Part of: GS Prelims and GS-II – Governance
- ‘Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund’ (PM CARES Fund) has been set up as a national fund to deal with the COVID-19 pandemic.
- The primary objective is to deal with any kind of emergency or distress situation, like posed by the COVID-19 pandemic.
- The fund will also help in providing relief to the affected.
- This fund will enable micro-donations as a result of which a large number of people will be able to contribute with the smallest of denominations.
- Contribution by corporates to PM-CARES Fund will be considered as CSR expenditure under the companies law, as per Corporate Affairs Ministry’s memorandum.
Important value additions:
PM CARES Fund
- The Prime Minister is the Chairman of the fund.
- Other Members include Defence Minister, Home Minister and Finance Minister.
Corporate Social Responsibility (CSR)
- Under section 135 of the Companies Act, 2013, every company having net worth of at least Rs 500 crore, turnover of Rs 1,000 crore or more, or a minimum net profit of Rs 5 crore during the immediate preceding financial year has to make CSR expenditure.
- The CSR initiatives of companies thrust on creating value in the lives of the communities around its areas of business and manufacturing operations.
PM National Relief Funds (PMNRF)
- These are the other funds under the Prime Minister.
- He is the chairman of the fund.
- The PMNRF is used to support people affected by natural and man-made disasters.
- This includes acid attacks, accidents and riots.
- It is also allotted to people for kidney transplantation treatments, heat, surgeries, etc.