Our approach to sustainable value creation

We will achieve our purpose through three strategic priorities…

Our material focus areas are achieved by the following strategies…

Business model

We have grown exponentially over the last decade by recording a ten-fold growth in our asset base, from Rs. 10 Bn. in 2010, to surpassing Rs. 100 Bn.

In the current decade, we aspire to become a quarter trillion asset base (Q-TAB) company enabled by our sustainability agenda and tech disruption. In this journey, our purpose is to empower the aspirations of our stakeholders by making luxury affordable and bringing prestige and recognition.

In achieving our purpose, we have continued to adopt a socially, environmentally and economically inclusive approach – which has led sustainability to becoming an inseparable element in our business model. Our sustainability agenda encompasses both social and environmental dimensions. We are committed to leaving behind the least carbon footprint and continuing our carbon neutral status on our journey towards a quarter trillion asset base company.

As a socially impacting organisation, we reach out to the most remote, vulnerable, rural, and base of the pyramid market segments, to ensure financial inclusion, whilst contributing towards a greener economy. Our positioning as a conscientious leader in the financial services industry is strengthened by combining urban funding and rural lending, and being recognised as a net lender to the rural economy. The key verticals under the CDB sustainability agenda are renewable energy-based mobility and household solutions, enabling a shared economy, contribution to biodiversity and conservation, financial inclusion, community impacting initiatives and engaged team members.

Our tech disruption strategy that also encompasses both social and environmental dimensions, complements the CDB sustainability agenda. This enables us to be more resource-efficient by integrating more digital channels and be less dependent on brick-and-mortar distribution.

Our overall strategy and framework position us as a responsible corporate citizen “Empowering Aspirations” across diverse social and geographic boundaries, whilst being true to our purpose and shared values. Our value creation model outlines how we create value for our key stakeholders through our business activities, and the inputs that we rely on to deliver value and meet our strategic objectives.

Supporting Sustainable Development

We believe that business has an important role to play in the achievement of the United Nations Sustainable Development Goals (UN SDGs) and we remain committed to supporting sustainable development. We understand the long-term sustainability of our Organisation is closely intertwined with the futures of stakeholders.

All aspects of our business are entrenched with sustainability principles and our sustainable value creation model remains at the core of our growth strategy. Based on our business model and the stakeholders who are most relevant to us, our sustainability targets support 7 of the 17 SDGs.

Good health and well-being

Provide health-care options, encourage healthy lifestyles and provide decent working conditions.

Healthcare options

• Invested Rs. 62.9 Mn. in CDB Suwasampatha facility to extend healthcare facilities to 279 team members.
• Extended leave in the event of an illness or complication or risk of complications, provided facilities and flexible working hours and developed appropriate family-friendly facilities for team members, which extend beyond compliance.

Decent working conditions

• Maintained zero occupational diseases and work-related fatalities by promoting safe and a conducive work environment.
• Invested Rs. 31.4 Mn. to implement the necessary COVID-19 safety protocols
  to ensure the health and
  well-being of our team members.

Healthy lifestyles

• Child health and well-being “Act early for Autism” Programme
  

  To promote early detection and timely intervention, the Autism Awareness project was launched in collaboration with Sri Lanka Association for Child Development (SLACD) in 2016. A therapeutic play area was constructed in the Ampara District General Hospital and a state-of-the-art “Pragathi” children’s intervention centre was established at the Teaching Hospital, Anuradhapura to promote child health and well-being.

• 26 specialist discussions were held to spread awareness on Autism Specialist Disorder (ASD).
• Invested Rs. 45.4 Mn. to treat and manage severe and critical cases of COVID-19 in Sri Lanka requiring oxygen therapy, ICU admission, and ventilator support.
• “Active Ninja” – In collaboration with the Health and Wellness Unit of the University of Colombo, the employee health and well-being educational programme was continued to provide free medical services, resources and information to raise awareness about health issues and available services.

Quality education

• Provided learning opportunities to all our team members to enhance their knowledge and skills for sustainable development and pursue sustainable lifestyles. The process which is encouraged from the beginning of their journey at CDB is further supported through the e-learning platform and library facilities.
• Rs. 5.5 Mn. was invested in training and development to hone the skills and capabilities of our team members. An average of 52.9 hours of training were given to the team members.
• Rs. 2.1 Mn. was spent on education reimbursements of team members.
• Youth were provided employment opportunities with education support and training opportunities to increase their employability. 324 youth were recruited from outside the Western Province.
• A total of 100 scholarships were granted through Season 13 of the CDB “Sisu Diri” scholarship programme. 709 scholarships have been granted since its launch in 2008.
• Under the CDB Smart Computer Lab project, 13 state-of-the-art smart computer labs were donated to disadvantaged schools, to provide digital education to students in remote areas.

Clean water and sanitation

• Improved water performance and promoted reusing of freshwater through a rainwater harvesting system.
• Shared smart solutions with peers and created awareness of water conservation among team members.
• Created team member awareness on water conservation.

Affordable and clean energy

• As of 31 March 2022, the energy-efficient vehicle lending portfolio of CDB was increased to 22% of the total vehicle portfolio.
• Energy consumption during FY 2021/22 was reduced by 2.3% YoY.
• Created employee awareness on energy reduction and improved energy efficiency in households through competitions.
• Introduced the green branch concept and aims to convert our branches to renewable energy backed locations. We aim to convert six branches to green branches in FY 2022/23 and install roof solar in 16 branches across the island.
• 105 CDB Advance roof solar facilities were approved in the first year of operations.
• Launched a mid-term plan to engage responsibly with the public sector to support the development of well-designed, stable policy frameworks and financing mechanisms to tackle market barriers including providing financial assistance to generate affordable, energy-efficient vehicle technologies in Sri Lanka.

Responsible Consumption and Production

• With our commitment to take decisive steps to achieve climate neutrality and address climate change, we have been a signatory to the UNFCCC Climate Neutral Now Pledge for the fourth consecutive year.
• We continued the carbon footprint calculation, verification and neutralization. This included tracking and reporting waste generated and disposed, energy and water consumption and the GHG calculation through the annual Carbon Footprint analysis. For the seventh consecutive year, we maintained our carbon neutral status by investing in a clean energy project registered under Sri Lanka Carbon Crediting Scheme.
• Created understanding of sustainable management in all operations through the Environment and Social Management System (ESMS).
• The purchasing policy was revamped with sustainable sourcing principles.
• Adoption of UN SDGs through our business model, sustainability strategies, and agenda focused on low carbon growth.
• Raised customer awareness on responsible consumption.
• Invested in improving environmental performance.
• Used tech disruption to complement the sustainability agenda of the Company.
• Our team members were educated on reducing waste and a mindset of responsible waste management was instilled to reduce our environmental footprint.

Life on land

• CDB Green Ninja Ambassadors of the CDB Advance Green Ninja Club conducted activities across the CDB network and the communities to connect people to nature.
• Commemorated important international days and conducted Green Ninja Quiz competition to enhance environmental literacy and create awareness in team members.
• Completed 4th year of the LIFE project, which is a collaboration with Biodiversity Sri Lanka (BSL), International Union for Conservation of Nature (IUCN), the Sri Lanka Forest Department and nine private sector partners to restore rainforest land adjacent to Kanneliya forest reserve.
• Partnered the “Life to Our Mangroves” Project to conserve 25 ha of land in Anawilundawa wetland sanctuary which is one of the 6 RAMSAR wetlands.
• Partnered to conserve 10 acres of Ittapana – Horawala mangrove forest which is one of the most threatened landscapes in Sri Lanka.
• Annual tree planting project, “Plant a tree, plant a life” project was conducted at Horana in partnership with “Reforest Sri Lanka”- One of the largest Non-profit reforesting organisation and the Sri Lanka Institute of Information Technology (SLIIT).
• We continued the paper and e-waste recycling programmes and initiated the CDB Advance Recycling Corner in the head office.

Partnership for the goals

• Please refer sustainability business partners of CDB.

We collaborate with diverse organisations to advance our sustainability commitments and achieve the UN SDGs.

Sustainability Steering Committee Responsibilities

The Sustainability Steering Committee reviews and monitors the performance of the Company, holds periodic meetings with stakeholders to understand their perspectives and identifies and investigates emerging issues. The Committee oversees risk management-related sustainability matters and monitors the status and the effectiveness of the business continuity plan through periodic reports.

Composition of the Sustainability Steering Committee

Best Corporate Citizen Sustainability Award 2021

Ceylon Chamber of Commerce

• Overall First Runner up Award
• Category of 10 Best Corporates Citizens Award
• Category Award Winner of Employee Relations
• Award for Demonstrated Resilient Practices for COVID-19 Context
• Best Presentation Award

National ICT Awards NBQSA 2021

NBQSA - National ICT Awards

• Merit Award – In-house Category

Great Place To Work - Sri Lanka 2021

Great Place to Work - Sri Lanka

• Sri Lanka’s Best Workplaces in the BFSI Industry – Top 10

Great Place To Work - Sri Lanka 2021

Great Place to Work - Sri Lanka

• Leadership in Crisis Award

Great Place To Work - Sri Lanka 2021

Great Place to Work - Sri Lanka

• Top 40 Best Workplaces Award & Certification

CMA Excellence in Integrated Reporting Awards 2021

Institute of Certified Management Accountants of Sri Lanka

• Merit Award

ACCA Sri Lanka Sustainability Reporting Awards 2021

Association of Chartered Certified Accountants

• Runner-up – Finance Services & Insurance Category

National Business Excellence Awards 2021

National Chamber of Commerce

• Winner – Non-Banking Financial Service Sector
• Merit Award - Extra-large Category
• Merit Award – Excellence in Performance Management

ISO/IEC 27001:2013 certification

TUV India Pvt. Ltd

• ISO/IEC 27001: 2013 certified for information security in provisioning of IT operations and Data Center Management

CA Sri Lanka Annual Report Awards 2021

Institute of Chartered Accountants of Sri Lanka (ICASL)

• Bronze Award - Finance companies and leasing companies (total asset above Rs. 20 Bn.) category

South Asian Business Excellence Awards 2021

South Asian Partnership Summit & Business

• Best Finance Institute in Private Sector Award Under Banking, Finance & Insurance Category
• CSR Practice in Community Development Under CSR Category

SLIM Brand Excellence Awards 2021

Sri Lanka Institute of Marketing

• Online Brand of the year – Bronze

ISO 14064-1: 2018 Certification

Sri Lanka Climate Fund (Pvt) Ltd

• ISO 14064-1: 2018 certified for Greenhouse Gas Verification for the seventh consecutive year and certified as a Carbon Neutral business entity