New Delhi, Feb 26 (IANS) Private philanthropy in India is estimated to have reached Rs 1.43 lakh crore in FY25 and could grow at a 9–11 per cent compound annual growth rate through FY30, driven largely by family giving, a report said on Thursday.
The report from Bain & Company and Dasra said that the momentum is led by family giving among ultra‑high‑net‑worth, high‑net‑worth, and affluent families, driven by rising wealth, increasing formalisation, and episodic mega‑donations.
India’s social sector funding has doubled to about Rs 27 lakh crore in FY25 and is projected to reach Rs 50 lakh crore by FY30, the report said. A structural funding shortfall of roughly Rs 16 lakh crore in FY25 is projected to widen to about Rs 18 lakh crore by FY30 underscoring the persistent mismatch between India’s development ambitions and the capital available, the report further said.
Public spending still accounts for around 95 per cent of total funding, especially in healthcare as policy momentum builds toward the 2.5 per cent of GDP target.
To bridge the gap, private philanthropy must grow at over 25 per cent annually, assuming public spending trajectories remain unchanged, with scaled contributions from family philanthropy, retail giving, and corporate social responsibility (CSR), the firms said.
“The real question is not whether capital is available, rather if it’s structured to solve at scale. India’s social sector has seen impressive funding growth as the report highlights, but the widening gap signals a deeper design challenge,” said Bhavini Malhotra, Partner, Bain & Company.
The report highlighted that philanthropy by Indian families account for about 42 per cent of private giving. CSR funding is expected to grow at 8–10 per cent supported by GDP expansion, rising compliance, and a widening corporate base crossing statutory contribution threshold.
However, CSR funding remains concentrated in wealthier states, underscoring the need to redirect capital to underfunded regions, the report noted.
“The institutionalisation of family wealth is accelerating, with the number of family offices increasing sevenfold from around 45 in 2018 to more than 300 in 2024,” it added.
—IANS
aar/pk
