In just seven years since it was made mandatory, spending on corporate social responsibility (CSR) in India has crossed the Rs 1 lakh crore milestone, with around 40% of this incurred in just the past two fiscals as companies rolled up their sleeves to fight the Covid-19 pandemic.
The estimation, based on data disclosed in annual reports, pegs overall CSR spending in fiscal 2020 at Rs 21,231 crore, with 1,387 listed companies accounting for ~Rs 14,431 crore (~26% more than in fiscal 2019), and 19,962 unlisted ones Rs 6,800 crore (~7% less than in fiscal 2019).
In fiscal 2021, again, assuming the spending was around the mandated mark of 2% of average profit of the preceding three fiscals, eligible companies would have spent ~Rs 22,000 crore on CSR, including Rs 14,986 crore by more than 1,700 listed ones and ~Rs 7,072 crore by unlisted entities.
While the actual spending for the two fiscals can be corroborated only once annual reports for last fiscal become available and are analysed in coming months, one trend is clear: Covid-19 has gobbled up a chunk of the money.
Title of the Report: CSR Spending Yearbook 2021
Theme: CSR Spending in India
No. of Pages: 24
To whom it is relevant: Every CSR Leader, Every NGO Leaders