Sarvodaya Development Finance

History of the Sarvodaya Development Finance (SDF)

Sarvodaya Development Finance(SDF), was established by Sri Lanka’s oldest continuing social movement, the Sarvodaya Sharamadana Movement. The purpose was to support underserved rural economies and grass roots entrepreneurism in Sri Lanka, that represented communities deemed ‘non-bankable’ by formal financial institutions. As the financial arm of the Sarvodaya Movement, SDF is the only finance company in Sri Lanka owned by a charity and is the first dedicated development finance institution in Sri Lanka. SDF is also one of the oldest Micro credit institutions in Sri Lanka and is the first formal financial institution to channel private sector investments into low and mid-income groups in the country. SDF fulfils its mission to foster sustainable development by providing not only a range of financial services, but also by conducting educational programmes on marketing, business management and other subject matter, and by organising specialised marketing and promotional events, targeting small and medium enterprises(SMEs) from all parts of the country. Unlike traditional financial services providers, 80% of SDF branches are located outside the Western Province to enable financial services to low and mid-level income populations. Today, while targeting SMEs as its primary customer segment, SDF caters to 48% of the non-bankable community in Sri Lanka by delivering financial facilities to approximately 150,000 citizens. SDF partners with the 3,500 Sarvodaya Shramadhana Societies (SSS) in villages across Sri Lanka to channel development funds deep into the grass roots. SDF has emerged as a dynamic financial services provider, with emphasis on small and medium development finance, operating via modern digital platforms that contribute towards narrowing the digital divide in financial services in Sri Lanka.

SDF business philosophy

As a member of the Sarvodaya Movement, which is dedicated to the social and spiritual wellbeing of all beings, SDF is guided by the Sarvodaya philosophy. Therefore, SDF adopts an ethical position of not supporting business activities traditionally considered anti-social by Sri Lankan Buddhist society, such as fisheries, poultry, gambling, alcohol, and weapons related industries.