Half of Romanian companies have higher CSR budgets

Romanian companies get more and more into the corporate social responsibility (CSR) trend, and start to increase the amounts they spend in this area, while focusing on less - but more expensive - such projects. This year, over half - 63% - of companies involved in CSR will allocate between EUR 5,000 and EUR 500,000 for social responsibility and sustainability projects, according to the CSR Trend and Realities in Romania study conducted by CSRmedia.ro and EY Romania. Some 14% of them will spend between EUR 5,000 and EUR 10,000, 27% will allocate between EUR 10.000 and EUR 50,000, and 21% will have a budget of up to EUR 500,000. Compared to 2014, almost half of the companies involved in CSR also increased their budget for these projects. About a third of them increased their 2015 CSR budget by up to 10% while 17% allocated a 10-30% higher budget. This year, half of the CSR budget comes from tax deductible allocations and only a third comes from non-deductible allocations. The situation is different from last year’s, when half of the budget came from non-deductible allocations and only 37% the deductible ones. “These findings show a greater concern of companies to integrate CSR activities in their business strategy, amid growing interest from the business community, the media and the civil society on this subject,” according to CSRmedia.ro and EY Romania. Compared to previous years, 69% of the surveyed companies are already involved in CSR. Some 40% of the surveyed companies have sales of under EUR 10 million, 30% - between EUR 10 million and EUR 100 million, and 30% - over EUR 100 million. In 2014, companies carried an average of 8.7 CSR projects, down by over a third year-on-year, which indicated a greater focus on major initiatives. However, over half of the projects carried out last year have an individual budget of up to EUR 5,000. “The business environment in Romania heads toward an area of maturity in terms of social responsibility. The third edition of our study shows a diversification of the companies’ concerns in this area and a stronger focus on sustainability,” said Elena Badea, marketing manager EY Romania. The third edition of the study was conducted between April 27 and May 25, 2015. The report analyses the answers of 311 top managers from the local business segment and CSR specialists. Irina Popescu, irina.popescu@romania-insider.com