CSR framework in the offing

Published December 30, 2015

ISLAMABAD: The Asian Development Bank (ADB) will help Pakistan develop best practices models to strengthen collaboration between the government, businesses and civil society organisations for the delivery of social services and poverty reduction.

The ADB assistance will lead to developing Corporate Social Responsibility (CSR) frameworks and partnership models for effective linkages between public, private and civil society sectors.

The models aims to ‘building capacity of key stakeholders to strengthen partnerships; and establishing philanthropy and civil society organisation (CSO) networks to facilitate sustainable governance structures to contribute to inclusive social sector development and poverty alleviation in Pakistan’.

The ADB technical assistance will also enhance the capacity for resource mobilisation and CSR contribution of private sector and SCOs in Pakistan, according to ADB.

“Pakistan has experienced periods of strong economic growth. However, the resilience of the economy has been tested by exogenous and endogenous shocks and periods of macroeconomic instability. Sustainable social development and poverty alleviation has lagged behind economic growth,” the bank noted.

Pakistan ranks 146th out of 186 countries on the Human Development Index (HDI). Its progress in HDI and achieving the Millennium Development Goals (MDGs) were below many peer countries.

Pakistan’s expenditure on social sector at 0.8 per cent on health and 1.8pc on education is very low by world standards. The result is a large social sector deficit which is a drag on sustainable, inclusive economic growth and poverty alleviation, and creates risks to social stability.

It is clear that the magnitude of the social sector service delivery is beyond the fiscal and institutional capacity of the government, thus other alternatives must be considered to help achieve sustainable development.

In other countries, efforts are being made to create productive and viable linkages with key stakeholders such as the private sector and the civil society to ensure attainment of development goals. This may be a viable option for Pakistan as well.

To mobilise additional CSR and corporate philanthropy and to enhance its effectiveness, it is essential to identify best CSR practices and models, CSO implementing partners, and to form strong and credible linkages between government, philanthropists and civil society.

In order to enhance CSR for inclusive growth in Pakistan, it is crucial to generate relevant knowledge, form synergies, and create an enabling environment where these three segments of society work in partnership.

The ingredients exist to strengthen business and CSO contributions to overall social development and sector service improvement. Pakistan is a giving society, as indicated in several studies.

Published in Dawn, December 30th, 2015

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