Catalyzing a Shared Sustainable Future

Namita Vikas,President & Chief Sustainability

Officer

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YES BANK - Outcome of Professional

Entrepreneurship of Dr. Rana

Kapoor the Founder, Managing

Director & CEO and highly

competent top management team

Only ‘Greenfield’ private sector

bank

Emerged as a Full Service

Commercial Bank - 4th Largest

Private Sector bank

Highest Standards of Governance

& Management Framework

Branding - Focus on Service Excellence, Positivity & Growth

Empowering Business through Professional Entrepreneurship

YES BANK: The journey so far…

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Branding - Focus on Service Excellence, Positivity & Growth

Vision

To be recognized as the Best Quality Bank of the world in India by 2015

• To provide a Consistent Superior Banking Experience to all its customers

• To be a long term partner with all stakeholders particularly customers by creating & sharing value

• To be a solid and trusted financial trust mark led by an exceptional top/senior management team

• To build the “Professional’s Bank of India”

Empowering Business through Professional Entrepreneurship

YES BANK: The journey so far…

Vision to become “THE BEST QUALITY BANK OF THE WORLD IN INDIA”4

900 Branches

12,750 employees“The Professionals’

Bank of India”

Advances–$ 16.69 billion* Deposit base–

$20.86 billion*

2,000 ATMs

Balance Sheet–$25.03 billion*

Target RoE : 22- 24%Target RoA : 1.5 – 1.75%

March 2013- On the road to Version 2.0 - 2015

7,024 employees*

*-Stock take 31st March 2013

951 ATMs*

$11.18 billion* $16.69 billion*

$7.84 billion *

430 Branches*

24.8 % *

1.5 % *

Version 2.0

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Vision

To be recognized as the Best Quality Bank of the world in India by 2015

• To provide a Consistent Superior Banking Experience to all its customers

• To be a long term partner with all stakeholders particularly customers by creating & sharing value

• To be a solid and trusted financial trust mark led by an exceptional top/senior management team

• To build the “Professional’s Bank of India”Branding - Focus on Service Excellence, Positivity &

Growth

Empowering Business through Professional EntrepreneurshipA Differentiated Approach

Professional EntrepreneurshipOwner–Manager–Partner Model

Customer Centric ApproachSuperior structuring capabilities leading to client focused solutions

Knowledge BankingFocus on sunrise sectors of the Indian economy

Creative TechnologyDelivery of world-class banking solutions

Service ExcellenceSuperior & Customized products & services

Responsible BankingMainstream sustainability within business Operations

YES BANK: The journey so far…

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Responsible Banking

Vision“YES BANK - Be the Benchmark Financial Institution for

Sustainability”

MissionLink Sustainable Development with stakeholder value creation

through innovative business solutions and services&

Weave sustainability principles into YES BANK’s core business strategy and processes

DeliverablesDeliver Positive socio-environmental Impact—internal and

externalEnhance YBL visibility and influence in sustainability space

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YES BANK Stakeholders

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Leading Board member:•ASSOCHAM•FICCI•CII-ITC•TERI

•Board Member of the UNEP-FI Banking Commission steering Committee•Jointly Developed a Sustainable Finance model with UNEP – FI

•Sustainability Training – Instituting internal practices, external initiatives, new business lines and training/capacity building•The Responsible Times – Connect with employees on sustainable themes a monthly newsletter is circulated called ‘The Responsible Times’•Sustainability Series – A knowledge exchange platform that generates dialogue between employees, sustainability practitioners & social entrepreneurs

•YES COMMUNITY, is the Bank’s community engagement initiative wherein all branches serve as ‘choupal’ or knowledge exchange platform for clients to discuss local social & environmental issues

•Business partners are screened against Bank’s Environment & Social Policy (ESP) which lays down guidelines for business partner selection

•Engages with Civil Society to develop well informed content for internal & external sustainability engagement programs (Volunteering & YES COMMUNITY)•Social Deposit Account, a retail banking product, is an example of partnering with civil society, to develop innovative Banking products

•YES BANK has dedicated teams like Strategic Initiatives & Government Advisory (SIGA) , Government Relationship Management (GRM) & Responsible Banking that specifically manage relations with government bodies through policy advocacy

•Compliant to all RBI & SEBI regulations, directives & notifications•Occasionally collaborates with regulatory authorities to host financial literacy workshops for clients

•Authored numerous publications in partnership with premier academic institutions•Knowledge reports have been authored by various business units

•The Annual Report, the Environmental & Social Policy, Business Updates as well as the Shareholding Pattern as of March 31, 2013 have been uploaded on the YES BANK website (www.yesbank.in)

•Vendor agreement includes a 300 page document that contains YBL stipulated clauses on human rights & ethical business practices

INDUSTRY BODIES

MULTILATERAL ORGANIZATIONS

EMPLOYEES CUSTOMERS & COMMUNITY

BUSINESS PARTNERS

REGULATORSACADEMIAINVESTORS

SUPPLIERS

CIVIL SOCIETY

GOVERNMENT

Approach

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Impacting Environment & society through Innovative solutions

Inclusive & Social Banking

• Approximately 9 million man- hours of productive wage earning time saved•$136.29 million worth transactions in FY2012-13

•Brought financial services to rural households•$3.56 million worth transactions in FY2012-13

•Extended Financial Inclusion to over 72000 households•$1.67 million in savings linked SHGs & $26.03 million in credit linked SHGs

•Impacted 3 million low income borrowers•In FY2012-13, MIAG extended funding to 2 developers & 5 HFCs

IMPACT

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Impacting Environment & society through Innovative solutions

385000 unique Txns

$136.29 million Remitted

16,468 Bank Branches2.13 Million Users

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Inclusive & Social Banking

• Approximately 9 million man- hours of productive wage earning time saved•$136.29 million worth transactions in FY2012-13

•Brought financial services to rural households•$3.56 million worth transactions in FY2012-13

•Extended Financial Inclusion to over 72000 households•$1.67 million in savings linked SHGs & $26.03 million in credit linked SHGs

•Impacted 3 million low income borrowers•In FY2012-13, MIAG extended funding to 2 developers & 5 HFCs

IMPACT

Impacting Environment & society through Innovative solutions

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Proactive investments for Environmental & Social Outcomes

• Sustainable Investment Banking (SIB)– Mainstreaming clean technology, water & waste

management investments– Alternate Energy & Environment Advisory – Social Enterprises & Rural Advisory– Knowledge Banking

• IFC PE Fund for Development of North-East India– Improve economic & social conditions of under-

developed North-East Indian States– Focus Sectors: Tourism & Hospitality, Food &

Agribusiness, Infrastructure, Healthcare, Education & Livelihood Creation and Affordable Housing

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Mainstreaming Sustainability amongst stakeholders

YES COMMUNITY

Sustainability Research Initiatives

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Evangelizing & Influencing

• Environmental, Social & Governance (ESG)– Founder member of Responsible

Investment Research Association(RIRA) to propagate ESG research in Indian context

• Triple Bottom Line Reporting

• Natural Capital Initiative

YES BANK’s Associations

Associated Chambers of Commerce (ASSOCHAM)The Banking Codes and Standards Board of India (BCSBI)Carbon Disclosure Project (CDP)

Clinton Global Initiative (CGI)

Confederation of Indian Industry (CII)

Federation of Indian Chambers of Commerce and Industry (FICCI)Indian Banks’ Association (IBA)

Indian Center for Corporate Social Responsibility (ICCSR)Indian Institute of Corporate Affairs (IICA)

PHD Chamber of Commerce and Industry (PHDCCI)

Responsible Investment Research Association (RIRA)

The Energy Research Institute – Business Council for Sustainable Development (TERI BCSD)

United Nations Environment Program – Finance Initiative (UNEP-FI)

United Nations Global Compact (UNGC)

US India Business Council (USIBC)

World Economic Forum (WEF)

Mainstreaming Sustainability amongst stakeholders

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Adopting Sustainable Best PracticesWithin• Environmental & Social Policy• Environmental Management System• Infrastructure Management• Employee Grievance Redressal – My Voice• Technology Initiatives• War on waste –Reduce, Reuse, Recycle

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Reporting on Sustainable Performance

• United Nations Global Compact (UNGC)– First Signatory in India to the UNGC– Moved from Learner’s platform to GC Active level

• Carbon Disclosure Project (CDP)– One of the first signatories to CDP from India– Maintained its “Band A” position & stood a joint 5th

among 57 Indian organizations in 2012

• Global Reporting Initiative (GRI)• United Nations Environment Programme

Finance Initiative (UNEP FI) – Banking Commission Board member

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• Step towards being Carbon Neutral– Material gifting to environment

friendly platform– To support UNEP’s billion tree

campaign & WWF’s Cities for Forests campaigns planted over 8000 trees & gifted over 2,500 e-certificates on behalf of stakeholders

– An approximate offset of 154.48 tons of carbon

Reporting on Sustainable Performance

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• Employee Engagement– YES i CARE– YES CONNECT– Joy of Giving

• Social Deposit Account• Employee Payroll Giving• YES School of Banking• Project Udaan

– Access to employability in affected states of India

Leveraging Human Capital

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YES FOUNDATION

Build “an Empowered and Equitable India”

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YES FOUNDATION

YES FOUNDATION

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In conclusion

Best Practices in Embedding Sustainability inFinancial Institutions

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THANK YOU

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