18008437200(Client Grievance Redressal Toll-free Number)
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18008437200(Client Grievance Redressal Toll-free Number)
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Social Performance Management

Annapurna understands the importance of social development along with financial development and for the same reason the organization has social performance management inculcated in its DNA. Besides the company’s flagship microfinance programme, social development is also an integral part of the company, and in order to sustain its commitment towards sustainable development the organization has a Social Performance Management Department.

Annapurna conducts its work in socially responsible, ethical and transparent manner to demonstrate commitment and respect towards all stakeholders including clients, employees, and their family. Its mission and vision is motivated towards social and financial development of communities.

Universal Standards of SPM

  1. Defining and monitoring of social goals
  2. Ensure Board, Management, and Employee Commitment to Social Goals
  3. Design products, services, delivery models, and channels that meet Client’s Needs and Preferences
  4. Treat clients responsibly
  5. Treat Employees responsibly
  6. Balance Social and Financial Performance.


US I: Defining and Monitoring of Social Goals


Social Goals

  1. To provide micro loans to those household which are identified as family Below Poverty Line.
  2. To cater microfinance service for special category of individual i.e. Widow, transgender and Persons with Disabilities etc.
  3. To provide financial assistance to Schedule Castes, Schedule Tribes and to other minority class.
  4. To provide micro loan for health & sanitation purpose for the betterment of their social life.


US II: Ensure Board, Management, and Employee Commitment to Social Goals


  • AMPL has a strong board with eminent members. Three amongst the 9 Board members are independent directors and two of the board members arewomen.
  • An independent director chairs the audit committee and it comprises of a nominee director too.
  • SPM committee comprises of four members including one independent director.
  • Quarterly SPM report is presented to the SPM committee in Board meeting. The quarterly presentation to the Board contains a section on compliance to the Fair Practices Code.
  • AMPL has adopted the Unified Code of Conduct by Sa-Dhan& MFIN, customized that as per its mission, vision, values and displayed in all branches &at Head Office. The Code of Conduct has been approved by the board. The Board also constantly reviews the code to ensure it is fully aligned with regulatory requirements.
  • Code of Conduct Assessment (COCA) on May 2015 by Access Assist: Grade A and Average Score is 3.44 out of 4.00. The score has increased from 3.06 in the year 2013 to 3.44 in the year 2015.
  • AMPL has also been evaluated by Social Rating agencies. Microfinanza has assigned the rating of A-.


US III: Treat Clients responsibly

Annapurna received the Smart Campaign Certification for Client Protection Principles in April 2016. Smart Microfinance encompasses core Client Protection Principles to help microfinance institutions practice good ethics and smart business. The Client Protection Principles are the minimum standards that clients should expect to receive when doing business with a microfinance institution. The providers of financial services should adhere to these core principles:

Appropriate Product Design & Delivery.
For our clients, based onbaseline surveys and market demand surveys

Prevention of Over-Indebtedness.
The company conducts a Credit bureau (Highmark/Equifax) check before lending loan. It also discloses pricing of the loan and other charges to clients in vernacular language. There is a robust internal audit mechanism and loan utilization check aimed at preventing over-indebtedness.

Detailed information on pricing, terms and conditions of products, loan repayment schedule, etc. is provided to the group with all documents in vernacular language.

Responsible Pricing
Pricing, terms and conditions are set in a way that is affordable to clients while allowing for company’s sustainability. Keeping this in consideration, interest rates are within the prescribed regulatory norm with 1% processing fee and insurance charges payable to insurance company.

Fair and Respectful Treatments of Clients
Annapurna treats its clients fairly and respectfully. It ensures adequate safeguards to detect and correct corruption as well as aggressive or abusive treatment by the staff and agents. To keep this in check Annapurna follows Code of Conduct which is linked with staff incentive as well.

Privacy of clients data
The privacy of individual client data is respected and only used for the purposes specified at the time the information is collected or as permitted by law, unless otherwise agreed with the client. The clause on data sharing with credit bureaus is added to the loan contract.

Mechanisms for complaint resolution
Annapurna has timely and responsive mechanism for complaints and problem resolution for the clients. It is used both to resolve individual problems and to improve the products and services. The complaint resolution process is displayed in all branches, along with the contact information of the Grievance Redressal officer, MFIN Toll free number, and Contact number of RBI.

Apart from the above mentioned core principles, Annapurna also practices the following to treat its Clients responsibly.

  • Insurance coverage is provided to the clients by AMPL in partnership with Bajaj Allianz Insurance
  • Receipt of all transactions provided, and all charges clearly mentioned in vernacular language on loan card and pass book.
  • A confirmation call to check the status of disbursement is done.
  • No discrimination on the basis of caste, gender, religion and disability.
  • KYC as per RBI guidelines. No penalty for either delay or prepayment of loans.
  • Acknowledgement for loan application is provided to clients
  • Exit interview for clients is done. AMPL has designed a formal exit interview form.

Client Grievance Redressal

  • AMPL has established a customer care toll-free helpline(18003456706) and suggestion boxes at the branches for clients to record their complaints.
  • AMPL’s helpline number is printed on all client passbooks and also displayed at the branches.
  • AMPL’s website also provides contact details for grievance resolution (phone and e-mail).
  • AMPL has designated its Head of Audit as a Grievance Redressal Officer whose contact number and email id is printed on all client passbooks. (Along with MFIN and RBI)
  • Random client verification by call is done by a set of tele callers, to verify disbursement, and check for client awareness about products and services, and complaints, if any.

Model for Client Grievance Redressal


Financial Literacy Trainings

Financial Literacy training programs are followed by SWASTH (Safe Water and Sanitation To Households) awareness programs.

Capacity Building trainings – Awareness Programs

Capacity building trainings and awareness programs are organized for our clients to promote income generating activities. Like, mushroom cultivation, incense stick rolling, phenyl making, washing powder making, etc.

US IV: Treat Employees Responsibly

  • No discrimination policy while hiring of employees on caste, gender, religion and disability.
  • HR Help Deskfor all our employees in order to address HR related queries & employee grievances.
  • Harassment Resolution Cell to address issues related to work place harassment
  • The human resource practices in terms of staff welfare like covering staff with ESIC, PF and gratuity exists. Medical insurance is also provided by our partner Oriental Insurance Company Limited.
  • Compensatory leave is also given to staff in lieu of Sundays that they work
  • Women Ambassador look after medical need of female employees
  • Field staffs are provided rent free accommodation with separate arrangements for female staff.
  • Maternity as well as Paternity leave policy exists.
  • Transparent and professional governance to ensure that staff is oriented and trained to put Code of Conduct in practice.
  • Capacity Building Training on Time Management, SPM, Fair and Respectful Treatment of Clients, Finance for Non-financeManagers etc.
  • AMPL does not have the policy or practice of recovering any shortfalls of clients from its employees.
  • Staff exit interview conducted for all the staff.
  • Celebration of Festivals in office premises like Diwali, Christmas, Ganesh Puja among others.

Trainings provided to Employees

Trainings on various subjects are provided to the employees. Some such trainings have been organized on Responsible Lending Practices, Finance training, Client Outcome Program, Work Life Balance, etc.

US V: Design Product and Services as per Clients Need

Products and services at Annapurna are designed as per the needs and preferences of our clients. The following procedure is practiced at the time of designing of products and services:

  • Market Research: Baseline surveys and market demand surveys for various products are undertaken to find out the needs of target clients and product refinement.
  • Client Feedback: A comprehensive client feedback form is used by internal auditors to record feedback which is analyzed and is used for improvement of products and services. The report is also presented quarterly to SPM committee.
  • Client Satisfaction Survey: It is an annual exercise conducted to find out the quality of services provided. To understand client’s needs to contribute in development of new products.
  • Annual Impact Assessment is conducted.
  • Appropriate Loan Products

Environment Conservation

  • Annapurna has developed its own Environment policy which is in convergence with IFC exclusion list.
  • In its core financial activity Annapurna supports only those micro-enterprises which do not pose any environment, health and safety issues.
  • Promotes Use of Toilets and Discourages Open Defecation, a health awareness drive has been initiated towards safe water and sanitation.
  • Annapurna’s all employees signed a resolution to save paper. Annapurna has also made commitments to increase access to renewable energy for lighting and safe sanitation and water for its clients.
  • Annapurna Promotes energy efficient devices:Annapurna has launched solar home appliances
  • Promote Alternate Crop Production: AMPL in convergence with Peoples Forum, mother NGO, promotes alternate crop production.


US VI: Balancing Social and Financial Performance

Annapurna Microfinance always works to realize its social goals and for the same it implements social tools which ensures inclusion of communities with low income. The organization has introduced use of Progress out of Poverty Index (PPI) tool to define the target segments. PPI indicators are included in the loan application form and SHG registration form whose score is used to classify and reach target clients. Client satisfaction survey is conducted to find out the quality of services provided, and to understand their need and contribute in development of new products. Focused market research is conducted to recognize the demand for smaller loan size to support poor households. Staff training on Client protection principles and Fair practice code is organized on regular interval to be a responsible lender. As a part of monitoring, the company has an internal audit department to find gaps and contribute in refining the process. The organization has endorsed the SMART campaign and offer range of products to the clients after careful consideration of their credit worthiness and financial needs. Annapurna adheres to the principle of client protection by observing the principle of over indebtedness. The importance of Grievance Redressal is well understood by the organization and for the same it is displaced at each branch in vernacular language.

Activities for Social and Inclusive Development
The organization undertakes activities for economic and social development of communities who are at the bottom of pyramid and provide them opportunities to use their talent and willingness to overcome the cycle of poverty. The following activities are promoted to have an inclusive development.

Promoting gender equality and empowering women:
To bring respect, recognition, legitimacy, and confidence among women who are the most deserving but lack opportunities, Annapurna work for their upliftment and provide them opportunities through Self Help Group formation.

Training & Capacity Building:
Annapurna organizes training programme for clients to build their capacity for community development through financial literacy programme, career counselling, training on income generating activities like mushroom cultivation, masonry, weaving, coir making and build awareness on various issues like health, sanitation, family planning, and women empowerment. Trainings as per the need of employees like time management, code of conduct and fair practice, responsible lending, social performance is organized time-to-time.

Product for Persons with disability (PwD):
Annapurna has always worked in tandem with the vision of empowering and providing opportunities to PwD clients. For better communication and understanding of its activities and products available for the betterment of communities, video tutorial useful for both PwD and general clients has been developed.

Education loan product provides opportunities to bright students to continue and complete their education. Currently the focus is on short term job oriented products, which provide skill and other training and provide employment.

Micro-Enterprise Development: 
Annapurna invests in developing entrepreneurs as poor people have high potential and willingness to overcome poverty. We provide loan for micro-enterprise and support our client by providing training related to income generating activities.

Financial Literacy Trainings
Financial Literacy training programs are followed by SWASTH (Safe Water and Sanitation To Households) awareness programs.

Capacity Building trainings – Awareness Programs
Capacity building trainings and awareness programs are organized for our clients to promote income generating activities. Like, mushroom cultivation, incense stick rolling, phenyl making, washing powder making, etc.






Madhya Pradesh







Mansa Sangrur Gidderbaha

West Bengal