L&T Finance Ltd. Joins UN Global Compact, Reinforcing Sustainability Agenda
L&T Finance Ltd. (LTF), a leading Non-Banking Financial Company (NBFC) in India, has taken a significant step by becoming a signatory to the United Nations Global Compact (UNGC), the world's largest corporate sustainability initiative. This move, announced on March 24, 2026, from Mumbai, Maharashtra, marks a pivotal moment in the company's journey to embed environmental, social, and governance (ESG) principles deeply into its business operations and long-term strategy.
Aligning with Global Ethical Standards
By joining the UNGC, LTF aligns itself with a vast network of thousands of companies worldwide committed to responsible business actions aimed at fostering a sustainable future. This commitment publicly reaffirms LTF's dedication to ethical practices, aligning its strategy with the UNGC's Ten Principles covering human rights, labor, environment, and anti-corruption. It reinforces the company's focus on sustainable development goals and long-term value creation for all stakeholders.
Ms. Apurva Rathod, Company Secretary and Chief Sustainability Officer at LTF, emphasized the importance of this milestone, stating, "Becoming a signatory to the UNGC is a significant step in our sustainability journey. It strengthens our commitment to integrating globally recognized principles into our business strategy, enhancing responsible financing practices, and creating value for our stakeholders. This alignment supports our progress toward the Lakshya goals, placing sustainability at the core of our operations."
Commitment to Transparency and Accountability
As part of its participation, LTF will provide annual reports on its progress in implementing the Ten Principles of the Global Compact. These disclosures will be included in the company's annual reporting, ensuring transparency and accountability in its sustainability efforts. This proactive approach underscores LTF's role as a pioneer in the NBFC sector, where it has already undertaken several key initiatives:
- Voluntary assurance for ESG disclosures, making it among the first in the sector to do so.
- A comprehensive Business Impact study based on the True Value methodology.
- Adoption of a Double Materiality approach to meet evolving global expectations.
- Signatory status to the Partnership for Carbon Accounting Financials (PCAF), focusing on measuring and managing financed emissions.
About L&T Finance Ltd. and Its Achievements
L&T Finance Ltd., headquartered in Mumbai, is a prominent NBFC offering a wide range of financial products and services. The company boasts strong credit ratings, including 'AAA' from four domestic agencies and an upgraded "BBB/Stable" long-term rating from S&P Global Ratings as of August 2025. It has also received leadership scores from global ESG rating providers for its sustainability performance.
Notably, LTF has been certified as a Great Place To Work® and has won awards for its CSR project, Digital Sakhi, which promotes women's empowerment and digital inclusion. With over 2.8 crore customers, the company leverages its database to enhance cross-selling and customer focus as part of its Lakshya 2026 plan, aiming to become a top-class, digitally enabled retail finance company with ESG at its core.
Understanding the United Nations Global Compact
The United Nations Global Compact is a global initiative with over 20,000 participants across more than 160 countries. It encourages companies to align their strategies with Ten Principles in key areas and to take actions that support broader societal goals, including the Sustainable Development Goals (SDGs). LTF's membership in this initiative highlights its dedication to contributing to a more sustainable and equitable world through responsible business practices.
