Private philanthropy for the SDGs Insights from the latest OECD DAC statistics
January 2020
PRIVATE FINANCE FOR SUSTAINABLE DEVELOPMENT CONFERENCE 2020 Aligning Finance with the Sustainable Development Goals
OECD DAC Statistics on Private Philanthropy for Development Private philanthropy is reshaping the development landscape like never before. Foundations are playing an increasingly prominent role in supporting the Sustainable Development Goals (SDGs) as called for in the 2030 Agenda. The OECD Development Assistance Committee (DAC) has proven experience in collecting data on development finance. DAC statistics are not limited to official development finance such as Official Development Assistance (ODA), but also include grant making and investments by private philanthropic foundations. The Bill and Melinda Gates Foundation started sharing data with the OECD in 2010. Since then, the Organisation has been engaging with other key foundations working for development to collect data and provide a more comprehensive picture of the sector.
The OECD DAC database on private philanthropy currently includes project-level information from 33 philanthropic foundations active in development. These open data are fully comparable with those reported by ODA providers and multilateral organisations, and offer many insights on foundations’ contributions to development and the SDGs more broadly. The OECD DAC statistics are therefore a unique source of information on broader development finance and contribute to forging better policies and better partnerships for the SDGs. This brochure highlights some of the main trends regarding philanthropic giving and investments in support of development over 2017-18.
3
Private philanthropic flows amounted to USD 7.8 bn in 2018 Private philanthropy compared to ODA in 2018
Private philanthropy, 2013-18 Gross disbursements, USD billion
Official development assistance (ODA)
6.1
2018 grant equivalent
3.3
USD 167.8 billion Private philanthropic foundations 2018 gross disbursements
USD 7.8 billion
7.3 6.5
3.6
4.1
2.8
2.9
3.3
2013
2014
2015
Source:
7.3
7.3
7.8
3.0 7.3
7.8
2017
2018
4.3
2016
Regular reporting Survey data, 2016 estimates
Data for 2017-18 relate to activities by 33 of the largest philanthropic foundations collected through the regular OECD DAC reporting system. Data for 2013-15 originate from regular reporting complemented with survey data from 130 foundations. Data for 2016 are sources from the OECD DAC database and complemented with OECD estimates.
Source: OECD DAC Statistics
4 44
Foundations play a key role in financing the social sectors such as health and education Top providers in the health & reproductive health sectors, all developing countries
Top providers in the education sector in Africa
2017-18 average, gross disbursements USD billion
2017-18 average, gross disbursements USD billion
United States
8.8
Global Fund
3.8
33 private foundations
3.2
United Kingdom
1.8
GAVI, the Vaccine Alliance
1.5
World Bank (IBRD/IDA)
0.6
United States
0.6
France
0.4
Germany
0.4
United Kingdom
0.3
Germany
0.8
33 private foundations
EU Institutions
0.7
Canada
0.2
Canada
0.5
EU Institutions
0.2
WHO
0.5
Norway
0.1
Japan
0.5
Japan
0.1
IADB Group
0.4
AfDB
0.1
Netherlands
0.3
Italy
0.1
Korea
0.3
Korea
0.1
AsDB
0.3
Belgium
0.1
Norway
0.3
Australia
0.1
Health
Population and reproductive health
General
0.3
Sector-specific
Source: OECD DAC Statistics
5 5
The BMGF remains the main philanthropic provider, followed by the BBVA Microfinance Foundation Private philanthropy for development by provider, 2017-18 average, gross disbursements 3,903
17% 1,165
USD 7.5 billion
17%
2017-18 average
51%
Bill and Melinda Gates Foundation (BMGF) BBVA Microfinance Foundation Other American (United States & Canada) Other European foundations
15%
USD million
360 272 265
234 219
197
161
121 107
82 82 64 55 48 43 37 31 30 28 21 21 17 16 14 14 13 13 9
*
* United Postcode Lotteries include the Dutch, Swedish, Norwegian and People’s (UK) Postcode Lotteries
Source: OECD DAC Statistics
6
Africa remained the most targeted region, followed by Latin America, largely thanks to BBVA Microfinance Foundation Private philanthropy by region, 2017-18 average, gross disbursements
ASIA & OCEANIA
EUROPE
USD 1.0 billion 13%
USD 0.03 billion 0.3%
LATIN AMERICA
37%
USD 1.4 billion 19%
14%
44%
33%
63%
3%
56%
83%
67% AFRICA USD 1.8 billion 24%
Global, unallocated USD 3.3 billion; 44%
Private philanthropy by income group, 2017-18 average, gross disbursements USD million UMICs LMICs Other LICs LDCs
1,074
20
1,524
757
BMGF
BBVA MF Fnd
Other
Source: OECD DAC Statistics
7
Philanthropic flows were highly concentrated, with almost 24% of total funding allocated to 5 countries Private philanthropy by recipient country, 2017-18 average, gross disbursements
Beyond the DAC List of ODA Recipients
2% 5%
5%
max
min
3%
9%
Top 20 recipients of philanthropic funds, 2017-18 annual average, gross disbursements
USD million
673 403
363 205
144
134
128
123
101
97
89
84
58
55
54
46
38
36
35
34
Source: OECD DAC Statistics
8
Health was still by far the main sector targeted Private philanthropic flows by socio-economic sector, 2017-18 average, gross disbursements USD million
Social infrastructure and services (57.5%)
HEALTH & REPRODUCTIVE HEALTH GOVERNMENT & CIVIL SOCIETY EDUCATION OTHER SOCIAL INFRA. AND SERVICES WATER AND SANITATION
Production sectors (19.6%)
AGRICULTURE, FORESTRY & FISHING TRADE (retail, wholesale, policies) INDUSTRY, MINING, CONSTRUCTION TOURISM
Economic infrastructure and services (7.8%)
BANKING AND FINANCIAL SERVICES BUSINESS AND OTHER SERVICES ENERGY TRANSPORT AND STORAGE COMMUNICATIONS
Cross-cutting (5.2%)
ENVIRONMENTAL PROTECTION OTHER MULTISECTOR
Humanitarian aid (1.6%)
HUMANITARIAN AID
Other (8.3%)
Other, unallocated, debt relief BMGF
491.0 (6.5%) 352.0 (4.7%) 210.5 (2.8%) 126.4 (1.7%)
3,155.8 (41.8%)
815.1 (10.8%) 514.9 (6.8%) 125.4 (1.7%) 21.0 (0.3%) 220.4 (2.9%) 128.9 (1.7%) 109.8 (1.5%) 106.6 (1.4%) 25.7 (0.3%) 295.4 (3.9%) 93.9 (1.2%)
122.1 (1.6%)
BBVA MF Fnd
629.6 (8.3%) Other
Source: OECD DAC Statistics
9
Foundations mainly partner with civil society organisations and research institutes Private philanthropy by channel of delivery, 2017-18 average, gross disbursements
24%
NGOs & civil society
Universities, research institutes, think tanks etc.
16% Multilateral organisations
$
Public-private For-profit private sector partnerships
21%
(PPPs) and networks
Other channels
Partner countries
33 philanthropies
33%
2%
4% Source: OECD DAC Statistics
10
Foundations also provided finance in the form of investments (16.3%) Philanthropic investments*, 2017-18 average, gross disbursements
By provider
By main sector
1,165
Equity instruments Debt instruments
71%
2%
USD
1.2 bn
10%
USD million
(16.3%) 17%
5
3
2
CIFF
Hilton Fnd
Rockefeller Fnd
BMGF
Dell Foundation
Grameen CA Foundation
BBVA Microfinance Fnd
14 10 6
Omidyar Network Fund, Inc.
37
Social infrastructure and services Economic infrastructure and services Production sectors Other * Philanthropic investments include foundations’ programme-related investment (PRIs), mission-related investments (MRIs), impact investments and other nongrant activities administered with the promotion of the economic development and welfare of developing countries as the main objective.
Source: OECD DAC Statistics
11
Foundations mostly focus on SDGs 2, 3, 5, 8 and 11* Private philanthropy towards the SDGs, 2018 commitments USD billion
3.3
1.9
1.8
1.8
0.5
0.4
0.4
0.3
0.2
0.2
0.1
Cross-cutting
0.6
Cross-cutting
0.9
Cross-cutting
1.3
SDG 3 SDG 11 SDG 5 SDG 8 SDG 2 SDG 16 SDG 13 SDG 4 SDG 15 SDG 7 SDG 6 SDG 12 SDG 14 SDG 9 SDG 1 SDG 10 SDG 17
Other
BMGF
BBVA Microfinance Fnd
*: Methodology: Data reporting on the SDG focus (Creditor Reporting System), complemented with OECD analysis. Individual activities may target multiple SDGs. Amounts per SDG in this chart should therefore not be added up. SDGs 1, 10 and 17 are considered crosscutting. SDG data are only available for 2018 commitments. Source: OECD DAC Statistics
12
Philanthropy for SDG 3: USD 3.3 billion in 2018 USD million, 2018 commitments
Geographic distribution
Beyond the DAC List of ODA Recipients
max
min
Top foundations BMGF Wellcome Trust CIFF UPL Rockefeller Fnd Packard Fnd Hewlett Fnd MasterCard Fnd MacArthur Fnd Hilton Fnd World Diabetes Fnd Oak Fnd Other foundations
39 35 28 17 14 12 11 11 29
Main sectors targeted 192 163
275
2,486 Reprod. health
65% 24%
5%
6% Health
Energy
Other
1% 2%
Agriculture, forestry & fishing
1% 2%
Government & civil society
Water & sanitation
Source: OECD DAC Statistics
13
Philanthropy for SDG 4: USD 528 million in 2018 USD million, 2018 commitments
Geographic distribution
Beyond the DAC List of ODA Recipients
min
Main sectors targeted
Top foundations LEGO Fnd UPL BMGF MasterCard Fnd Dell Foundation Ford Foundation Rockefeller Fnd Hilton Fnd Carnegie Corp. Citi Fnd Hewlett Fnd CIFF Other foundations
51 38 29 25 23 17 14 12 11 10 46
Source: OECD DAC Statistics
max
129 124
Humanitarian Other 3% aid Economic 10% infrastructure 4% and services
17%
Post-secondary education Secondary 5% Level education unspecified
9%
66%
Other social sectors* HEALTHEducation
22%
33% Basic education
* Health and reproductive health, government and civil society, water and sanitation and other social infrastructure and services
14
Philanthropy for SDG 5: USD 1.8 billion in 2018 USD million, 2018 commitments
Geographic distribution
Beyond the DAC List of ODA Recipients
min
Main sectors targeted
Top foundations BMGF BBVA MF Fnd UPL Ford Fnd CIFF Oak Fnd Grameen CA Fnd Hewlett Fnd Packard Fnd Wellcome Trust Comic Relief Rockefeller Fnd Other foundations
79 71 47 37 37 35 14 12 12 41
142
max
575
703 Economic infrastructure and services
Other 8%
8% Agriculture, forestry & fishing 9% 40% Other social 5% infrastructure and services 13% 17% Government Trade & civil society
Health & Reproductive health
Source: OECD DAC Statistics
15
Philanthropy for SDG 15: USD 389 million in 2018 USD million, 2018 commitments
Geographic distribution
Beyond the DAC List of ODA Recipients
min
Main sectors targeted
Top foundations Moore Fnd Oak Fnd UPL Packard Fnd MAVA Fnd Hewlett Fnd Arcus Fnd MasterCard FND Other foundations
max
102 84 83 46
Other
8%
34 14 11 4 10
Economic Infrastructure & services
22%
50% 20%
General environmental protection
Agriculture, forestry & fishing
Source: OECD DAC Statistics
16
Focus on Africa: USD 1.8 billion on average in 2017-18 Top 10 recipients
Top foundations
2017-18 average, gross disbursements, USD million
2017-18 average, gross disbursements, USD million 1,026
205 123
101
97
84
Main sectors targeted
South Africa
Uganda
Tanzania
Kenya
Ethiopia
35
34
2018 commitments, USD million
See page 12 for a methodological note on the SDG focus.
384
AGRICULTURE, FORESTRY, FISHING
233
EDUCATION
108
GOVERNMENT & CIVIL SOCIETY
91 57
WATER SUPPLY & SANITATION
38
OTHER SOCIAL SECTORS
34
OTHER SECTORS
38
822
HEALTH AND REPRODUCTIVE HEALTH
ENVIRONMENT PROTECTION
55
Top SDGs
2017-18 average, gross disbursements, USD million
BANKING & FINANCIAL SERVICES
Nigeria
BMGF MasterCard Fnd CIFF Wellcome Trust Ford Fnd Hewlett Fnd Comic Relief MAVA Fnd Hilton Fnd Rockefeller Fnd UPL MacArthur Fnd Oak Fnd Carnegie Corporation Packard Fnd Grameen CA Fnd Gatsby Char. Fnd Dell Fnd ONF Arcus Fnd
73 64 55 41 39 37 35 34 30 24 19 16 14 14 13 11 9 8
Senegal
128
Zambia
56%
DR of the Congo
44%
BMGF Other foundations
Ghana
268
61
Source: OECD DAC Statistics
17
Focus on South Asia: USD 665 million on average in 2017-18 Recipients
Top foundations
2017-18 average, gross disbursements, USD million
2017-18 average, gross disbursements, USD million 500
403
25% 75%
29
134
11 11 8 8 7 7 6 5 5 5 3 2 2 2
Main sectors targeted
GOVERNMENT & CIVIL SOCIETY WATER SUPPLY & SANITATION EDUCATION ENERGY OTHER SOCIAL SECTORS OTHER SECTORS
2018 commitments, USD million
See page 12 for a methodological note on the SDG focus.
392
HEALTH AND REPRODUCTIVE HEALTH BANKING & FINANCIAL SERVICES
20 19 6 3
Top SDGs
2017-18 average, gross disbursements, USD million
AGRICULTURE, FORESTRY, FISHING
46
India Pakistan Bangladesh Afghanistan Myanmar Nepal Sri Lanka
14 14
BMGF CIFF Dell Fnd Hewlett Fnd C&A Fnd Ford Fnd Packard Fnd Oak Fnd Omidyar Net. Fund MacArthur Fnd Rockefeller Fnd Wellcome Trust UPL LEGO Fnd H&M Fnd Grameen CA Fnd Metlife Fnd Citi Fnd Comic Relief World Diabetes Fnd
21 19
BMGF Other foundations
59 39 37 36 33 18 16 35
Source: OECD DAC Statistics
18
Examples of other large foundations active in development not yet reporting to the OECD Gross disbursements Open Society Foundations
Howard G. Buffett Foundation
USD 268.9 million in 2017-18 on average
USD 125.0 million in 2017-18 on average
Other (5%)
80%
Other 7% Education 3% Agriculture 5% Health 6%
Government & civil society (human rights, rule of law, civil society)
20% South of Sahara
MENA 6% 11%
South & central Asia Europe 6% 8%
Latin America
Government & civil society (36%) - rule of law, human rights (21%) - demining (15%) 59% Agriculture
Rwanda
AFRICA AMERICA 45%; Unallocated
OTHER
Colombia 4.1
4%; Other Asia
Susan T. Buffett Foundation USD 298.3 million in 2017-18 on average
?
54.7 Other Latin America
Bloomberg Philanthropies USD 180.7 million in 2017-18 on average Health, general Infectious diseases 30% control; 14%
Multisector Population & reproductive health 100%
El Salvador
66.2
(urban management)
12% Other 12%
Health (76%) Reproductive health; 5%
Non-communicable diseases; 27%
Source: OECD Estimates
19
For online data: Private Philanthropy for Development (CRS), stats.oecd.org/Index.aspx?DataSetCode=DV_DCD_PPFD Creditor Reporting System (CRS), stats.oecd.org/Index.aspx?DataSetCode=crs1
For more information: oe.cd/foundationsdata www.oecd.org/dac/financing-sustainable-development/development-finance-standards/beyond-odafoundations.htm
Contact: cecile.SANGARE@oecd.org tomas.HOS@oecd.org
OECD Development Co-operation Directorate