Midland Microfin: Pioneering Sustainable Microfinance with an ESG Vision

Amitesh Kumar, COO & CFO, Midland Microfin Ltd

Microfinance, as exemplified by Midland Microfin Ltd. (MML), serves as a cornerstone in fostering socio-economic empowerment among marginalised communities. MML's journey is defined by its unwavering dedication to principles of compassion, responsibility, and innovation. 


Over the past decade, MML has undertaken significant strides, extending its reach across diverse regions of India, with a primary focus on underserved populations. Through a steadfast commitment to sustainability, social responsibility, and unwavering integrity, MML not only achieves success but also sets a standard for excellence in the microfinance sector.

A Decade of Phenomenal Growth

Over the last decade, Midland Microfin Ltd. (MML) has witnessed a remarkable surge, with its footprint extending across 429 branches across 12 states and 2 Union Territories. With assets surpassing Rs. 2,500 Crores, meticulously managed, MML's reach now spans the vast expanse of India. Leveraging technologically-driven financial services, MML has not only catalysed the elevation of income levels but has also facilitated improved access to crucial sectors such as education and healthcare, thereby illuminating a path towards a more promising future for underserved communities.

Pioneering ESG Leadership

In an era where the ESG (Environmental, Social, and Governance) ethos has risen to prominence, the trajectory of MML stands as a testament to visionary leadership. Preceding the mainstream adoption of ESG principles in the financial and sustainability realms, MML had been steadfastly adhering to these foundational principles.


For MML, the ascent of ESG principles wasn't a newfound revelation; it served as a reaffirmation of deeply ingrained values. Beyond mere financial success, ESG embodies MML's enduring dedication to effecting profound social and environmental change while upholding the utmost standards of ethics and governance.

Spearheading Sustainable Financing

MML demonstrates a steadfast commitment to environmental sustainability, marked by tangible actions aimed at reducing energy consumption and mitigating ecological impact across its operations. The organisation actively implements initiatives such as solar power systems at its branches, embracing renewable energy adoption. Additionally, MML employs energy-efficient technologies and effective waste management practices to minimise its environmental footprint.


Furthermore, MML's dedication to financing environmental impact is exemplified through its Water, Sanitation, and Hygiene (WASH) loan initiatives. These efforts empower communities to access essential resources for sustainable living, extending beyond traditional microfinance.


Through innovative products like solar lanterns, water purifiers, and energy-efficient appliances, MML has significantly curtailed greenhouse gas emissions by an impressive 21,479 tonnes. Moreover, its initiatives in renewable energy generation contribute substantially to climate change mitigation.


Remarkably, these endeavours directly empower over 3.6 lakh households with access to clean energy, setting a precedent for sustainable development within the microfinance industry.

Fostering Economic Empowerment Through Technological Advancement

In a strategic move aimed at fostering economic self-sufficiency, Midland embarked on the innovative "Digital Didi" campaign, acknowledging the indispensable role of financial literacy and digital empowerment. This pioneering initiative seeks to narrow the digital gap prevalent among marginalised communities by imparting essential digital skills and knowledge.


Central to the campaign's objectives is the enhancement of digital payment proficiency among our members, facilitating their journey towards financial autonomy through comprehensive digital literacy programs. Moreover, "Digital Didi" serves as a platform for knowledge dissemination within communities, fostering a culture of information sharing and collaboration.


Midland Microfin Ltd. recognises that digital literacy is a cornerstone for expanding access to a diverse array of financial services, thereby aligning seamlessly with its overarching mission to uplift underserved communities and promote financial inclusion.

Pioneering Social Responsibility: Exemplifying Ethical Principles

At Midland Microfin Ltd. (MML), their dedication to social responsibility extends far beyond conventional financial services, embodying a deeply entrenched ethos that has guided their actions since inception. With a customer base exceeding 900,000, predominantly composed of women, they embark on a mission to enhance their quality of life by empowering them to establish income-generating enterprises.


In their relentless pursuit of societal betterment, MML forges robust bonds with local communities through multifaceted initiatives. These encompass promoting women's empowerment, fostering financial inclusion, spearheading environmentally sustainable endeavours, and nurturing skill development programs.


Furthermore, through their participation in the Reserve Bank of India's Depositor Education and Awareness initiatives, MML ensures the holistic well-being of their stakeholders. Notably, their flagship project entails the distribution of sanitary napkins, a cornerstone in their commitment to female hygiene and environmental stewardship through the utilisation of recyclable, biodegradable materials.


Collaborations with esteemed partners like Micro Energy Credit have enabled MML to pioneer clean energy lending programs, empowering their clientele to embrace sustainable energy solutions in their journey towards socioeconomic upliftment.


Moreover, safeguarding the privacy and data security of their stakeholders remains paramount for MML, enhancing the credibility and efficacy of their offerings. Embracing digitisation and promoting cashless transactions not only streamline their operations but also advance their vision of fostering sustainability across all facets of their operations.

Exemplary Governance Standards

Midland Microfin Ltd. (MML) upholds a steadfast commitment to transparent and accountable governance, recognising its fundamental importance in fostering trust and credibility. With an unwavering dedication to ethical conduct, MML ensures that its operations adhere to the highest standards of integrity and accountability.


A robust system is in place to address grievances raised by stakeholders promptly and effectively, underscoring MML's commitment to listening to and addressing the concerns of all parties involved.


Diversity and inclusivity are integral values embedded within MML's organisational culture. The inclusion of an independent woman director on the leadership team reflects MML's dedication to fostering diverse perspectives and ensuring equitable representation at the highest levels of decision-making.


MML places paramount importance on comprehensive risk management, underpinned by a well-structured policy framework and robust business continuity and disaster recovery plans. These measures serve to safeguard MML's operations and ensure resilience in the face of unforeseen challenges.


Investing in the ongoing training and development of its workforce is a cornerstone of MML's approach to governance. Through continuous education on company policies and stakeholder engagement mechanisms, MML empowers its employees to navigate ethical complexities with clarity and confidence, fostering a culture of ethical excellence throughout the organisation.

Charting the Path Ahead

As Midland Microfin Ltd. (MML) looks to the future, its trajectory is guided by a steadfast commitment to ESG principles and the United Nations' Sustainable Development Goals. Envisioning a future characterised by sustainability, inclusivity, and prosperity for all, MML is poised to take decisive actions to realise this vision.


Embracing initiatives to reduce emissions from buildings and track emissions specific to the finance function, MML aims to make meaningful contributions to reducing greenhouse gas emissions. Collaborating with national and international institutions, MML will invest in various ESG initiatives, including expanding solar power generation, improving e-waste management, adopting digital solutions, and promoting emissions reduction through E-bikes.


In line with its commitment to diversity, MML will actively promote increased representation of women and differently-abled employees. Additionally, plans are underway to launch more sustainable loan products for green deposits, further enhancing stakeholder value. Strengthening its risk management approach, MML will conduct thorough physical and transition risk assessments to mitigate potential risks effectively.


To solidify its commitment to ESG principles, MML will implement a robust governance framework and conduct significant impact assessments. Embracing digital repayment collection to reduce paper usage, MML seeks to contribute to a greener future while fostering financial literacy among participants and offering complementary health check initiatives to all employees.


In its pursuit of advancing various ESG facets, MML will implement an advanced feedback mechanism to align its trajectory with evolving sustainability standards. This data-driven approach will prioritise different sustainability goals and track ROI, and performance against them, ensuring that every action contributes to a more equitable and sustainable world.


MML's journey epitomises the transformative power of vision, commitment, and values. As more than just a microfinance institution, MML stands as a beacon of hope, driving positive change and demonstrating the profound impact that responsible microfinance can have on a global scale.


The Journey Into Industry



Mr. Amitesh Kumar is a dynamic leader in the microfinance sector, boasting over 15 years of diverse experience in Business Development, Fundraising, and Operations Management. Currently serving as the Chief Operating Officer and Chief Financial Officer at Midland Microfin Ltd, he demonstrates exemplary skills in strategic financial management, revenue expansion, and retail banking operations. With a proven track record of delivering consistent business results, Mr. Kumar excels in employee retention, portfolio management, and training & development initiatives.


During his tenure at Midland Microfin Ltd, he has spearheaded various strategic initiatives, contributing to the company's growth and success. His previous roles as Executive Vice President and Senior Vice President underscore his adept leadership and application of sound management practices. Before joining Midland Microfin Ltd, Mr. Kumar held key positions at Bharat Financial Inclusion Limited, a subsidiary of IndusInd Bank Ltd., where he honed his expertise in operations management and microfinance business.


Mr. Amitesh Kumar's strategic vision, coupled with his exceptional people management skills, makes him a valuable asset in driving organizational success and fostering sustainable growth in the microfinance industry.