Social and Environmental Capital

Corporate Responsibility

Corporate, social and environmental responsibility is embedded in our values and informs how we conduct business, develop products and services and deliver on our goals and commitments. It underscores our business model, which is based on the truism that for an organisation to create sustainable value for itself, it also has to create value for its stakeholders.

Socio-economic Impacts

The very business of DFCC Bank is development financing. We have, over nearly 60 years, directly and indirectly contributed to the social and economic development of the country at national, provincial and local community level. We pioneered the financing of new economic sectors in the country which are now mainstream businesses with access commercial financing and contribute to the national economy while also creating employment opportunities.

We also provide advisory services and have catalysed the transformation of organisations, locally and internationally. In addition, our understanding and financing of energy efficiency projects have contributed to improved productivity of numerous client organisations.

Our continuing role in nurturing the SME sector, particularly in rural and economically depressed areas, is visible by our local presence. The reach of DBB’s network in relation to the contribution of each province to national GDP indicates a high concentration of DBB service centres in the lower GDP ranked areas.

Rural Presence

Province GDP*
LKR million
% of total
No. of
DBB service
Western 3,643,241 42.0 38 27.7
Southern 954,518 11.0 23 16.8
Sabaragamuwa 526,155 6.1 15 10.9
Central 959,918 11.1 14 10.2
North-Western 887,083 10.2 12 8.8
Eastern 542,905 6.3 11 8.0
North-Central 438,896 5.1 9 6.6
Uva 409,972 4.7 9 6.6
Northern 311,542 3.6 6 4.4
Total 8,674,230 100 137  

*2013 provisional (source: Central Bank Annual Report 2014)

Further, the ratio of our total loans and leases to deposits mobilised, when analysed by regions, shows that DBB is by far, a net transferor of resources to areas that are most under-developed. These indicate our long-term commitment to rural economic development through loan products and services that will stimulate capital formation and employment creation.


Drought Relief

The severe drought lasting almost nine months affected an estimated 1.5 million Sri Lankans with around 700,000 people in need of basic food and livelihood requirements. Three villages in the Anuradhapura, Kaduruwela and Monaragala areas were identified in need of urgent help. Teams from the respective branches visited the villages and provided water tanks and dry rations to help approximately 1,000 families.

Disaster Response

DBB initiated a relief programme to support the victims affected by the Koslanda earthslip. Through our Bandarawela branch, dry rations were handed over to the officials of the Poonagala refugee camp where approximately 2,000 refugees were given shelter.


We encourage staff in branches to engage with local communities through community development projects on a case by case basis.

The DFCC REDS and the Welfare and Recreation Club also engages in community activities. DFCC REDS consist of young recruits in the executive and management trainee cadre. Their involvement in such activities helps to instil team spirit and integrate new blood into the Bank’s culture.


DBB supports numerous events across the country. All sponsorships are approved based on internal policies on eligibility, transparency and due process. About 50% of support has been towards events organised by the business community with whom we have established relationships. The balance has supported local communities, educational and professional institutions and sports events.

Environmental Stewardship

Environmental Management System

As a financial services provider, our impacts on the environment are mostly indirect, arising from the activities of our customers whom we finance or provide products and services to. Being an advocate of environmental protection we have developed an Environmental Management System (EMS) where we encourage our clients, employees and service providers to adopt environmentally and socially responsible practices. The EMS encompasses local and international best practices including those of national laws and regulations and guidelines issued by multilateral agencies.

The direct environmental impacts we address include those associated with materials, energy, waste and transportation.

Resource Consumption

We are committed to reducing our consumption of scarce and non-renewable resources, repairing and reusing equipment where practical, and recycling waste. Our work processes are extensively automated to minimise paper usage and all internal correspondence is electronic. Further, most management meetings are conducted through technological solutions which include video and voice conferencing. Waste paper and hazardous waste are sent to verified recyclers for disposal.

To minimise waste in electricity consumption, all air conditioning systems are calibrated for optimal efficiency while lighting is shifting towards LEDs. Plant and equipment are retrofitted with energy efficient technologies where warranted. Energy labelling is a factor that is taken into consideration when procuring office equipment. These efforts and investments have borne fruit. DBB’s intensity of electrical energy consumption has shown progressive improvement: it was 471 kWh/LKR million of total operating income in 2014/15, compared to 480 kWh/LKR million in 2013/14 and 524 kWh/LKR in 2012/14.

Carbon Footprint

We are reporting our greenhouse gas (GHG) emissions on a voluntary basis for the third consecutive year. We see this as an important step towards greater environmental accountability, as what gets measured gets managed. As before, the boundary is DBB including all branches and offices. Our calculations are based on the WBCSD/WRI Greenhouse Gas Protocol Corporate Standard and the most recent versions of applicable appendices and calculation tools.

Our reporting under Scopes 1 and 2 is complete except for fugitive emissions from air conditioning plants, which are insignificant. Reporting on Scope 3, which is optional, is selective based on significance and data availability.

Carbon Footprint of DBB

Scope Source 2014/15 2013/14
    tCO2e % tCO2e %
Scope 1 (direct) Stationary combustion 11.6 0.5 11.8 0.5
  Mobile combustion 98.4 4.0 238.2 9.8
  Total Scope 1 110.0 4.5 250.0 10.3
Scope 2 (indirect) Purchased electricity (CEB) 885.8 35.8 836.5 34.4
  Total Scopes 1 and 2 995.8 40.3 1,086.5 44.7
Scope 3 (indirect) Stationary combustion. 31.6 1.3 14.6 0.6
  Mobile combustion 0 0 3.2 0.1
  Purchased electricity (CEB) 1,419.2 57.3 1,285.5 52.8
  Employee air travel 28.7 1.2 43.0 1.8
  Total Scope 3 1,479.5 59.8 1,346.3 55.3
  Total Scopes 1, 2 and 3 2.475.4 100.0 2,432.8 100.0


The total GHG emissions of DBB for the year under review amounted to 2,475 tonnes carbon dioxide equivalent (tCO2e), with Scopes 1 and 2 accounting for 40% of the total. The increase in total GHG emissions was a marginal 2% despite growth in the number of branches and business volume.

As to be expected given the nature of our business, indirect GHG emissions from purchased electricity was by far the single largest contributor, accounting for 36% under Scope 2 (consumption in premises financially controlled by DBB) and another 57% share under Scope 3 (consumption in premises not financially controlled by DBB), bringing its total share to 93%.

It is encouraging to note that the intensity of our GHG emissions (all Scopes) decreased once again during the year, from the previous year’s 253 kgCO2e per LKR million to 237 kgCO2e per LKR million of total operating income of DBB, reflecting the success of our efforts in optimising the use of resources.