Kotak Bank Reports Stronger ESG Practices & Inclusive Growth: BRSR Report

Kotak Mahindra Bank has shown its commitment to sustainable banking. In its BRSR report for FY25, the bank explained how it is bringing ESG practices into the way it works. The bank is giving more focus on providing loans and investments that support green and responsible projects, sustainable finance, managing risks linked to climate change and making banking more accessible to more people. The bank has also prioritized issues such as lending responsibly, keeping customer data safe, finding ways to lower carbon footprints.

With initiatives like green lending, using renewable power in its offices, and moving towards less paper use by encouraging digital banking, financial literacy programs in which bank teach people how to use digital financial tools. Because of these actions, the bank is producing less emissions. On top of that, the bank has also managed to reduce the amount of energy it uses in its day-to-day work. Also, before providing loan, it checks if the business is environmentally friendly, socially responsible, and follows good governance practices.

The CSR efforts of Kotak Mahindra Bank focused on education, healthcare, livelihood and rural development and has benefited millions of people across the country. Employee engagement is a company’s priority. It gives equal importance to its employee and maintained high training coverage on ESG, ethics, POSH, health and safety, and human rights. The bank also promotes inclusion with a good number of women in its workforce. All employees get 100% benefits and are protected with health insurance, accident cover and maternity benefits.

Kotak Mahindra Bank has been working to make its services more eco friendly by setting up structured grievance redressal, digital tools to track them and solving issues faster.

The bank is targeting for higher international ESG ratings like GRESB and DJSI. It is creating more products that are ESG-aligned, checking its suppliers more closely and planning to cut down its own emissions from scope 1 and scope 2. The bank follows all 9 principles of NGRBC with policies approved by the Borad. No fraud, unfair competition or corruption were reported.  

The Chairman’s statement underscores a vision of “Banking for a Sustainable Tomorrow”, which means growing in an eco-friendly way, including more people in financial system and stay strong against climate change.

Highlights

Energy: Reduction in energy usage through renewable adoption and efficiency measures (solar in select branches, LED retrofits).

Water: Water conservation through efficient usage in offices and awareness campaigns; STPs deployed at larger premises.

GHG Emissions: Decline in Scope 2 emissions with renewable energy procurement; Scope 1 under monitoring from own operations.

Waste: E-waste and paper waste responsibly recycled via authorized vendors; digitalization drives paperless banking.

Air Emissions: It is low due to service-sector, it is managed by using clean energy.

Initiatives: Providing loans for green projects, offering finance linked to ESG goals, reducing usage of paper, making offices more energy efficien, CSR programs in rural India, and strong supplier Code of Conduct.