Arohan Annual Report FY 20-21

Message from the Founder of the Promoters of Arohan Dear Shareholders, Colleagues and Friends, We are pleased to release the Annual Report for FY 2020-21 of Arohan Financial Services Limited, Non-Banking Finance Company – Micro Finance Institution, highlighting our progress over the year. As Group Chairman, I had the unique advantage of a ring-side view of the unfolding challenges during the year and various strategies that made Arohan come out with flying colours amidst the disruption caused by COVID-19. Disruption has a negative connotation but innovative societies all over the world see it as a veritable reset opportunity. At Arohan, we perceived the COVID-led disruption as a signal indicating that the ‘Future is Here’. Our long term vision for Arohan has been to evolve the Company into a new-age technology-enabled digital financial inclusion platform that will enable millions of customers to participate in the economy of the future. We had confidence in the resilience and adaptability of our customers, and the reality of their ‘bottom of the pyramid’ profile only strengthened our resolve. We worked hard over the years and mapped customers’ needs for financial inclusion and built a technology stack that allows our customers to experience a digital journey that seamlessly generate electronic loan applications, digital KYC (Know Your Customer) verification, digital loan approval process and credit of the loan amount into the customer’s bank account. In this way, when theCOVID-19 induceddisruption struck, our customers benefitted from our digital prowess. Even during the most stringent lockdown period of the first six months of FY 2020-21, we were able to engage with our customers and serve them remotely. The last twelve months have demonstrated to our customers the benefits of being part of a digital journey with Arohan, a technologically advanced microfinance institution. Our claim that we are a responsible financial inclusion company was tested to the extreme during such challenging times. Our corporate governance under the leadership of our Independent Chairman and outstanding Independent Directors held us steadfastly accountable toour customers. The ‘BestGoverned Company - Unlisted Segment, Emerging Category’ Award at the 20th ICSI National Awards Annual Report | 2020-2021 4