IDIS participates on report focused on the impacts of the pandemic on philanthropy

Candid and the Center for Disaster Philanthropy (CDP) released a new report, Philanthropy and COVID-19: Examining two years of giving, that details COVID-19-related philanthropic funding in 2021. Candid and CDP’s third assessment of COVID-19 philanthropic data notes a concerning decline in giving by large U.S. foundations even as communities face decades-long efforts to recover from the compounding effects of the pandemic.

One of the chapters of the report is dedicated to pointing out how the pandemic impacted philanthropy in other countries, one of them Brazil. IDIS contributed with its expertise and point of view and the project Emergency Health Fund – Coronavirus Brazil created by IDIS, BSocial and Movimento Bem Maior in 2020 and which raised R$ 40.4 million to help hospitals in 25 Brazilian states against COVID, was highlighted as a case study.

Check out the main highlights of the report:

Candid and the Center for Disaster Philanthropy (CDP) released a new report, Philanthropy and COVID-19: Examining two years of giving, that details COVID-19-related philanthropic funding in 2021. Candid and CDP’s third assessment of COVID-19 philanthropic data notes a concerning decline in giving by large U.S. foundations even as communities face decades-long efforts to recover from the compounding effects of the pandemic. The new report highlights the need for more philanthropic support for long-term recovery, and CDP provides actionable steps funders can take to invigorate their COVID-19 giving strategy, including:

  • Increase support to marginalized communities.
  • Provide flexible funding to grantees.
  • Implement trust-based philanthropy.
  • Fund as locally and grassroots as possible.
  • Commit to transparency by sharing grants data with Candid.

In previous reports, CDP and Candid noted the record amount of disaster-related funding for the pandemic. The new report includes analysis of Candid’s coronavirus data set (as of December 15, 2021) to illuminate funding trends among U.S. foundations, corporations, and high-net-worth individuals. To date, Candid has recorded $1 billion for COVID-19 in 2021. Additional key findings from the report include:

  • 18% of COVID-19 funding was explicitly designated as flexible funding or general support.
  • 17% of funding was coded for policy, advocacy, and systems change.
  • Health, human service, and education organizations received the highest shares of funding.
  • U.S. donors allocated 22% of funding dollars to recipients based outside the United States.
  • For U.S.-focused domestic funding, 27% of dollars was explicitly designated for racial and ethnic identities. Of this, 71% didn’t indicate a specific identity, but instead, was broadly designated for “racial equity” or “communities of color.”

This report also examines data from Candid’s Foundation Giving Forecast Survey, which surveys large U.S. foundations about their grantmaking. This year’s survey asked respondents about their total grant payments in FYE 2020 and 2021 and also sought to find out how much of this funding was specifically for COVID-19-related support. Results show:

  • An 11% increase in overall grantmaking, but a 31% decline specifically for COVID-19-related funding in FYE 2021.
  • Corporate foundation funding for COVID-19 decreased by 76%; community foundations’ funding decreased by 43%; and funding by independent foundations decreased by 24%.
  • COVID-19 funding accounted for 7% of total giving in FYE 2021, compared to 12% in FYE 2020.

“Overall, surveyed funders did not maintain their COVID-19 support in the second year of the pandemic,” observes Grace Sato, director of research at Candid. “But defining COVID-19 support can be challenging. Since there isn’t a universal definition of COVID-19 funding, survey respondents used their own criteria to estimate how much of their grant payments were allocated for COVID-19. Many may not have considered increased general support or increased flexibility as part of their pandemic funding.”

Chart: Covid-19 support as share of total grant payments FYE 2020 vs 2021

To illustrate funding flows outside the U.S., country and regional experts described the philanthropic response in their localities. The report presents snapshots of COVID-19 funding in 11 countries, including case studies of how philanthropy responded to the crisis in India, Brazil, and Ukraine.

The report also provides information about CDP’s approach to disaster grantmaking. In 2021, CDP granted nearly $2.6 million in 2021 to address psychosocial health and wellbeing needs after disasters.

“We strongly believe that mental health is an area that will need ongoing funding to support global COVID-19 recovery,” said Regine A. Webster, vice president of CDP. “Our communities—especially communities of color—are going to feel the impacts of the pandemic for decades to come. We need to keep the momentum in ensuring that frontline organizations have the financial resources to address immediate needs and root causes to help all community members thrive.”

Philanthropy and COVID-19: Examining two years of giving is available here.