple internal and external factors unfolding simultaneously.
Our journey has been marked by various challenges, yet each test has strengthened our
resolve, reinforcing the unique and sustainable model we have created. While market
dynamics continue to evolve, our strengths including disciplined execution, a robust
liability profile, and strong governance, equip us to navigate the complexities with
confidence. We believe in the transformative power of financial inclusion as a catalyst
for unlocking economic opportunities.
For the past 26 years, the impact we have created at the grassroots
level is immeasurable, not just in financial terms, but the millions of households we have
touched and the undying spirit of ambition we have helped nurture. At the heart of our
success is our focus on efficiencies, which has enabled us to maintain one of the lowest
lending rates in the industry, driven by our strong operating costs despite challenging
times. These efficiencies reflect the strength of our business model, fostering better
transparency and driving the business forward. We have embraced digital transformation by
integrating AI, automation, and secure systems to streamline operations. From intuitive
apps to faster workflows, our tech-driven approach enhances accuracy and user experience,
thus setting new benchmarks in the microfinance landscape.
Beyond financial strength, our governance and regulatory framework
continue to demonstrate benchmark standards amidst ever-increasing regulatory
requirements. Trust is the cornerstone of our relationship with stakeholders, and we are
committed to maintaining the highest corporate governance standards. We continuously
explore innovative approaches to enhance our resilience and adapt to evolving regulations,
shaping a purposeful and compliant future.
We have successfully navigated four macroeconomic disruptions over the
past 8 years while maintaining robust cross-cycle performance of 3.6% Return on Assets
(RoA) and 14.4% Return on Equity (RoE). This performance reflects our ability to not only
endure but to capitalise on opportunities arising from it. The driving force behind our
progress lies in the dedication and hard work of our 20,970 employees, most of whom
started their professional journey with us. Their passion makes us more than just an
organisation, we are a community driven by a shared purpose.
We are confident that as we transition into the next phase of growth,
our unique qualities will help us build the strong conviction in delivery and
professionalism that define us.
The entrepreneurial spirit of millions of women across the country is a
testament to the strength of our nation. Encouraging women's participation in the
economy is not just an ethical obligation but an economic imperative. I extend my sincere
gratitude to our Board of Directors, esteemed shareholders, regulators, state governments,
andturbulence all other stakeholders for their guidance and support. Let us continue to
move forward with purpose, integrity, and shared commitment to inclusive development.
George Joseph
Chairman & Lead Independent Director