New Delhi, 18 February 2021: The state of Bihar which lags behind many states on major development indices and tagged as a ‘net labor supplier’ to other states due to lack of local employment opportunities, has apparently found a bright spot this time! The state has witnessed increasing interest of corporates with the CSR funding pouring into different development sectors in the state.
According to the Ministry of Corporate Affairs (MCA), the state of Bihar received state-specific CSR funding to the tune of Rs 136 Cr, an increase of 270% over 2014-15 CSR funding. In the year 2014-15, the state had received only Rs 37 Cr in CSR funding. Even after this high growth rate, figures for CSR funding to the state remain much below the standard as compared to other states like Maharashtra, Karnataka etc.
During the same period of 2014-19, the state-specific CSR funding at national level recorded an average growth of 85 % only.
Corporate interest grows
During the period 2014-19, the number of corporates taking up their CSR initiatives in the state more than doubled. As per the Ministry of Corporate Affairs, the number of companies doing CSR activities in 2014-15 was only 54. In the year 2018-19, this number went up to 132.
Among the corporates who have been investing their CSR fund in the state, ITC Limited dominates the top CSR spenders’ list with Central Public Sector Enterprise Power Grid Corporation of India and media company Zee Entertainment Enterprises Limited standing on 2nd and 3rd position respectively.
Except for 2017-18, the ITC Limited has been the top CSR spender in the state.
Agro forestry on top agenda; Education sector gets highest growth
The state’s dependency on agriculture and its importance for the social good also reflects in the CSR funding to the state. According to expert estimates, more than 80% of the state’s population dependent on agriculture activities, which is above the national average.
The corporates seem to have realised the importance of agriculture for the well-being of the state and accordingly the sector has been getting the highest amount of CSR funding.
According to the Ministry of Corporate Affairs, the state received a total of Rs 16 Cr for Agroforestry in the year 2014-15. The funding to the sector has been witnessing consistent growth with the CSR fund going up to Rs 54 Cr in 2018-19, an increase of about 230 per cent over the five years.
However, the highest growth in CSR funding over the period 2014-19 was recorded in education sector. The state-specific CSR fund to education sector grew from Rs 7.74 Cr in 2014-15 to Rs 28.79 Cr in 2018-19, recording a growth of close to 300%.
