India Has Put CSR on Dalal Street. Can Markets Understand Social Impact?
10-07-2026
India’s decision to permit companies to route up to 10% of their mandatory Corporate Social Responsibility (CSR) expenditure through the Social Stock Exchange (SSE) marks a significant policy shift. While the framework enhances transparency and regulatory oversight, it risks prioritising compliance over meaningful social impact. The article argues that disclosure mechanisms cannot adequately measure long-term developmental outcomes or behavioural change. It further highlights how stringent compliance requirements may disadvantage grassroots organisations while favouring well-resourced nonprofits. To strengthen the SSE, the authors recommend proportionate reporting requirements, equitable geographic allocation of funds, and greater emphasis on evaluating sustained social outcomes rather than administrative compliance alone.
