Companies and state-owned enterprises in South Africa spent R8.6 billion, in total, on social development in the country in 2015/16 – representing a 6% increase in nominal growth from the previous year. This growth is in line with inflation over the review period, reflecting zero growth in real terms. This, according to Trialogue’s annual research into expenditure on, and approaches to, corporate social investment (CSI) in South Africa.
Until 2013, Trialogue consistently found that the total annual estimated CSI expenditure was growing in real terms. For the last two years, however, CSI expenditure experienced negative growth in real terms (-2% in 2014 and -6% in 2015) and has now flattened to zero real growth.
Top 100 companies invested R5.8 billion in CSI
This amounts to 68% of the total CSI expenditure. Fifteen companies tracked by Trialogue spent more than R100 million in 2015/16, together accounting for over half of the total amount spent by top 100 companies.
The mining, retail and financial services sectors together accounted for three-quarters of total CSI expenditure, with mining alone accounting for over 30% of total CSI expenditure.
Education received nearly half of CSI spend
Education was the most popular cause, supported by over 90% of companies and receiving almost half of the total CSI spend (48%) – up from 32% in 2010. Social and community development and health were the second and third most commonly supported sectors, although support and expenditure for both declined marginally from 2015.
Gauteng-based projects are most commonly supported by companies
Gauteng received the greatest share of CSI expenditure out of the provinces, although the amount declined for a second year in a row to 19% in 2016, from a peak of 27% in 2014. Support for projects in Limpopo increased marginally, while decreases in corporate support were noted for all other provinces.
This, along with other key findings and thought leadership on CSI, is detailed in the widely-referenced Trialogue CSI Handbook 2016 – a resource intended to enhance the impact of social development initiatives in South Africa – that was released on Tuesday, 6 December.
For more information about The Trialogue CSI Handbook 2016 or to book an interview, please contact managing editor, Zyaan Davids, on 021 671 1640 or 078 287 2296, or email firstname.lastname@example.org.