This research assesses the impact of corporate social responsibility (CSR) initiatives on stakeholder engagement within public sector banks (PSBs) in Karnataka. CSR has evolved into a regulatory and strategic imperative for Indian banks; however, its efficacy in promoting substantive stakeholder engagement is still inadequately examined, especially within regional frameworks. A quantitative, cross-sectional research design was employed, gathering data from 141 respondents across various PSBs in Karnataka via a structured questionnaire that included demographic information and CSR-related items. Cronbach's Alpha was used to check the instrument's reliability, and SPSS was used to do descriptive statistics, correlation, and regression analysis. The results show that CSR activities, especially those that help the community, protect the environment, and work with NGOs, make stakeholders more trusting, loyal, and aware. Nonetheless, the findings indicate inconsistent integration, with external initiatives being prioritized over internal stakeholder engagement and communication.