CSR and Community Development: A Focus on Firms in the Extractive Sector in Africa

Abstract

Extractive multinational corporations perform corporate social responsibility (CSR) activities for their host communities in the form of community development (CD). Consequently, the functions and roles of CSR in CD in developed and developing countries are very large and therefore cannot be overemphasized. This chapter points out the CSR activities and CD engagements of multinational corporations in the extractive mineral sector in Africa. Mineral extraction takes place in many communities in Africa. It is, therefore, imperative for organizations in the extractive industry to demonstrate their commitment to CSR by making important contributions to CD. Furthermore, the paper highlights the long-term community development of multinational mining corporations toward communities near them, which equally enhances goodwill and harmony with the adjacent communities. A content analysis of sustainability reports of firms in the extractive industry in Africa revealed that CSR efforts toward CD are in the areas of education, health, employment, skills development, water, and sanitation. It is envisaged that recommendations that will be put forward will enable policy makers and the extractive industry actors to ensure good relations between them and the communities.