We, at IDBI Bank, believe that profitability must be complemented by a sense of responsibility towards all stakeholders. We aim to make a material, visible and lasting difference to the lives of disadvantaged sections of the people, especially in the immediate vicinity of the Bank’s branches/ offices. Special emphasis is accorded to balanced spatial distribution of our CSR activities to ensure sustained improvement of marginalized sections of the society. Through our CSR initiatives that focus on holistic and inclusive development of target communities, we endeavor to create long-term social and economic value for both our business and society. We view our CSR interventions as an investment in building corporate reputation, employee engagement and innovation.
The objective of our CSR policy is driven by the intent to make a material, visible and lasting difference to the lives of disadvantaged sections of society and a sustained positive contribution to the welfare of society at large. In the conduct of its CSR intervention, the Bank aims to act as a good corporate citizen and a socially responsible entity, identify the gaps and extend need-based contribution for the betterment of the society, contribute for the sustainable and holistic development of the underserved communities through various programs having multi-dimensional impact and generate community goodwill by making proactive interventions.
The policy applies to all CSR initiatives and activities to be undertaken by the Bank at various locations, within India, for the benefit of targeted segments of the society.
Our CSR Committee
Our CSR Committee of the Board comprises four members – MD&CEO, DMD and two Independent Directors. The Committee, as mandated under Section 135 (3) of the Companies Act, 2013, (a) formulates and recommends to the Board, a Corporate Social Responsibility Policy which indicates the activities to be undertaken by the Bank as specified in Schedule VII; (b) recommends the amount of expenditure to be incurred on the activities referred to in Section (a); and (c) monitors the Corporate Social Responsibility Policy of the Bank from time to time.
Core Focus Areas
IDBI Bank has adopted the following core focus areas for its CSR initiatives:
1. Promoting Healthcare (including preventive healthcare and sanitation) and Poverty Eradication
2. Promoting Education (including specialized and employment oriented vocational skills) and Livelihood enhancement projects
3. Promoting Gender Equality and Socio-economic Empowerment
4. Ensuring Environmental Sustainability
5. Protecting and Preserving National Heritage, Culture and Art
6. Welfare measures for Armed Forces Veterans and their Dependents
7. Promotion of Sports activities
8. Contribution to Central Government Relief and Welfare Funds (as admissible under the Act)
9. Contribution/Funding to GOI approved Technology Incubators
10. Rural Development Projects
Annual Budget for undertaking CSR Activities
We allocate 2% of our Bank’s average net profits (as prescribed under Section 135 of the Companies Act, 2013) made during the preceding three financial years as our annual CSR budget.
Implementation of CSR programs
In order to implement approved CSR projects, we involve specialized agencies, such as NGOs, Trusts, Self-Help Groups, Govt./ Semi- Govt./ Autonomous Organizations, Educational Institutions, Professional Consultancy Organizations, Registered Voluntary Organizations, or any other appropriate agency/ authorities.
Monitoring, Assessment & Reporting Mechanism
The CSR Committee of the Board institutes a transparent monitoring mechanism for implementation of CSR projects/ activities undertaken by the Bank. A time frame is fixed for all CSR projects/ activities for completion with suitable milestones. We regularly monitor projects (including impact assessment/ evaluation) through follow-ups, progress reports, financial statements and visits to project sites.
Reporting of CSR Initiatives
The CSR Committee of the Board periodically considers the progress report on the various CSR initiatives taken up by the Bank. Details of the CSR activities undertaken by IDBI Bank and amounts spent along with reasons for spends below budgeted levels, if any, are also reported in our Bank’s Annual Report under Corporate Governance Report.