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Home Health

Healthcare sector’s share in Gujarat’s CSR spend jumps to 55% after pandemic

India CSR by India CSR
November 16, 2021
in Health
Reading Time: 2 mins read
Around 26% of CSR goes to Healthcare, Hunger and Nutrition; Allocation doubled in last five years

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AHMEDABAD: With the corporate world joining forces with state and central governments to combat Covid-19 pandemic, the healthcare sector became the top priority and grabbed the largest share of corporate social responsibility (CSR) expenditure incurred by companies in Gujarat.

Gujarat saw an estimated Rs 582 crore being spent by firms—public and private sector—for CSR activities in 2020-21. Of this, Rs 318 crore or 55% went towards the healthcare sector, shows data available on the National CSR Data Portal, an initiative of the union corporate affairs ministry.

In percentage terms, this is the highest share that the sector has received ever since 2014-15, when it was mandatory for companies to spend 2% of their 3-year average net profit for CSR projects.

The healthcare sector accounted for 33% and 23% of Gujarat’s total CSR expenditure in 2019-20 and 2018-19, respectively.

“The companies changed their CSR priorities in the wake of Covid-19 pandemic. Since the pandemic started at the cusp of a new financial year, several companies made provisions and created special projects in response to the pandemic,” said Bhomik Shah, founder and CEO, CSRBOX, an Ahmedabad-based CSR research and advisory firm.

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“The funding which was to go towards education, water projects or any other initiatives was channelized towards battling the pandemic,” said Shah, adding that the trend of healthcare having higher share of the CSR spend is expected to continue partially in 2021-22 because companies have prioritized healthcare in the first half of the current fiscal as well.

ting against Covid-19 to the list of eligible CSR activities.

Companies wholeheartedly made contributions to the relief funds of the prime minister and state chief ministers. Corporate firms took up several initiatives such as distribution of masks, PPE kits, hand sanitizers as well as provided oxygen cylinders, put up oxygen plants and created Covid care facilities.

The amount of funds spent towards CSR across Gujarat in 2020-21 is expected to increase further as the current estimate is based on the data reported by 280 companies. The estimate will be updated when more companies submit their figures. More than 1,200 companies spend money every year for CSR in the state, said people operating in CSR space.

The ministry data showed that Maruti Suzuki India Ltd, Cadila Healthcare Limited and Torrent Power Limited spent the maximum amount towards overall CSR activities in the state during fiscal 2021.

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Tags: CSR in GujaratCSR in HealthcareGujarat CSR spendHealthcare

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India CSR is the largest media on CSR and sustainability offering diverse content across multisectoral issues on business responsibility. It covers Sustainable Development, Corporate Social Responsibility (CSR), Sustainability, and related issues in India. Founded in 2009, the organisation aspires to become a globally admired media that offers valuable information to its readers through responsible reporting.

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