CSR in the post pandemic era: the dual promise of ESG investment and investor stewardship

ABSTRACT This paper locates its relevance in the post-coronavirus era. The business and legal fraternities have been provided an opportunity to re-examine the role of companies in society, at a time when supply chains are being dismantled and distrust in capitalism has increased. We argue that for companies to build sustainability into business practices (for CSR cannot just be a “check the box” solution to social ills), the investment community – with necessary support from the regulators – must pressurize businesses to do so. We observe that the manner in which CSR is understood and implemented in India is insufficient, due to a myriad of factors including vested political interests. Thereafter, we highlight how market-driven measures such as ESG investing, uniform ESG reporting and an effective investor stewardship model can be the next pieces of the “desirable” CSR puzzle in India.