New Delhi, February 26, 2026: Private philanthropy in India is projected to reach INR 1.43 lakh crore ($16 billion) in FY25, growing at a 9%–11% CAGR between FY25 and FY30, according to a new report released by Bain & Company and Dasra. However, the report warns that private sector spending will need to grow by over 25% annually to prevent the country’s social sector funding deficit from widening.
India’s total social sector funding has grown at a 13% CAGR since FY20, doubling to approximately INR 27 lakh crore ($310 billion) in FY25 and expected to reach INR 50 lakh crore ($570 billion) by FY30. Despite this growth, the funding shortfall stands at around INR 16 lakh crore ($180 billion) in FY25 and is projected to widen to INR 18 lakh crore ($210 billion) by FY30.
Public spending continues to account for nearly 95% of total social sector funding. The report notes that closing the gap will require significantly faster growth in private giving across family philanthropy, retail contributions and corporate social responsibility (CSR).
Bhavini Malhotra, Partner, Bain & Company, said, “The real question is not whether capital is available, rather if it’s structured to solve at scale. India’s social sector has seen impressive funding growth as the report highlights, but the widening gap signals a deeper design challenge and the opportunity to channel the ongoing momentum to unlock private capital in ways that accelerates outcomes. Philanthropic capital and support infrastructure need to grow hand in hand to ensure that funding translates into sustainable, scalable, and long-term impact.”
Families remain central to private philanthropy, contributing about 42% of total private giving through personal donations and CSR from family-owned businesses. CSR funding is expected to grow at 8%–10%, with family-owned enterprises accounting for 65%–70% of private-sector CSR spending. However, contributions remain concentrated among a small group, with the top 2%–3% of families contributing nearly half of all family-led CSR outlays.
Neera Nundy, Co-founder and Partner, Dasra, said, “Indian families remain the backbone of private philanthropy, contributing through personal giving and family-business CSR. Persistent growth in leadership by women, Inter-gen, and Now-gen signals their enduring role in Indian philanthropy. With INR 1.25–1.35 lakh crore in potential upside by FY30, unlocking the full contribution of families will depend on how quickly philanthropic infrastructure evolves to meet their needs.”
The report also highlights emerging trends such as the rise in family offices—from around 45 in 2018 to over 300 in 2024—and growing diaspora engagement. India’s diaspora population now stands at approximately 34 million, with remittances growing at nearly 14% annually between FY21 and FY25.
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