The quality of philanthropy is not strained in India, shows study

The line from The Merchant of Venice finds expression in India, where people of moderate means are opening their wallet of generosity

The wealthy in India are giving away more, both in cash and kind, and their number is growing. But even those with modest means are donating steadily through informal channels. And with a market size of approximately ₹54,000 crore ($6 billion), up from around ₹37,000 crore ($4.11 billion) in 2023, philanthropy in India is not just thriving but set to touch new benchmarks as consumption and gross domestic product (GDP) grow, a new survey-based study has shown. What is more, philanthropy is not dominated by corporate social responsibility (CSR) by companies and behemoths but through quieter, sometimes anonymous, but steady donations from households: Many that earn less than ₹8,000 per month. 

“How India Gives: 2025-26”, a study by Ashoka University’s Centre for Social Impact and Philanthropy (CSIP), with support from consultancy Artha Global, was released on February 19. This is the third report from the CSIP and while it notes that, as in the past, informal giving to religious organisations and others in need constitutes the biggest chunk of philanthropic contributions by Indians, there is a move towards giving for social causes, the sign of a mature philanthropy market. 

About 68 per cent of the respondents reported giving in some form. Of the donations, 48 per cent is in kind -- such as food, clothing, or other household goods -- followed by cash (44 per cent) and volunteering (30 per cent) with non-profits, religious institutions, or community groups. 

Even at low consumption levels (₹4,000-5,000 per month), about half the households report giving; as incomes rise, participation climbs to 70-80 per cent. 

The survey is based on more than 7,000 interviews across 20 states, and covers households in both urban and rural India.

 

The basis of the survey was the National Sample Survey (NSS) consumption data, which helped CSIP surveyors to design a set of questions based on household income, expenditure, and consumption. This formed the profile of everyday givers. The respondents were then encouraged to recall how much and how often they gave over a three-month period. This data was then calculated to reach annual estimates.

 

“India remains one of the fastest-growing major economies in the world and consumption is a major component of GDP. As household consumption expands over time, this segment of everyday giving is likely to evolve and potentially grow alongside it,” Jinny Uppal, head of the CSIP, said in her opening remarks.

 

The survey looks at “everyday giving”, which includes both direct, personal help  to beggars, family, or friends, often seen as charity; as well as donations to organised, non-religious institutions, which is typically described as philanthropy.

 

It also examines “retail giving”, generosity by households of modest means rather than high net-worth individuals (HNIs) or ultra HNIs, to registered nonprofits. Around 46 per cent individual giving is directed primarily to religious organisations. Forty-two per cent goes to beggars and the destitute, especially in urban areas. In rural India, religious institutions take the lead.

 

Krishanu Chakraborty, head of research at the CSIP, said: “For more than 90 per cent of the respondents, the underlying driver is a sense of religious duty -- a moral obligation that shapes and sustains their giving.” He added that with growing income and consumption, it was possible that in the future, a part of the pie would move towards non-religious giving for social causes.

 

In addition to income, the study found a close correlation between levels of education and giving. Giving in all forms rises with education, increasing notably among people who have gone beyond Class X and peaking among graduates and holders of higher degrees. Apart those who cannot read or write or those with a low level of education, over 35 per cent of the respondents have reported donating to religious organisations. A significant share of those who hold a diploma (11 per cent) and a doctoral degree (13 per cent) give to non-religious organisations.

 

During a panel discussion that followed the release of the report, Govind Iyer, independent director at Infosys and partner at SVP International, reflected the position of an institutional donor. He said those who sought philanthropic funding should consider moving towards capability-building targets (like creating leadership) rather than capacity building (like merely increasing the numbers). He also said non-government organisations (NGOs) needed to create models that encouraged repeat donations. Gayatri Nair Lobo, chief executive officer (CEO), Educate Girls, said the primary motivation for continued giving was trust: And to build trust, NGOs should consider “customer relationship management” (CRM) systems. Almost all the participants, including Asha Curran, CEO, GivingTuesday, and Pamala Wiepking, Stead Family Chair in International Philanthropy at the Lilly Family School of Philanthropy, said in-person contact for philanthropy resulted in results better than in digital or other forms of outreach. They also said the data on generosity in India was scarce but expected this trend would be corrected in future.

 

The report reaches interesting conclusions: Generosity is linked to income and consumption. But even those who don’t have a lot give generously.