CSR of Utkarsh Small Finance Bank
Utkarsh Small Finance Bank – In low-income regions, the Bank’s CSR strives to support the social and economic development of impoverished and neglected communities.
A CSR budget of Rs. 3.70 billion for the fiscal year 2021–2022 has been authorized by the board of Utkarsh Small Finance Bank Limited. As a result, the Bank has given the Utkarsh Welfare Foundation, a Section 8 entity created specifically to carry out CSR activities, the entire corpus of the CSR payment. The Utkarsh Welfare Foundation is responsible for carrying out the CSR initiatives of the Bank. With the goal of assisting the underbanked and unbanked populations of the nation in becoming financially included, Utkarsh Small Finance Bank Limited (USFBL) started operating as a bank in 2017.
The CSR expenditures were made in the areas of charity endeavors, skill and entrepreneurship development programmes, health initiatives, and financial literacy (supporting orphanages and care centers for the elderly). The Bank’s CSR policy was adopted by the Board and complies with Section 135 of the 2013 Companies Act. The Board’s CSR Committee approved the Bank’s CSR spending, and it falls within those limits.
Philosophy & Principles of CSR
The entire process by which an organization approaches, defines, and develops its relationships with stakeholders for the common good is covered by CSR policy. An organization can show this commitment by adopting strategies and projects that are appropriate for the situation. CSR is a method of giving back to society by going above and beyond the call of duty, generating shared value, and promoting social and environmental improvement rather than charity or simple donations. The foundation of the Bank’s corporate social responsibility (CSR) strategy is the fundamental idea that the country’s economically, physically, and socially disadvantaged populations may be positively and measurably impacted.
Utkarsh Small Finance Bank
The Bank makes ongoing investments to improve society, especially the underserved and unbanked groups. The Bank has developed social development policies based on the following guiding principles:
Adopt a strategy aimed at improving the balance between social and economic development.
Adopt new strategies to ensure that everyone’s fundamental requirements are met quickly.
Work to remove obstacles that prevent disadvantaged groups, such as the underprivileged and the disabled, from participating in society.
By offering financial and non-financial services through a socially responsible, long-lasting, and scalable institution, support impoverished and underserved populations.
Setup of the organization
The task of carrying out CSR initiatives on behalf of Utkarsh Small Finance Bank Limited has been delegated to Utkarsh Welfare Foundation. The Utkarsh Welfare Foundation (UWF) employs a multifaceted, service-oriented, market-driven strategy to improve the community’s quality of life. Various challenges, including those related to education, health, skill development, the environment, microbusiness training, sustainable livelihoods, and water and sanitation, are the focus of UWF efforts.
With regard to all important thematic activities, such as financial literacy, healthcare, skill, vocational and enterprise development, and village development, the Bank exceeded its goal outreach. Through various CSR efforts, a total of 2,20,038 people were served, exceeding the projected outreach of 1,14,266 as of March 31, 2022.
In project interventions, there is a paradigm change from outreach to a strategy based on outcomes. With this planned goal in mind, the community resource person model continued to be used by the implementation partner Utkarsh Welfare Foundation to enhance local community capacity over time.
Composition of the Corporate Social Responsibility Committee:
Ajay Kumar Kapur, Govind Singh, Kalpana Prakash Pandey, and Muralidharan Rajamani are the members (Member).
These are the responsibilities of the CSR Committee.
i. Developing the Bank’s Corporate Social Responsibility (CSR) strategy, including the CSR Policy and recommending it to the Board.
ii. Formulation and recommendation to the Board of the CSR activities that the Bank will carry out, either directly or through the Utkarsh Welfare Foundation or through any other organization that promotes social welfare; selection of the CSR projects and programmes that the Bank intends to carry out during the implementation year; and stipulation of the modes of execution in the areas/sectors selected and the timing of implementation for the same.
iii. The amount of expenditure to be incurred for CSR activities, as recommended to the Board.
iv. Review and monitor the compliance of initiatives taken, and assess how well the activities performed in comparison to the set objectives.
v. Making sure that various efforts carried out in accordance with the CSR Policy are periodically evaluated for their impact.
vi. Establishing an open monitoring system to ensure that the projects, programmes, and activities the Bank is proposing to undertake are carried out.