Indians Donate Rs 54,000 cr Annually

March 17, 2026

The Supreme Court has repeatedly warned that a solid foundation for the country’s development cannot be laid by distributing populist “freebies” and engaging in gratuitous distribution schemes. However, a politics of patronage has come to dominate the nation.

A new trend has also emerged wherein every political party, once in power, uses the pretext of people’s backwardness to justify directly depositing funds into their bank accounts. We proudly proclaim that we distribute subsidized or free food grains to 800 million people across the country every year. There appears to be no possibility of discontinuing this practice. Indian culture has, in a sense, given this an indirect seal of approval, as acts of charity (daan) are considered highly meritorious deeds here. Should we, then, view this state-sponsored patronage as a form of “governmental charity”—one that fosters a culture of dependency and discourages people from working?

Let us examine this in greater detail. A recent survey reveals that a staggering Rs 54,000 crore is donated in India every year. 68 percent of the population believes that their lives are truly fulfilled only if they engage in charitable giving in one form or another. Of the total donations, 45.9 percent is directed toward religious institutions.

These figures are derived from the ‘How India Gives 2025’ report. Recently, a report from Madhya Pradesh revealed that a beggar arrived in a car to solicit alms; he then changed his clothes and set about begging. For many beggars, the practice of changing their appearance to beg is no longer an uncommon occurrence. A sum of 54,000 crore rupees in donations is by no means insignificant.

If religious institutions were to utilize the portion of this massive wealth derived from religious donations to construct hospitals or schools, it would result in immense public welfare. We do not claim that religious institutions have failed to do so; indeed, many institutions have undertaken such initiatives. However, these institutions ought to channel even more funds from their treasuries toward the economic and social development of the nation