Cathy Pharoah was a panellist in the session on the 'Development Impact of Diaspora Organisations' at the Africa UK Diaspora Funding Conference

1. Growing interest –private/ diaspora philanthropy in aid
www.cgap.org.uk/
International Development Committee
publishes report on private foundations
20 January 2012
Private philanthropy is improving the lives of some of the world's Migrant remittances and
poorest people, but the Department for International charitable donations
Development (DFID) must do more to engage private foundations
in coordinated global efforts to improve the effectiveness of aid. Tom McKenzie and Cathy Pharoah
23 March 2012
While private foundations make a huge contribution, concerns
have been raised about the transparency and accountability…….
foundations should sign ……be brought into global structures to
ensure that they coordinate their work with other donors.
www.shaw-trust.org.uk

2. Philanthropic funding for aid in financial perspective
Type of financial support Amount Source
billion
UK private international giving £1.0 Pharoah,
2011 Global Grant-making, 2011
UK Remittances £2.4 The Migration Observatory,
2009 University of Oxford, 2011
UK ODA 2010 £7.4 DFID, SID, 2010
All DAC country philanthropy $56 Hudson Institute (2012)
2010 Index of Global Philanthropy and
Remittances
All DAC country remittances $190
2010
All DAC countries ODA $575
2010
www.shaw-trust.org.uk

3. Foundations’ international grant-making- new research
Rationale for research: growing interest, highlight profile, stimulate more support
International funding: hugely challenging for foundations
Data sources: audited annual reports and accounts / directories / interviews
Defining international development – not all see their international work as ID
‘activities in developing countries /emerging economies including growth,
governance, health, education, gender, disaster relief, humanitarian aid,
infrastructure, rights, economic/environmental sustainability, research’
Criteria: spending >£50k per annum on ID, manageability, majority by value, heavy skew
Attempt at reliability, but foundations vary in year-ends and published detail, so some estimation
Global Grant-making, www.nuffieldfoundation.org/news/global-grant-making www.shaw-trust.org.uk

4. Scale of UK foundation global grantmaking
Foundations All %
which fund foundations
internationally
Total
grantmaking £2.3 billion £3.1 billion 74%
International development
grantmaking £290 million £290 million -
International dev’t grants
as % of total grantmaking 13% 9% -
Range of international
grants as % of grantmaking 1% - 100% - -
Global Grantmaking, www.nuffieldfoundation.org/news/global-grant-making
www.shaw-trust.org.uk

5. Regional distribution of foundations’ international grants
Total UK Bilateral
Gross Public
Expenditure % UK Foundations
Number* %
Africa 44.21 58 37
Asia 29.16 36 23
Americas 1.74 20 13
Pacific 0.05 2 1
Europe 0.56 13 8
Developing countries
(general) 28 18
Total 75 ? 157 100
Global Grant-making, www.nuffieldfoundation.org/news/global-grant-making www.shaw-trust.org.uk

6. Health - direct services 12
Education - form al 12
General social w elfare 11
Sustainable econom ic and
agricultural developm ent
10
Utilities & infrastructure 9
Philanthropy, civil society &
capacity-building
7
Environm ent - conservation 7
Professional training &
skills developm ent
7
Disaster and em ergency 6
Personal social care 6
Health - prevention &
education
4
Law , advocacy and rights 3
Education - inform al 2
International peace and
security
2
Health, biom edical,
scientific & other research
2
Global Grant-making, 0 2 4 6 www.shaw-trust.org.uk
8 10 12 14
Percentage of trust who fund each subject area %
www.nuffieldfoundation.org/news/global-grant-making

7. Issues for foundations in international funding
Inherently complex and challenging
global political, economic, religious, cultural, ethnic, environmental dimensions
identification of need
local politics and grassroots realities on the ground/ changing canvas
Role of foundations in the funding ecology
what is the ‘ecology’ of current ID funding, and where is the place of diaspora philanthropy?
where does this ‘ecology’ work effectively/ ineffectively?
does foundation funding have a special place, how make best use of limited resources?
how should foundations balance funding to INGO, diaspora groups, local agencies?
How do foundations articulate the challenges, develop strategy?
growing partnering – how are partners chosen?
www.shaw-trust.org.uk
access to information/ expertise – how to develop this? how to increase impact?

8. Developing partnerships – some emerging examples
Paul Hamlyn Foundation India Programme strategy
PHF has supported NGOs in India since 1087, but recently reviewed whether it should continue
to work there, and how it could make a difference
It concluded that despite high economic growth and aid, India remains a poor country with
significant regional imbalances
women, scheduled castes and tribes face persistent barriers to development
commercialisation has driven the rural poor from their land
With a vibrant NGO sector, and recent legislation to devolve power to villages (the Panchayati
Raj Act) PHF aims to provide support at three levels: building development sector capacity,
increasing access of vulnerable communities to basic services, policy development
As a project working at all three levels, PHF funds the National Institute of Women, Child and
Youth Development (NWCYD) to run short-stay facilities for runaway girls at train stations in
Bhopal, Itarsi and Katni. NWCYD works through the ‘panchayat’, elected local representative
councils.
www.shaw-trust.org.uk

9. New kinds of investment and partners
The Baring Foundation - mission-connected investment in Equity for Africa, a fund providing
’transition investing’ for small and medium-sized micro-entrepreneurs in Sub-Saharan Africa
aiming to build their business to the next level.
The Ashmore Foundation – social enterprise as a sustainable approach to building skills and
income in marginalised communities, and is building primary health care enterprise in Ghana.
Supports the AfriKids Medical Centre to provide basic health services to the community of
Bolgatanga, with ambitious plans to grow. The Foundation has funded a permanent x-ray suite
both to improve local access to healthcare and provide a sustainable revenue for the Centre.
Gatsby Charitable Foundation and Wood Family Trust – joint funding partnership to work
with tea industry stakeholders in Tanzania to launch the Chai Project. Its aims are to double
small-holder production, increase productivity and incomes, and enhance the competitiveness of
the smallholder tea farmer. Research has analysed input supply to end market –
what opportunities exist for expanding production and increasing productivity?
an industry benchmarking of competitiveness and cost structure of Tanzania’s tea sector.
Support through technical assistance, matching grants, loans, equity, other commercial
www.shaw-trust.org.uk

10. Major preventive programmes – government partners
Children’s Investment Fund Foundation
Few independent funders, apart from Bill and Melinda Gates Foundation, have resources for
large-scale preventive public health and education programmes with government and
international agency partners
In the UK CIFF has invested + £18 million in child survival in 2009/2010, with a particular focus
on malaria, AIDS, and educational development.
It aims to help eliminate paediatric HIV/AIDS in Zimbabwe, supporting the government’s work
through a major grant to the Elizabeth Glaser Paediatric Aids Foundation.
Through a ‘Teacher-Community Assistant Initiative (TCAI) in Ghana, the Foundation is
working with the government to improve education outcomes for primary school children,
aiming to rollout TCAI across 13,000 schools.
www.shaw-trust.org.uk

11. Globalism in corporate partnering
Modern business links continue to be highly important in defining areas of foundation interest:
the Ashdown Foundation, which is funded through donations from Ashdown Capital
employee bonuses, supports projects in Emerging Market countries
the Innocent Foundation supports activities in the countries from which the fruit they use is
sourced.
Successful international entrepreneurs want to give back to their countries of origin, including
Central and Eastern Europe:
the Khodorkovsky Foundation supports higher education amongst young Russians
the Kusuma Trust UK, founded by Anurag Dikshit, aims to strengthen secondary and tertiary
educational achievement in India.
www.shaw-trust.org.uk

12. Trans-national activities with local partners
Wellcome Trust - Mahidol University- Oxford Tropical Medicine Research Programme
This initiative is part of the Wellcome Trust's south-east Asia Major Overseas Programme, in
Thailand, and was established in 1979 by Mahidol University in Bangkok, and the University of
Oxford.
Its field research extends across Thailand, and provides healthcare to refugee and displaced
communities along the Thai-Myanmar border, and to other communities. It has clinical research
collaborations with groups in Bangladesh, Cambodia and India, as well as a number of African
countries.
The Programme employs around 370 people, over 90 per cent of whom are local staff. It has
achieved international recognition for its excellence in tropical disease research and research
training and career development track from MSc to postdoctoral training, to develop research
leaders both locally and internationally.
www.shaw-trust.org.uk

13. Working through INGO
Waterloo Foundation – keeping girls in education
In 2009, the Foundation provided Camfed (the campaign for Female Education) with a grant of
£100,000 to support the costs of educating 800 girls in south east Tanzania. The grant will
provide targeted support to enable girls to continue in secondary school, when large numbers
drop out of formal education altogether.
The support provided by Camfed pays for school fees and accommodation, as well as providing
mentorship and general support to improve the quality of learning outcomes at the schools with
which they partner.
A close partnership with district education authorities is maintained to monitor the impact of
programmes on drop-out rates and secondary pass rates for all girls in the districts in which
Camfed operates.
www.shaw-trust.org.uk

14. Partnerships for sustainable development: some issues
Diverse patterns of funder interventions
Is impact fragmented?
Growing partnering – how are partners chosen?
Access to information/ expertise – how to develop this?
Stronger role for growing diaspora communities and resources they bring?
What could help more holistic ‘joined- up’ approaches to be developed ?
www.cgap.org.uk/ www.shaw-trust.org.uk