While many business leaders and industrialists are known for their luxurious lifestyles, Ramamurthy Thyagarajan stands out for his simplicity and grounded approach to wealth. As the founder of the Shriram Group, a major Indian conglomerate valued at Rs 1,50,000 crore, R. Thyagarajan has made a significant mark in the billionaire sphere. Yet, he lives modestly, drives a Rs 6 lakh car, and avoids owning a mobile phone, which he considers a distraction. Embracing a philosophy that wealth doesn’t require extravagance, Thyagarajan has built his fortune by lending to low-income individuals often overlooked by traditional banks.
Raised in a prosperous farming family in Tamil Nadu, Thyagarajan showed an early knack for analytical thinking and a commitment to equality, as noted in a Bloomberg report. After studying mathematics at both undergraduate and master's levels in Chennai, he spent three years at the esteemed Indian Statistical Institute in Kolkata. Beginning his career in finance with New India Assurance Co. in 1961, Thyagarajan worked there for two decades, including roles at Vysya Bank and JB Boda & Co.
The Shriram Group emerged from Thyagarajan’s side business of lending to truck drivers in Chennai, where he identified an unmet need—banks were reluctant to lend to low-income individuals, especially young truck drivers and small business owners. At 37, he founded Shriram Chits with friends and family to provide financial access to underserved communities, particularly those needing commercial vehicle financing. His model addressed the needs of everyday people, transforming Shriram into a conglomerate employing 108,000 people across sectors like insurance and stockbroking. Over time, Thyagarajan launched additional firms, growing Shriram into a group of over 30 companies. As of August 2023, the Shriram Group’s flagship, Shriram Finance Limited, was valued at $8.5 billion.
In a notable philanthropic move, Thyagarajan transferred his shares in Shriram companies to a group of employees, creating the Shriram Ownership Trust in 2006. This act reflects his commitment to social responsibility and his detachment from wealth’s trappings. His business model also took a distinct approach, focusing on accessible financial solutions for lower-income clients, unlike conventional lenders. By prioritizing inclusivity, Thyagarajan not only addressed a critical market need but also fostered a loyal customer base appreciative of the support Shriram Group provided.
