Editorial

Nagaland’s CSR growth    

Nagaland has hit headlines with a very significant development. Corporate Social Responsibility (CSR) investments in the state have been rising and are getting increasingly aligned

Sentinel Digital Desk

Nagaland has hit headlines with a very significant development. Corporate Social Responsibility (CSR) investments in the state have been rising and are getting increasingly aligned with local development priorities. This observation has come from none other than Union Finance Minister Nirmala Sitharaman, who, during her 3-day visit to the state last week, was reviewing the investment scenario of Nagaland. As she pointed out, around 2019 or 2020, there was a genuine concern that CSR support was not reaching a state like Nagaland, which was lagging behind on the development front in comparison with most other states of the region. This concern, she said, was strongly voiced even by State Chief Minister Neiphiu Rio. It is interesting to note that it was in response to this that the Nagaland government in 2022 organised a CSR Conclave. The participation was very encouraging, and many PSUs and well-known corporate players of the country had, for the first time, found an opportunity to visit Kohima. While the state government put in its best efforts, this conclave became a turning point. The outcome was that a number of reputed companies, some of which did not have any manufacturing unit or service centre in the state, were persuaded to participate and consider Nagaland as a destination for meaningful CSR initiatives. Last week Sitharaman discovered that CSR interventions in Nagaland have grown stronger and more purposeful in recent years. What is even more noteworthy is that the Union Finance Minister has found that CSR interventions in Nagaland have not only surged but are increasingly being aligned with local development priorities. This is definitely a huge tribute to the hard work and sincere efforts put in by Rio and his team. Taking the cue from Sitharaman’s observations, one can probably take a quick look at the overall situation of CSR funding in the Northeastern region. Reports indicate that CSR funding in the Northeastern region has been increasing but has remained disproportionately low in comparison to other regions. During 2022-23, the Northeastern region received approximately Rs 638.78 crore as CSR funds. Of this, Assam alone accounted for Rs 470 crore (73.5%). Other states received significantly less, with Manipur, Sikkim, Meghalaya, and Tripura receiving Rs 53.45, Rs 36.18, Rs 21.73, and Rs 19.26 crore, respectively, and the remaining three states receiving less than Rs 15 crore each. Major thrust areas which have received CSR support in the region include healthcare, education, skill development, and rural development. But what is also a cause of concern is that companies operating in the region often face allegations of spending more CSR funds in other states than in the Northeast.