India is home to millions of persons with disabilities and more than 62,500 disability-focused nonprofits. These organisations provide various services, including early intervention and therapy, education, advocacy, and caregiver support. Yet disability remains one of the least funded areas in the social sector. Why is disability overlooked? Why does this gap persist? And what can funders and nonprofits do address it?

A recent report by Bengaluru-based think tank Pacta argues that disability work is caught in a ‘low-funding equilibrium’—a self-reinforcing cycle in which poor funding weakens organisational capacity, weak capacity reduces funder confidence, and low confidence further depresses funding.

The following findings from the report explain how this cycle operates and the actions that both funders and nonprofits must take to break it.

Why Disability Is Overlooked in Corporate Social Responsibility

1. Disability is highly represented among nonprofits, but barely visible in funding

Approximately 10 percent of India’s nonprofits work on disability. However, disability receives only 0.9 percent of total corporate social responsibility (CSR) spending, amounting to approximately INR 234 crore out of a total CSR expenditure of INR 26,000 crore in 2022.

This gap suggests a disconnect between the scale of work on disability and the funding available to support it. Many funders continue to treat disability as a specialised issue rather than a cross-cutting one that intersects with education, health, and livelihoods. As a result, disability often struggles to compete for resources against causes that funders are more familiar with.

The numbers clearly emphasise the need for better funding for disability. The report notes that 64 percent of persons with disabilities are unemployed and the literacy rate among persons with disabilities is 52.2 percent, compared to the national average of 72 percent.

2. Government signals on disability remain weak

Government priorities frequently shape philanthropic ones by signalling which issues deserve attention and investment. However, India’s combined disability budget is estimated to be around 0.04 percent of GDP, significantly lower than that of comparable countries. Additionally, funding for key disability-related schemes has declined in recent years.

Only one state (Assam) and three central ministries publish disability-disaggregated budgets. When disability is not clearly reflected in public spending priorities, it becomes harder for funders to identify it as an area requiring sustained investment, leaving disability overlooked.

Read the full article about disability funding and corporate social responsibility at India Development Review.