CSR report of HDFC ltd and ICICI ltd

Both the companies belongs to banking sector,

BANKING SECTOR : The group of financial institutions that
provide banking services to customers
Sevices provided by banking sector :  Accepting deposits
Providing loans
Managing investment
The banking sector in India plays a crucial role in
facilitating credit, investment, and infrastructure,
especially in a middle-income economy like India. The
country is home to a vast network of banks and non-
banking financial companies (NBFC) to execute a diverse
range of financial services for individuals, companies, and
small enterprises. The Reserve Bank of India is the
primary regulator of banks in India.

Growth in recent years :

The Indian banking industry has witnessed significant growth
in recent years, driven by various factors such as increasing
financial inclusion, digitalization, innovation, and government
initiatives. According to IBEF, some of the key statistics and
trends of the banking sector in India are:
- The number of banks in India as of September 2022 was
121, comprising 12 public sector banks, 23 private sector
banks, 46 foreign banks, 10 small finance banks, 10 payments
banks, and 20 regional rural banks.
- The number of ATMs in India increased from “238
thousand” in June 2019 to 241 thousand in June 2021.
- The gross non-performing loan ratio of scheduled
commercial banks in India was estimated at “9.5%” as of
September 2021.
- The value of foreign exchange reserves in India increased
from “US$ 477.8 billion” in FY20 to “US$ 579.3 billion” in
FY21.
- The financial conditions index in India for Q4 FY22 was
“54.4”, indicating an improvement in the overall financial
conditions of the banking sector.
- The Indian banking sector is expected to become the third
largest by 2025.
- The Indian banking sector has also witnessed the
rollout of innovative banking models like payments
and small finance banks, which aim to provide low-
cost and accessible banking services to the unbanked
and underbanked segments of the population¹³.
- The Indian banking sector has also undergone various
reforms in recent years, such as the Insolvency and
Bankruptcy Code, recapitalization of public sector
banks, consolidation of public sector banks,
introduction of BASEL III norms, implementation of
Ind AS accounting standards, etc.⁵
Listed Banks: 12 Banks are listed on NIFTY Bank
INDEX.
HDFC Ltd.
Incorporated in August 1994
Scheduled Commercial Bank in January 1995
HDFC Bank Limited is an Indian banking and financial services
company headquartered in Mumbai. It is India's largest
private sector bank by assets and the world's 10th largest
bank by market capitalisation as of April 2021. As of June 30,
2022, the Bank had a nationwide distribution network of
6,499 branches and 18,868 ATMs in 3,226 cities/towns. The
bank offers a wide range of banking and financial services
covering commercial and investment banking on the
wholesale side and transactional/branch banking on the
retail side. HDFC Bank is considered to be one of the leading
banks in India¹.
HDFC Bank has been recording steady growth in recent years.
As of March 2022, the bank had an outstanding credit of Rs
13.6 lakh crore which increased to Rs 16 lakh crore at the end
of the March quarter in 2022. The advances given out by
HDFC Bank Limited was over 13 trillion Indian rupees in
financial year 2022. The bank has been delivering consistent
and steady growth as per its financial results.
ICICI ltd
ICICI Bank incorporated in 1994
ICICI Bank Limited is an Indian multinational bank and
financial services company headquartered in Mumbai. It
offers a wide range of banking products and financial services
for corporate and retail customers through a variety of
delivery channels and specialized subsidiaries in the areas of
investment banking, life, non-life insurance, venture capital
and asset management. The bank has a network of 5,900
branches and 16,650 ATMs across India and has a presence in
17 countries.

ICICI Bank provides a huge range of banking services to

corporate and retail customers in a variety of areas like
investment banking, life and non-life insurance, venture
capital and asset management.
ICICI Bank's revenue for the twelve months ending December
31, 2022 was $23.480B, a 16.59% increase year-over-year.
ICICI Bank annual revenue for 2023 was $23.272B, a 10.24%
increase from 2022. ICICI Bank annual revenue for 2022 was
$21.11B, a 3.08% decline from 2021. ICICI Bank annual
revenue for 2021 was $21.78B, a 3.13% increase from 2020.

CSR expenditure of HDFC ltd in FY

2020-2021
CSR expenditure : Rs 634.91 crore ( acc. To integrated annual
report )
Areas where money spent CSR
- Parivartan, the umbrella programme for all Corporate
Social Responsibility initiatives.
 Parivartan aim to contribute towards the socio-economic
development of the country by benefiting lives and
livelihoods.
- Rs. 110 crore were utilised on initiatives focussed on
Covid – 19 relief.
- Rs. 7.31 crore reported as unspent in the financial
year 2020-21 was transferred to Unspent CSR
Account, out of which Rs. 5.03 crore has been
disbursed towards ongoing projects during the year.

CSR expenditure of HDFC LTD. in

2021-2022
CSR expenditure : Rs. 736.01
CSR expenditure increased by 15.92% over the
previous year.
- Rs. 12.53 Cr. spent on Administrative Overheads on
CSR management
- unspent balance of Rs. 0.86 Cr. against the excess
fund
- CSR initiatives under Parivartan, the bank has already
potentially impacted over 9.6 Crore lives in 3335
villages.

ICICI Bank CSR report in FY 2020-21

ICICI bank spent Rs. 200 crores on various CSR projects (spent
more than mandated 2% of average net profit for the last 3
financial years)
Projects under CSR plan in year 2020-21

- Contribution to PM CARES Fund and other Covid-19 relief

efforts undertaken directly and along with ICICI Foundation
- Activities of ICICI Foundation for Inclusive Growth( trained
over 580000 less privileged people, helping them to earn a
sustainable livelihood.
- Promoting financial inclusion and digitisation of activities in
rural areas
- Support activities in areas like disaster relief, environmental
and social awareness, promoting healthcare and sanitation,
making available drinking water, empowering women,
supporting economically backward group.

ICICI ltd. CSR report in FY 2021-22

Rs. 2.67 billion spent towards CSR activities in fiscal 2022.
Projects approved under the CSR plan for fiscal year 2021-22
are:
- Covid-19 relief efforts undertaken directly and along with
ICICI Foundation
- Activities to be implemented through ICICI Foundation for
Inclusive Growth
- Promoting financial inclusion and digitisation of activities in
rural areas.
Analysis
 Comparison between expenditure of both
the banks.
Chart Title
800
700
600
500
400
300
200
100
0
2020-21 2021-22

 HDFC Bank ICICI bank Column1

In(crores)
As compared to ICICI bank the profits of HDFC Bank in both
the years were more that’s why HDFC bank spent more
money on csr activities.
 Comparison between expenditure done
by them with their previous year report.

Chart Title
800
700
600
500
400
300
200
100
0
HDFC ICICI

20-21 21-22 Column1

(In crores)
The bar graph shows that
 HDFC csr expenditure increased by 15.9% over report of
year 2020-21.
 ICICI Bank csr expenditure increased by 67 lakh

CONCLUSION
CSR expenditure of both the banks is increased.
HDFC bank being the largest private sector bank is
among top companies in India in terms of expenditure
done by them in csr activities.
Meanwhile ICICI, in both the years spent more than the
obligation on them.
There was a vast difference between csr expenditure of
both the banks, that is because of the difference of their
profits (in both the years). Profits of HDFC Bank were
more as compared to ICICI Bank that’s why the money
spent on CSR activities by HDFC Bank were more.