Triple Bottom Line: A Sustainable Business Model for NBFCs

How NBFCs are adopting the Triple Bottom Line framework to balance social, environmental, and financial goals.

What is the Triple Bottom Line?

The Triple Bottom Line focuses on three Ps: Profit, People, and Planet, emphasizing holistic business growth.

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Profit: Financial performance. People: Social responsibility. Planet: Sustainable environmental practices.

3Ps of Triple Bottom Line

TBL encourages NBFCs to adopt sustainable methods, supporting small businesses, agriculture, and eco-friendly loans.

Benefits #1 - Sustainability

Triple Bottom Line improves accountability in NBFCs, ensuring better reporting and reduced energy consumption.

Benefits #2 - Transparency

A healthier, purpose-driven work environment helps NBFCs retain skilled employees and boost workplace satisfaction.

Benefits #3 - Employee Retention

It’s easy to track profits, but measuring social and environmental outcomes in concrete terms remains difficult.

Challenge #1 - Measuring Impact

Sustainability initiatives can lead to higher costs, affecting affordability for consumers and budgets for NBFCs.

Challenge #2 - High Costs

NBFCs struggle to maintain profitability while adhering to Triple Bottom Line principles for long-term benefits.

Challenge #3 - Balancing Profit and Purpose

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TBL sparks meaningful change in NBFCs by promoting sustainability, despite challenges in implementation.

Conclusion