Expenditure incurred by companies on CSR of Rs. 22000 crore

MUMBAI: Expenditure on corporate social responsibility (CSR) by Indian companies rose by 7.5 per cent to Rs 2,000 crore in the last financial year. Companies' profits increased during the Corona period in the last financial year. Most of the CSR costs by companies were borne by epidemiological works.

According to a report by ratings agency Crisil, during the first wave of Corona, most of the spending was done in cash through the PM-Care Fund while in the second wave the companies spent CSR by providing various tools.

In the second wave of March-June 2021, companies provided only Rs 5 crore in PM funds, while the expenditure under the 'others' category was Rs 21 crore. During the first wave, companies contributed Rs 212 crore to PM-funds during March-May 2020, while allocating Rs 21 crore in the 'others' category, citing Crisil's report.

Considering the seriousness of the second wave, the companies provided help in the form of equipment like ventilators, oxygen concentrators, cylinders, testing kits.

Assuming that two per cent of the average profit for the last three years has been spent on CSR, the companies have spent Rs 2,000 crore in the last financial year, the report said.

In the financial year 2020, this figure was Rs 2191 crore. In the seven years since the mandatory implementation, the expenditure on CSR has crossed Rs one lakh crore.