Archive · 7 Aug 2025
CSR Funds: Imbalance in Spending, Focus on Few Indian States
Companies in India are required to spend money on social projects, called CSR.
A new study shows that most of this money goes to only a few states, like Maharashtra and Tamil Nadu.
This means some areas that really need help aren't getting much.
In 2024, companies spent a lot on CSR, but the money isn't always going where it's most needed.
The study suggests the government should make rules to help companies send money to the places and projects that need it the most.
Study finds significant geographical imbalance in Corporate Social Responsibility (CSR) spending.
Five states and Delhi received over 60% of CSR funds.
Indian corporates spent a record ₹34,909 crore on CSR initiatives in 2024.
Many underdeveloped districts receive only a small fraction of total CSR funds.
The report suggests the government create policies to direct CSR funds to regions and sectors in need.
- Who
- The Development Intelligence Unit (DIU), Indian companies, and underdeveloped districts.
- What
- A study on CSR fund distribution.
- When
- 2024 data was analyzed.
- Where
- India, with a focus on Maharashtra, Tamil Nadu, Karnataka, Andhra Pradesh, Gujarat and Delhi.
- Why
- To highlight geographical imbalances in CSR spending and advocate for better fund allocation.
Current CSR Spending Practices
Ideal CSR Spending Practices
Geographical Focus of Funds
Current CSR Spending Practices
Companies focus on areas close to their operations.
Ideal CSR Spending Practices
CSR funds should be allocated based on development needs.
- Total CSR Spend (2024)
- ₹34,909 crore
- States Receiving > 60% Funds
- Maharashtra, Tamil Nadu, Karnataka, Andhra Pradesh, Gujarat, Delhi
- Report Title
- Investing in Tomorrow: Need for realigning CSR spends with district development
- Mandate
- Companies must allocate at least 2% of their average net profits from the preceding three years to social development
- Study by
- Development Intelligence Unit (DIU)