In the first half of 2023, corporate social responsibility (CSR) spending by Bangladesh’s 61 banks decreased by 9.22% compared to the same period last year, falling from Tk 629 crore to Tk 571 crore, according to Bangladesh Bank (BB) data. A decline in profits, attributed to the ongoing economic crisis, is cited as the primary reason for this reduction. The profitability of 35 listed banks in Bangladesh dropped by 9% year-on-year to Tk 4,160 crore during this period.
Banks are facing challenges such as high non-performing loans (NPLs), liquidity shortages, and corporate governance issues, which have impacted their ability to allocate funds for CSR activities. Despite the challenges, some banks continued to allocate funds for CSR activities, with Dutch-Bangla Bank leading in expenditure, while others reduced their spending compared to the previous year. Education, healthcare, disaster management, and climate change adaptation were the primary focus areas for CSR spending, as per BB guidelines.
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