Evaluating CSR Spending Trends In India: Bridging Gaps In Education, Healthcare, And Youth Employment

Abstract

Purpose: This study analyzes CSR spending patterns across various sectors in India over eight years, examining how corporations allocate funds and identifying potential areas for improvement in CSR utilization. It explores the alignment of CSR expenditure with societal needs, specifically focusing on the impact on education and healthcare.

Methodology: The research utilizes secondary data from the National CSR Portal of the Ministry of Corporate Affairs (MCA) to analyze sector-wise spending of CSR funds. This quantitative analysis identifies trends and disparities in CSR allocation across different sectors mandated under Schedule VII of the Companies Act.

Findings: The study reveals that the largest CSR expenditure is concentrated in education and healthcare sectors, followed by contributions to the Prime Minister’s National Relief Fund and other Central Government Funds. However, other mandated sectors receive significantly less funding. Despite substantial infrastructure spending in education and healthcare, the quality of services remains poor due to shortages of qualified teachers and healthcare professionals.

Contributions: This paper recommends a shift in CSR funding priorities towards training and skilling teachers and healthcare professionals. This approach addresses the critical shortage of qualified personnel, improves the quality of education and healthcare services, and simultaneously creates employment opportunities for India's youth. The paper also suggests other industries where CSR funds can be strategically invested in skill development to maximize social impact and address unemployment challenges.