Perspectives from Brazilian philanthropy that inspire global practices

Article originally published in WINGS, 28/05/2025

By Luisa Lima, Communication and Knowledge Manager at IDIS

In a time of global uncertainty marked by social fragmentation, economic volatility, and pressures on democratic institutions, it’s easy to feel detached from the possibility of collective transformation. In such moments, it helps to look at practices that, while not perfect or universally applicable, offer useful directions.

Rather than becoming paralysed by complexity, many actors in Brazil’s philanthropic ecosystem are experimenting with bold and adaptive strategies. The annual report ‘Perspectives for Brazilian Philanthropy’, released by the Institute for the Development of Social Investment (IDIS), highlights six key trends shaping the philanthropy landscape in 2025. These trends reflect urgency, creativity and, above all, hope in action – showing how Brazilian philanthropy is responding to national challenges, while offering ideas that may resonate beyond its borders.

Like many countries, Brazil is increasingly affected by climate change and its implications. Floods, droughts, and storms are becoming more frequent and severe, often overwhelming the capacities of public and private sectors to respond. In this context, a growing number of philanthropic efforts are moving from reactive aid toward more structured and systemic strategies. Local Community Foundations (CFs), such as Fundação Gerações and ICOM, are helping lead this shift, creating rapid-response funds that mobilise local knowledge, donor networks, and public-sector partnerships to provide both immediate relief and long-term recovery.

One example is the RegeneraRS Emergency Fund, created after the May 2024 devastating floods in Rio Grande do Sul, a state in the deep South of Brazil. The disaster affected 496 cities, displaced more than 150,000 people, and temporarily shut down the state’s main airport. The fund blends philanthropic capital with credit tools1 to support small businesses and rebuild affected areas, a locally rooted model with potential relevance for climate-vulnerable regions elsewhere.

Transforming Territories leadership meeting 2025. Photo by André Porto.

Mental health is another critical issue. Brazil faces high rates of psychological distress, and burnout is increasingly common among civil society leaders and workers, especially those from historically marginalised groups. Local organisations are beginning to prioritise a ‘culture of care’, creating spaces for emotional reflection, peer support, and institutional deceleration. While these efforts are still emerging, they point to a global truth: social impact work cannot continue without emotional sustainability. The philanthropy sector must consider embracing mental well-being as a programme area and the basis for civic engagement.

Institutional capacity is also gaining prominence. In Brazil, the conversation around capacity building has evolved beyond technical skills to include strategic governance, leadership development, sustainable funding models, and adaptation to shifting regulations. Supported by actors such as IDIS, GIFE, and BTG Soma, many organisations are undergoing internal transformations. Flexible funding from donors like Movimento Bem Maior and Instituto ACP further reinforces this shift, emphasising trust and long-term resilience over short-term project outputs. Strengthening the backbone of an organisation, rather than just its front-line programmes, is proving essential to meaningful, sustained change.

Volunteerism, too, is being reimagined. Once limited to direct engagement with specific programmes, volunteering in Brazil is increasingly integrated into decision-making and governance. A notable example comes from the São Paulo Museum of Art (MASP), the largest museum in Latin America. There, a governance overhaul brought business leaders and professionals onto the board, enabling a financial turnaround, the creation of an endowment fund, and a major operational expansion. This approach to strategic volunteerism offers lessons for other philanthropic ecosystems aiming to build institutional resilience and bridge sectors.

In contrast to some parts of the world experiencing political backlash against diversity and inclusion, Brazil continues to see important progress, albeit not without resistance. Initiatives like the Pact for Racial Equity are using ESG metrics to hold companies accountable, while large institutions such as Itaú Bank have committed to public targets and substantial investment in Diversity and Inclusion. These actions demonstrate how philanthropy can uphold inclusive values, even when political environments are unfavourable. In this context, resistance is not reactionary; it is regenerative.

Finally, the practice of private social investment is spreading. Historically driven by large corporations, the field is now seeing increased participation from small and medium enterprises (SMEs), which make up over 90% of businesses in Brazil. Programmes like Commitment 1%, inspired by the global Pledge 1% movement, encourage SMEs to allocate a share of profits to community development. New regulations, such as CVM Resolution No. 193 mandating sustainability disclosures by 2026, are also nudging smaller businesses toward more socially responsible practices.

Together, these developments reflect an ecosystem in motion, not by universal breakthroughs, but by meaningful experimentation, adaptation, and commitment. Brazilian philanthropy offers signals from a complex and deeply unequal society navigating profound change.

The question for global philanthropy is not whether to replicate these efforts, but how to draw from them, translating local insights into broader strategies that are just as bold, inclusive, and resilient as the challenges we all face.

1. The structure catalyses other initiatives on housing, education, business, and urban regeneration, by making donations and absorbing the risks. It’s the ‘fund of funds’.

The transformation that 1% may cause

*By Paula Fabiani, CEO of IDIS – Institute for the Development of Social Investment

Private social investment – the voluntary and strategic allocation of resources for the public good – is essential for resolving deep gaps in the socio-environmental development in the country. Although the State plays a crucial role, there is no way around it. There are several challenges when it comes to providing what is necessary for everyone’s well-being, whether due to Brazil’s continental dimensions or the enormity of the country’s problems that need solving. And that is where private social investment may and must act: contributing to reducing inequalities and mitigating environmental damages. Only with the collaboration between government, companies and society will we be capable of addressing effective and everlasting solutions.

When we talk about private social investment, we’re talking about BRL 4.8 billion in corporate donations, that is, donations made by companies, according to the GIFE census 2023. A significant amount, but still below the figures recorded in 2020, during the peak of the pandemic, when the private sector’s donations exceeded BRL 5.3 billion. The historical figure reinforces that the private sector can invest more – and better.

Through this vision and inspired by the North American movement, Pledge 1%, IDIS – Institute for the Development of Social Investment and Instituto MOL launched Commitment 1% in Brazil.

Launching event of Commitment 1% which happened in São Paulo in PwC Brazil’s headquarters.

The movement has the purpose of gathering companies that already donate at least 1% of their annual net profit, as well as those that have committed to reaching this amount of donations in up to two years. Cyrela, fama re.capital, Gaia Impacto, MOL Impacto, Pantys, PwC, RD Saúde and TozziniFreire Advogados are the first signatories of the commitment, as well as other organizations who are already at an advanced stage in the process of their adhesion.

Designed for companies of all sizes and sectors, Commitment 1% has the goal to drive companies’ involvement with the present and future of society, so that they will invest in projects and organizations who need resources to continue their journey. These are donations for essential organizations that transform the realities of communities in which they are inserted through education, culture, sports, healthcare, environmental and income-generating actions.

With private social investment, companies only stand to gain. Beyond the financial advantages, since it becomes easier to raise funds on the market, companies also improve their reputation, with bigger engagement from collaborators and a more solid relationship with suppliers and clients. It’s an ecosystem that positively impacts all stakeholders.

Creating possibilities for the growth of private social investment and promoting the habit of giving in the country is, without a shadow of a doubt, a path to strengthening organized civil society as an agent of positive socio-environmental changes. This journey can only be traced to people and businesses who believe in the mobilizing and sustainable power of strategic philanthropy and commit to the generation of positive impact. Just start by committing to 1%.

After all, it is now up to us to repair the mistakes of the past and build a future for those who will come. 

Commitment 1% calls on companies to boost engagement in donations to social projects in Brazil

This august, Brazilian companies announced their pledge to Commitment 1%. Envisioned by IDIS – Institute for the Development of Social Investment and Instituto MOL, this initiative seeks to promote donations made by companies to civil society organizations. Amongst the companies that confirmed their commitment to the movement are Cyrela, fama re.capital, Gaia Impacto, MOL Impacto, Pantys, PwC, RD Saúde and TozziniFreire Advogados as well as five other organizations are already at an advanced stage in the process of their adhesion.

 

Inspired by Pledge 1%, movement in the United States that gathers more than 15 thousand signatories, Commitment 1% aims to gather Brazilian companies that already donate at least 1% of their annual net profit and those that commit to reaching this donation level within two years. According to the publication Corporate Social Investment Benchmarking, in 2022, Brazilian companies donated R$4,026 billion. That value equals to about 1/3 of the total donated by individuals, according to IDIS Brazil Giving Research 2022. During the same period, donations made by individuals reached R$12,8 billion.

 

“The goal 

of this commitment is to contribute to the progress of private social investment in Brazil and encourage the longevity of donations as a strengthening strategy of organized civil society. The third sector plays a crucial role in reducing inequalities. Here, we have serious organizations that have been working for a long time in a meaningful way, and financing the work and strengthening of these initiatives is what will assure social transformation in the medium to long-term in the country. And this progress is the company’s responsibility as well”, emphasizes IDIS’ CEO, Paula Fabiani.

 

To the signing parties, the benefits of committing to the movement will be seen in several areas: access to a community of exchanges and knowledge, visibility to the actions taken and reputational gains with stakeholders and becoming an influential agent in your acting market.

 

“The companies that are committing with the 1% are providing and excellent example for others to follow the same path. As Ralph Waldo Emerson says: “Your actions speak so loudly that I cannot hear what you say.” – Aron Zylberman, Instituto Cyrela

At the same time as the recurring and strategic practice of philanthropy contributes to accelerating positive social change and strengthening civil society, companies can develop better relations with their contributors, suppliers and consumers. There is also potential impact on fundraising in the financial market (the strengthening of the S in the ESG helps drive valuation).

 

Launching event of Commitment 1% which happened in São Paulo in PwC Brazil’s headquarters.

The adhesion process includes the confirmation of the donations conducted and can be made online in the commitment’s website.

“Commitment 1%

 is an ambitious and impactful project, capable of driving and accelerating the way that companies commit to the present and future of society, investing to strengthen relevant projects that need resources to keep going”, emphasizes Rodrigo Pipponzi, cofounder of Instituto MOL.

 

Access the Commitment 1% website here, available in English.

1% changes the world!