ESG

ESG Policy

DFCC Bank has reinforced its commitment to sustainability by formulating its ESG policy. This policy serves as a strategic framework guiding the Bank’s operations, decision making and stakeholder engagement. The ESG policy outlines key priorities, including responsible financing, environment risk management, ethical governance and methodologies to ensure effective oversight of ESG aspects by the Board of Directors and Senior Management.

ESG Policy

Sustainability Governance Structure

DFCC Bank’s sustainability initiatives are overseen by the Board of Directors and the Executive Sustainability Management Committee (ESMC). This governance structure ensures that sustainability objectives are aligned with the Bank’s strategic priorities and financial goals.

Environmental and Social Management System (ESMS)

ESMS is a set of policies, procedures, tools, and internal capabilities designed to identify and manage the Bank’s exposure to Environmental and Social (E&S) risks associated with its clients. DFCC Bank’s ESMS, which was developed in 2016, is implemented by the Sustainability Unit.

Since 2020, the following activities have been initiated for all term loans exceeding LKR 25m:

• Conducting environmental and social risk categoriszation during the project appraisal. This serves as a useful indicator for loan approving authorities and a decision tool on the level of environmental and social impact monitoring required for each transaction.

• Commenting on the environmental and social aspects in appraisal reports by the Sustainability Unit for the benefit of approving authorities

• Monitoring of the environmental and social aspects of all approved loans by the Sustainability Unit during the entire loan tenure.

The implementation of the ESMS also aligns with Principle 1 of the 11 Sustainable Banking Principles set forth by the Sri Lanka Banks’ Association’s Sustainable Banking Initiative (SBI).

Gender Diversity, Equity & Inclusion (DEI)

DFCC Bank is committed to fostering an inclusive environment where all stakeholders are treated with equity and with respect. DEI was formally adopted in 2022, through the introduction of the DEI Policy, underscoring our commitment to social responsibility and an ethical, productive workplace culture. As part of this commitment, we actively seek to provide opportunities for individuals with disabilities wherever possible

To Employees

DFCC Bank is an equal opportunity employer. The Bank has in place / provides the following to its employees, about gender and inclusion:

• Gender sensitisation programs

• Provision of training to all staff members regardless of their gender or any other divisive factors

• Targeted leadership development programs for female staff

• Holding women empowerment programs

• A secure work culture through a secure employment / anti-harassment policy

  • Reach-out Committee – a cross functional committee comprised of female staff exclusively to address the concerns of female employees

  • Grievance Committee – Comprises cross functional staff with a gender mix

• Listening wall

• Health and Wellness activities – some targeted explicitly at female employees

• A formal whistle blowing policy

• Flexible working arrangements during the on-going pandemic – Pregnant staff are given Work from Home (WFH) / Special Leave options throughout the period of their pregnancy

DFCC Bank, through its efforts to create an inclusive and participatory work environment, has been recognised as one of Sri Lanka’s Top 10 Women-Friendly Workplaces at the first-ever Women-Friendly Workplace Awards (WFWP Awards) in November 2021, jointly pioneered by CIMA Sri Lanka and Satynmag.com. The awards program highlights the significance of women's roles in workplaces across Sri Lanka and underscores the nation’s commitment to Sustainable Development Goal 5 – Gender Equality. The awards program aims to pave the way for the betterment and enrichment of gender-inclusive workplaces, ensuring equal opportunities for all employees regardless of gender.

Product offerings to Women

• “Aloka” – An exclusive Women’s Savings Product launched in December 2021

• Special emphasis on lending to women under credit lines

• 35% – 40% of loans granted by the Bank’s MSME unit (both number and value of loans) have been made to women entrepreneurs.

Empowering Female Entrepreneurs

• Conducting customised knowledge enhancement programs in identified sectors to empower and educate women in entrepreneurship

Success stories of women entrepreneurs funded by DFCC Bank

Mrs. Indrani Fernando – Managing Director/ Chairperson of New Philip Hospitals (Pvt) Ltd.

New Philip Hospitals (Pvt) Ltd. (NPH) is a limited liability company governed by a Board of Directors comprising Dr. M.L.C. Fernando, Mrs. K.M.I. Fernando (Chairperson) and their children. The origins of the institution date back to the 1970s, when the late Dr. Leo Fernando, father of Dr. M.L.C. Fernando, established the facility under the name Philip Nursing Home.

Initially operating as a nursing home for approximately 15 years, the business experienced a period of decline following Dr. Leo Fernando’s passing in the 1980s. In 1994, Mrs. Indrani Fernando, a seasoned entrepreneur, joined the venture and assumed responsibility for its administration. Recognising its potential, she acquired the remaining shares owned by Dr. Leo Fernando’s daughter, thereby becoming a co-owner of the institution alongside Dr. M.L.C. Fernando.

Under their joint leadership, the organisation evolved into a premier private healthcare institution in the Kalutara district. In 1994, operations were formally relaunched with a renewed focus on delivering high-quality healthcare services to the region. The institution was renamed New Philip Hospitals (Pvt) Ltd. in early 2001. A major modernisation project received approval from the Board of Investment of Sri Lanka (BOI) in 2002, and hospital construction commenced that same year. Since its inception, DFCC Bank has served as the primary financial partner, having financed the initial development project in 1994.

Today, NPH is a fully equipped modern medical facility and the market leader in medical channelling services within the region. The hospital has a current bed capacity of 50 and handles approximately 300 outpatient visits daily. It operates 24 hours a day, 365 days a year, with a skilled workforce of over 250 employees. This includes a panel of 25 visiting consultants, 4 full-time and 17–21 part-time medical officers.

At present, the services the hospital is providing to patients includes OPD, Dermatology, ETU, Dental surgery, Pharmacy, Haematology, 4D scans, EEG/ECG/CTG, Fully automated laboratory services,  Ambulance,  Ultrasound scanning facilities,  Eye unit,  Obstetrics and Gynaecology,  Operating theatre,  Labour room,  Diabetic clinic, Ophthalmology, Immunization services,  Premature baby unit,  Medical wards, Orthopaedic Surgery,  Anaesthesiology,  2D Echo,  Fertility centre, Pathology,  Emergency medicine,  Exercise ECG,  Kidney dialysis unit, Pediatrics/Pediatric ward,  General Medicine,  X-Ray, Laparoscopic unit, Radiology,  General surgery,  Physiotherapy unit, ENT, ICU and Channelled Consultations etc.

Profile of Managing Director/ Chairperson Mrs. Indrani Fernando

Mrs. Indrani Fernando is a distinguished entrepreneur and the current Chairperson and Managing Director of New Philip Hospitals (Pvt) Ltd. She played a decisive role in acquiring the remaining ownership of the former Philip Nursing Home in 1994, which paved the way for the hospital's transformation and expansion.

Coming from a respected family background, Mrs. Fernando is the daughter of a former director of the Browns Group of Companies. She is a member of the British Management Association and possesses over three decades of experience in business management.

Her daily presence at the hospital underscores her hands-on approach to operations and strategic leadership. Her expertise spans management, marketing, and public relations, making her an integral figure in the hospital’s growth and service excellence. She also served as a Council Member of the Private Health Services Regulatory Council under the Ministry of Health Care and Nutrition.

In recognition of her contributions to the nation and the healthcare sector, Mrs. Fernando has received two prestigious National Honours and several other accolades.

She has won several awards which are mentioned below.

Two National Honors were awarded to her for the contribution made to the nation.

• National Honours – Deshamanya

• National Honours – Lanka Maatha

• “Zonta” International Award for “Woman Entrepreneur for the Year 2004 and 2005

• “Woman Entrepreneur of the Year 2005 – Large Category – Chamber of Industry and Commerce –

• Business Excellence award for Year 2007/2008 – Large Category from Kalutara District Ceylon Chamber of Commerce, Industry and Agriculture

• Best Woman Entrepreneur for the Year 2007/2008 – Large category from Kalutara District, Ceylon Chamber of Commerce, Industry and Agriculture.

• Woman Entrepreneur of the Year 2009- Women’s Chamber of Industry and Commerce

• Woman Entrepreneur of the Year 2009 – Gold Award Large Category – Women’s Chamber of Industry and Commerce

• Western Province Bronze Award for the winner for Year 2010 – Large category, Business- Federation of Chamber of Commerce and Industry of Sri Lanka

• National Bronze Award winner for year 2010 – Large category business – Federation of Cchambers of Ccommerce and Jindustry of Sri Lanka.

• Liyaabhimanee Award 2011 – Ministry of Child Development and Women’s Affairs – for the contribution made to the health sector.

Mrs Chamika Sugandhi Wanniarachchi – Manufacturing of confectionery products

Mrs. Chamika Sugandhi Wanniarachchi was once a full-time homemaker. Her journey into entrepreneurship began modestly when she prepared sesame rolls for a neighbour’s almsgiving and received praise for the exceptional taste and quality of her food. Encouraged by this feedback, she began producing sesame rolls as a small-scale business and secured an initial distribution arrangement with a well-known local bakery.

To enhance her skills, Mrs. Wanniarachchi participated in training programmes conducted by the Divisional Secretariat, which enabled her to diversify into a broader range of confectionery products. As her business began to grow, she recognised the need to scale up operations and approached DFCC Bank to obtain financial assistance for the purchase of machinery and the relocation of her business to a more suitable facility.

In 2019, DFCC Bank’s MSME (Micro, Small, and Medium Enterprises) officer approved her first loan of LKR 450,000. She utilised the funds effectively, increasing her production capacity and improving overall operational efficiency.

Six years into her entrepreneurial journey, Mrs. Wanniarachchi now employs seven individuals—most of them women from the local community—and generates monthly sales exceeding LKR 1 million. Her longstanding relationship with DFCC Bank has since expanded to include a current account, a LKR 25,000 credit card, a LKR 32,000 AIA Insurance policy, and employee savings accounts. She has also recently applied for an additional MSME loan of LKR 1 million to finance the purchase of new machinery, supporting her continued expansion.

In Her Own Words

“I started this business with just 1 kilogram of sesame and the support of my family. Initially, all production was done manually. Over time, I gradually introduced machinery into the process. My first customer was a reputed local bakery, and after a year, I began distributing to well-known supermarkets as well.

Today, I employ seven people and supply a wide range of confectionery products. My journey has not been without challenges, but anyone can grow if they identify their strengths, stay committed, and continue learning.

As a woman, running your own business also allows you to balance your professional life with family responsibilities, which strengthens family relationships.

I am deeply grateful to everyone who supported me on this journey—especially DFCC Bank—for their friendly, professional, and unwavering support.”