A Call for Equitable CSR: Rethinking Corporate Social Responsibility in India

Despite a decade of mandatory corporate social responsibility (CSR) in India, an analysis of 1,871 companies shows unequal resource distribution, with the majority concentrated in certain states. The Crisil CSR Yearbook 2024 highlights this disparity and underscores the need for a more equitable allocation of CSR funds nationwide.

The Crisil CSR Yearbook 2024 reveals significant imbalances in how corporate social responsibility (CSR) funds are distributed across India. An analysis of over 1,800 companies shows a prevalent centralization of resources in specific regions, leaving many areas underfunded despite high needs.

Companies headquartered in Maharashtra and New Delhi account for a substantial portion of CSR spending and projects, creating a stark contrast with less supported states. This reflects a broader trend where corporate activities are clustered, leaving critical regions without essential interventions.

The introduction of the Social Stock Exchange (SSE) marks a crucial step towards addressing these disparities. SSE aims to enhance CSR fund effectiveness, especially in aspirational districts, by promoting collaboration among corporates, social enterprises, and non-profits.

(With inputs from agencies.)