A study on the relationship between Corporate Social Responsibility expenditure and Profibilit: Analysis and Impact.

Abstract

Corporate social responsibility (CSR) is not a new concept in the banking sector, but nowadays, it becomes highly typical since the crisis has significantly highlighted the need for integration of moral principles in the banking business. The purpose of the study is to discover the impact of Corporate Social Responsibility (CSR) expenditure on the profitability of Jammu and Kashmir Bank Limited which indicates the fundamental picture of the overall Jammu and Kashmir State. J & K bank Ltd. is one of the non-government commercial Banks the dependent variable. Required data are collected from the annual reports of Jammu and Kashmir Bank Limited from the financial year 2014-15 to 2016-17 and analyzed using ordinary least squares (OLS) model and test the hypothesis through the student’s t test. The result show that there is no significant impact of CSR on Net profit and therefore recommends the bank to critically evaluate its existing policy on performing CSR activities to increase profitability.