Responding to Covid-19: Who’s Doing Good?

30 March 2020 - 05 April 2020

THE GIVERS
Philanthropists are donating supplies and funding initiatives supporting hard-hit communities.

Azim Premji, one of India’s most generous philanthropists, earmarked Rs1,125 crore (nearly US$150 million) to fight Covid-19. This charitable initiative is a joint effort by his eponymous foundation and Wipro, the IT company he founded. The Azim Premji Foundation is giving US$132 million, Wipro’s commitment is around US$14 million, and Wipro Enterprises around US$4 million. The funds will focus on providing immediate humanitarian aid.

Ratan Tata, Tata Trusts chairman and CAPS advisory board member, took to Twitter after he announced a Rs500 crore (approximately US$66 million) donation. In his message he stated, “In this exceptionally difficult period, I believe that urgent emergency resources need to be deployed to cope with the needs of fighting the Covid-19 crisis, which is one of the toughest challenges the human race will face.” Tata Sons and Tata Trusts have contributed a combined Rs1,500 crore (approximately US$200 million) to the fight against Covid-19.

Jack Ma and Joe Tsai, co-founders of Alibaba, have donated 2.3 million masks, 170,000 pieces of protective gear, and 2,000 ventilators to New York—the US epicenter of the coronavirus pandemic.

THE NONPROFITS
Charities are stepping up their operations and joining forces to serve communities affected by Covid-19.

Meer Foundation, an NGO that works to rehabilitate burn and acid attack survivors and empower women in India, is joining the fight against Covid-19. Along with Ek Saath-The Earth Foundation, it will provide food to over 5,500 families and set up a kitchen to produce 2,000 cooked meals for households and hospitals in India. Meer Foundation and Roti Foundation will provide 300,000 meal kits for 10,000 people per day for at least a month. Meer Foundation will also provide essential items and groceries to over 3,500 wage workers across Delhi.

China NGO Consortium for Covid-19 was jointly launched by foundations (including the Narada Foundation) and local NGOs on February 2, 2020. So far, 67 Chinese foundations and NGOs have joined the consortium to share information and technical knowledge, build the capacity of front-line NGOs, and mobilize funding. The consortium also fosters collaborating to coordinate the social sector’s response to the pandemic.

Singapore’s Community Chest, the fundraising arm of the government’s National Council of Social Service, is giving SG$3,000 (approximately US$2,100) to social service agencies to cope with outbreak-related expenses.

THE BUSINESSES
Companies are setting up their own Covid-19 relief funds, leveraging their resources to contribute to relief efforts, and supporting government initiatives. Others are offering medical supplies, food and beverages, and cash vouchers to affected communities. Companies across Asia are also taking a “business not as usual” approach to help relieve financial stress.

Setting up funds to help combat Covid-19.

Hang Lung Group established the Hang Lung Novel Coronavirus Relief Fund to support a series of volunteering activities to combat Covid-19. This includes delivering health and food kits to over 10,000 beneficiaries in Hong Kong and mainland China. Hang Lung also donated nearly US$1 million from the Fund to Leishenshan Hospital.

Bajaj Group committed Rs100 crore (nearly US$14 million) to the fight against Covid-19 in India. The funding will go towards multiple initiatives including upgrading healthcare infrastructure, testing, and procuring medical equipment. A significant portion will go towards an economic aid program in rural areas, which includes direct survival grants followed by a livelihood intervention using a revolving fund mode. 

Jollibee Group allocated nearly US$20 million for an emergency fund to provide its employees with the needed financial support during the quarantine period enforced in the Philippines. The fund covers all employees of the Group’s offices, stores, commissaries, and logistics centers, including senior citizens and people with disabilities assigned to stores under the joint employment program with local government units.

Gokongwei Group’s philanthropic arm, the Gokongwei Brothers Foundation, established a near US$2 million fund to help fight Covid-19 in the Philippines. Funds are earmarked for front-line healthcare workers and will be distributed among UP Medical Foundation, referral hospitals identified by the Department of Health, and other hospitals at the forefront of the fight against Covid-19. The Foundation has also distributed in-kind donations, including PPE.

The Metrobank and GT Capital Holdings Group of the Ty family pledged a US$4 million fund for initiatives that support the fight against Covid-19 in the Philippines. These initiatives will help produce test kits and purchase PPE for front-line healthcare workers.

Macquarie Group is joining the effort and allocating A$20 million (approximately US$13 million) to the Macquarie Group Foundation to support select nonprofits in their response and relief work for Covid-19. Alongside this, the Foundation is offering flexible funding to its grantees during this time.

Supporting government initiatives.

Aboitiz Group’s Ramon Aboitiz Foundation partnered with the Cebu City government and the Metropolitan Cebu Water District for #HUNAW, a handwashing campaign to help mitigate Covid-19. The initiative includes installing sinks in areas with low water supply and without clean handwashing facilities, as well as deploying handwashing trucks to reach impoverished communities and densely populated informal settlements.

PLDT, one of the Philippines’ largest telecommunications companies, teamed up with the Department of Health to establish an emergency hotline for Covid-19. PLDT chairman and chief executive officer Manuel V. Pangilinan said the collaboration is part of the company’s continuing efforts to fight Covid-19, noting that the hotline can help provide information and enable health authorities to deliver proper patient diagnosis and treatment.

India’s PM CARES fund, the Prime Minister’s Citizen Assistance & Relief in Emergency Situations Fund, has seen significant contributions from India’s private sector. Among the list of donations are: Rs500 crore (approximately US$67 million) from Reliance Industries; Rs400 crore (approximately US$53 million) from Aditya Birla Group; Rs150 crore (approximately US$20 million) from HDFC Group; Rs105 crore (approximately US$14 million) from LIC; and Rs50 crore (US$7 million) from Uday Kotak and Kotak Mahindra Bank.

Bangladesh Association of Banks donated Tk147.73 crore (approximately US$18 million) to the Prime Minister’s Relief and Welfare Fund for purchasing medical equipment to combat Covid-19.

Indonesian conglomerate Bakrie Group donated US$1.2 million to the Covid-19 taskforce led by the government’s National Disaster Mitigation Agency. Bakrie Group CEO and president director Anindya Bakrie stated that his company wanted to contribute to helping the government combat the Covid-19 outbreak in Indonesia as the pandemic had led to a “multi-dimensional crisis”.

Korean conglomerate LG will donate 50,000 diagnostic test kits to Indonesia to help the Indonesian government handle the spread of Covid-19.

Companies are leveraging their resources to help fight Covid-19. Examples include: Godrej Group, which launched the #ProtektIndiaMovement, a nationwide campaign to promote mass awareness around handwashing. As the country’s second-largest soap maker, the Group has pledged to ramp up its production to meet the demand for soap and sanitizers. Indorama Ventures (IVL), the Thai petrochemical company, is accelerating the production of a fiber to make 54 million masks in one month.

Companies are donating PPE, test kits, and other medical equipment to front-line healthcare workers and affected communities. Examples include: Hang Lung Group in Hong Kong and mainland China; Aboitiz Group, SM Group, and Filinvest Development Corp in the Philippines; Chaudhary Group in Nepal; and Sido Muncul and Mayapada Group and the Tahir Foundation in Indonesia.

Companies are donating food, beverages, and cash vouchers to communities affected by quarantine measures, such as low-income families and daily-wage earners. Examples include: Aboitiz Group’s food subsidiary Pilmico, Fruitas Holdings, Manila Water Foundation, Jollibee Group, and San Miguel Corporation in the Philippines; Chaudhary Group in Nepal; Sido Muncul and Mayapada Group and the Tahir Foundation in Indonesia; and Reliance Industries in India. Companies with large numbers of daily-wage earners in their ecosystem, like Zee Group in India, are committing to continuing their pay to ensure that families of daily-wage earners are not severely impacted during Covid-19.

Companies in the Philippines are joining forces through the Philippine Disaster Resilience Foundation (PDRF), a private sector disaster risk reduction and management network. PDRF has partnered with Globe Telecom’s e-wallet service Gcash, Fintech Alliance Philippines, Smart Communications’ e-wallet service Paymaya, and crowdfunding platform Gava Gives to purchase PPE for healthcare institutions. Another example is Project Ugnayan, a fundraising initiative led by top business conglomerates in cooperation with the PDRF and Caritas Manila. The initiative has reached a total of P1.62 billion (approximately US$33 million) in donations to aid those economically displaced by the ongoing Enhanced Community Quarantine in Greater Metro Manila.

Real estate companies are waiving rent so that tenants can lend more financial assistance to their employees. Examples include: SM Supermalls, Gokongwei Group’s Robinsons Land Corp, and Filinvest Lifemalls in the Philippines; and Central Pattana, Phuket Square, and Rangsit Plaza in Thailand.

Banks are setting forth financial relief measures for their customers. The Straits Times shares examples of banks around the world, including in Singapore and Malaysia, that are suspending loan repayments as Covid-19 upends financial stability for many borrowers. Another example is Gokongwei Group’s Robinsons Bank in the Philippines, which is offering its customers an extension of the payment period for their various loan products.

Another company taking a “business not as usual” approach is Coca-Cola Philippines. It canceled all of its commercial advertising activities and dedicated its advertising budget of US$2.94 million to supporting Covid-19 relief and response efforts. The funds will support front-line healthcare workers and economically challenged communities in the Philippines. The company also pledged support to its distributors who serve small sari-sari stores and carinderias.

THE SOCIAL ENTERPRISES
While social enterprises are joining the fight against Covid-19, they’re also bearing the financial brunt of the pandemic.

Malaysian Global Innovation & Creativity Centre surveyed 239 startups and social enterprises in Malaysia on the impact of Covid-19 on their business. About 25% said they will not be able to survive for longer than two more months, and a mere 3% are confident of surviving at all if Covid-19 continues for more than 12 months. When asked about the need for financial aid, 35% said they needed loans, 24% asked for grants or subsidies, and 4% asked for deferment in repayments. However, the majority (75%) were unaware or unsure of the various support instruments or incentives available during this time. For example, Malaysia’s central bank, Bank Negara, and CIMB Bank have both set forth financial relief measures for borrowers.

THE INNOVATORS
Social innovation is leading to new ways to mitigate the spread of Covid-19.

Thai hospitals deploy ‘ninja robots’ to aid coronavirus battles. The robots were first built to monitor recovering stroke patients but have been quickly repurposed to help fight Covid-19. So far, the robots have helped staff at four hospitals in and around Bangkok to reduce the risk of infection by allowing doctors and nurses to speak to patients over video. Later models will be designed to bring food and medicine to patients and to disinfect hospital wards.

THE TRUSTBREAKERS 

In this section, we usually share stories about scandals that are having negative repercussions for the social sector. With the fear and anxiety surrounding Covid-19, there are some trust-breaking stories circulating from price-gouging to faulty medical supplies. Fortunately, the stories of people being constructive during these times far outnumber them. We look forward to bringing more of these positive stories to you in the coming weeks.

RESOURCES

Azim Premji Foundation published a Covid-19 Pandemic Response Plan, a set of guidelines for civil society organizations in India looking to join the fight against Covid-19 and amplify their efforts. The Foundation brought together experts and practitioners from relevant fields to adumbrate areas of response in which organizations can contribute significantly to relief efforts, including assessing critical needs and conducting the “last-mile connect and delivery” of supplies and services to extend the reach of government relief measures.

We’d also like to hear from you. How is your organization responding to Covid-19? Email us your stories at research@caps.org

Responding to Covid-19: Who’s Doing Good?

16 March 2020 - 29 March 2020

THE GIVERS
Philanthropists are funding vaccine research, donating supplies, and setting up funds to support hard-hit communities. Crowdfunding websites in Indonesia and Singapore are also seeing a surge in donations.

Jack Ma, Alibaba co-founder, has donated millions of masks, test kits, and other relief materials to countries around the world. This includes the hardest-hit countries—the United States, Korea, Iran, Spain, and Italy—as well as other countries across EuropeAsia, Latin America, and Africa. Ma’s initiative is a collaboration between his eponymous foundation and Alibaba Foundation. The Jack Ma Foundation pledged US$14.4 million to vaccine research—including US$2.15 million to Australia’s Peter Doherty Institute for Infection and Immunity and US$2.15 million to researchers at Columbia University in New York. 

Anand Mahindra, Mahindra Group chairman, offered 100% of his salary to a new Mahindra Foundation fund that will assist hardest-hit communities like small businesses and self-employed individuals.

Lei Jun, Xiaomi CEO, contributed US$1.8 million to relief efforts. The donation went to his home province of Hubei—the epicenter of the outbreak.

Li Ka Shing, Hong Kong tycoon, donated US$13 million to help Wuhan amidst its outbreak. His eponymous foundation also sourced medical supplies for hospital workers in Hong Kong and Wuhan.

The Lee family, which controls Henderson Land Development, set up an anti-epidemic foundation with seed-funding of US$1.4 million.

Adrian Cheng, scion of the family group behind New World Development and Chow Tai Fook Jewellery, donated over US$7 million to nonprofits, schools, and hospital in Hong Kong and Guangzhou.

Indonesian crowdfunding platform Kitabisa sees surge in fundraising campaigns for Covid-19. A total of 513 campaigns have been initiated by public figures, nonprofits, and members of the general public. Total donations amounted to US$1.4 million as of March 23.

Giving.sg, sees 67% spike in donations. More than US$1.5 million was raised on Singapore’s official fundraising site. 15% of the total was raised from campaigns included in the SG United Movement—a government initiative launched on February 20th to streamline contributions to coronavirus-related initiatives.

THE NONPROFITS
Charities in different cities are stepping up their operations and raising money for communities both at home and abroad.

The Hong Kong Jockey Club Charities Trust set up a HK$50 million (approximately US$6.5 million) Covid-19 Emergency Fund to provide emergency support to local communities and mitigate the health and societal impact of the outbreak.

Singapore Red Cross collected donations worth more than US$4.5 million for relief efforts related to the outbreak. Approximately US$1.7 million went to purchasing and distributing protective equipment for hospital staff and other healthcare workers in China. The charity also worked to educate Singaporeans about the outbreak by calling and visiting senior citizens to ease their concerns.

Pakistan’s largest charities, including Al-Khidmat Foundation and Saylani Welfare, are aiding the country’s Covid-19 efforts. Al-Khidmat Foundation is distributing soaps, sanitizers, and face masks across the country, and has designated isolation wards in the 52 charity hospitals it runs. Saylani Welfare has introduced a mobile phone application and telephone service where families in need can register themselves to get rations and supplies.

THE BUSINESSES
Companies are setting up their own Covid-19 relief funds, leveraging their resources to contribute to relief efforts, and supporting government initiatives. Others are donating through charities or donating needed medical supplies. Companies across Asia are also taking a “business not as usual” approach to help relieve financial stress.

Setting up funds to help combat Covid-19.

Tencent announced a US$100 million Global Anti-Pandemic Fund, with an initial focus on sourcing medical supplies for hospitals and healthcare workers. Prior to this global fund, Tencent had also established the China Anti-Pandemic Fund, which had allocated US$211 million towards research, medical supplies, technology support, as well as towards support for frontline workers, patients and their families. 

Alibaba set up a US$144 million fund to source medical supplies for Wuhan and Hubei province.

Godrej Group earmarked a fund of around US$7 million for community support and relief initiatives in India focused on public health.

Swire Group Charitable Trust (Swire Trust) established the HK$3 million (approximately US$400,000) “Community Fund to fight Covid-19” to support NGOs in delivering their services safely amidst the outbreak. Swire Group also donated over US$1.5 million to help combat the outbreak in Hong Kong.

K. Wah International (KWIH) announced a roughly US$500,000 donation through its KWIH Anti-Epidemic Fund for Tung Wah Group of Hospitals (TWGH). The fund will convert part of the Jockey Club Ngai Chun Integrated Vocational Rehabilitation Centre into a surgical mask production factory. TWGH will provide job training for people with disabilities to assist in the production of an estimated 2.2 million surgical masks per month.

Samsung Group raised nearly US$1 billion for an emergency support fund to aid to its subcontractors amidst Covid-19.

HSBC announced a US$25 million Covid-19 donation fund. The money will support international medical response, protect vulnerable communities, and ensure food security around the world. US$15 million will be made available immediately, with the remaining designated for long-term Covid-19 commitments.

Supporting government initiatives.

Unilever Vietnam committed US$2.245 million and partnered with the Ministry of Health and Ministry of Education and Training to implement its “Stay Strong Vietnam” initiative. Unilever also pledged to donate 550 tonnes of personal hygiene items, sanitization products, and food products to over 1.6 million people across 3,000 schools, hospitals, and isolated communities.

Petronas contributed nearly US$5 million worth of medical equipment and supplies for medical front-liners in Malaysia through its CSR arm Yayasan Petronas. The contribution will be carried out in stages in collaboration with Malaysia’s Ministry of Health and the National Disaster Management Agency.

Government-Linked Companies (GLCs) and Government-Linked Investment Companies’ (GLICs) Disaster Response Network, is coordinating support from companies to assist the Malaysian Health Ministry in tackling the Covid-19 pandemic. The Disaster Response Network is managed by a joint secretariat led by Yayasan Hasanah, a foundation under Khazanah Nasional, and Telekom Malaysia. Early contributions from GLCs, GLICs, and private sector entities exceed US$9 million.

Malaysian companies including Spanco, DRB-HICOM, MMC Corp, and YTL Corp contributed donations ranging from US$230,000 to US$500,000 to the Covid-19 fund launched by Prime Minister Tan Sri Muhyiddin Yassin.

11 Filipino-Chinese organizations, led by the Federation of Filipino-Chinese Chamber of Commerce and Industry, announced a donation of nearly US$2 million worth of medical supplies. The donation will help the Philippines’ Department of Health acquire testing kits and other protective equipment.

Tencent joined Baidu and ByteDance to donate a total of US$115 million towards researching new treatments and helping authorities in the most affected areas in China.

Adaro Energy, Indonesia’s major coal producer, gave the government US$1.3 million to help it fight Covid-19 through its task force.

Leveraging their own resources.

Alibaba Cloud, DAMO Academy, and DingTalk together launched a series of AI technologies and cloud-based solutions to support companies and research organizations worldwide.

Mahindra Group offered resorts owned by the company to be used as Covid-19 hospitals. The Group’s chairman announced that the company is prepared to help government efforts. The Group’s engineering team also indigenously developed a prototype for a ventilator that could cost less than US$100 each.

Reliance will make 100,000 masks per day and offer free fuel to emergency vehicles. Reliance’s CSR arm has prepared one of its hospitals in Mumbai to be India’s first 100-bed facility for Covid-19 patients, and is offering free meals in various cities to support affected communities.

New World Development is outfitting a factory to manufacture more than 200,000 masks per day, and it has partnered with a nanotechnology company to research how nanodiamonds can be used to make masks more protective against bacteria and viruses.

Donating through charities or donating supplies.

The Ministry of Corporate Affairs in India announced that the spending of CSR funds towards Covid-19 initiatives is eligible to be counted as CSR activity under the Companies Act. This frees up around US$2 billion in philanthropic capital to go towards combatting Covid-19.

Tata Trusts has committed nearly US$200 million to fight Covid-19. The funds will be used to buy protective equipment for medical workers, respiratory systems, testing kits, as well as for setting up modular treatment facilities for patients.

Shimao Property Holdings donated around US$4 million, via the Red Cross Society of China, to help combat the outbreak.

APP, a subsidiary of Indonesia-based Sinar Mars Group, donated US$14.4 million to the Overseas Chinese Charity Foundation of China.

Huawei contributed to the construction of the Huoshenshan Hospital in Wuhan and donated medical supplies, computer tablets, and other technological equipment to several European countries. This includes 2 million face masks.

Hyundai Motor Group, SK Group, and LG Group donated over US$4 million each to the Community Chest of Korea to assist the hardest-hit city of Daegu and North Gyeongsang province.

Samsung Group donated a combined US$24.6 million to the Korea Disaster Relief Association.

Hana Financial Group, Shinsegae Group, Doosan Group, and CJ Group each offered nearly US$1 million in donations to the Korea Disaster Relief Association.

Lotte Group donated nearly US$1 million, of which US$254,000 went to the Korean Red Cross.

For hard-hit communities, including those in North Gyeongsang province, SK Group’s SK Siltron announced nearly US$400,000 for face masks and hand sanitizers. LG Household & Healthcare announced nearly US$1 million for hand sanitizer. Lotte provided meals and hygienic supplies to welfare facilities and gave sanitization products, food, and daily necessities to lower-income households, senior citizens, and healthcare workers.

SoftBank CEO Masayoshi Son pledged to donate 1 million masks to elderly care facilities and doctors in Japan.

Fast Retailing, the parent company of Uniqlo, is donating 10 million masks to medical institutions in Japan and around the world. It’s also donating garments for medical staff and 1 million masks to countries with high infection rates—including the United States and Italy. 

Shiseido Group donated US$1.43 million to the Shanghai Charity Foundation and US$143,000 to the Charity Foundation of Wuhan. It also announced the Relay of Love Project, which will allocate 1% of the Group’s sales in Asian markets, between February and July this year, as in-house funds to support regions most affected by Covid-19.

Ayeyarwady Foundation together with Max Myanmar Group, AYA Bank, and AYA Sompo Insurance contributed over US$72,000 worth of medical supplies, hospital equipment, and protective materials to Waibargi Hospital and Yankin Children Hospital.

“Business not as usual” approach.

Gojek is offering a stipend to its driver-partners that test positive for Covid-19. Gojek is also extending support to healthcare workers in Indonesia by waiving food delivery fees in areas near hospitals and offering vouchers for trips to and from hospitals and testing centers.

Ayala Group announced around a US$47 million response package to offer financial relief to businesses within its ecosystem. This includes salary continuance for affected employees and partners, as well as rent-free periods for tenants of Ayala malls, which are closed during the community quarantine till April 14.

Bangkok Bank donated over US$300,000 to Thammasat University Field Hospital, the King Chulalongkorn Memorial Hospital and Thai Red Cross Society. The bank is also introducing financial relief measures such as reducing minimum payment rate for credit card customers to 5%.

CIMB in Malaysia is offering a six-month moratorium for customers on all types of financing payments except for credit cards. Credit card customers can now opt in to convert their outstanding balances into a term loan/financing over a period of up to 36 months.

THE SOCIAL ENTERPRISES
Social enterprises are adjusting their work to address the needs arising from Covid-19.

Hong Kong social enterprises are rising to the occasion to help combat the outbreak. SoapCycling has distributed masks and soap salvaged from local hotels to nearly 3,000 of the city’s street cleaners. Sew On Studio is selling face mask kits with fabric made by the city’s elderly tailors. Rooftop Republic, which usually promotes urban farming, is making washable, eco-friendly masks that can be worn over surgical masks.

Chinese social enterprise Yishan, a data-driven donor advisor, has built a platform for donations towards supporting Covid-19 relief efforts. So far, Yishan has registered over 40,000 grantmakers and 5,000 public charities, who have raised over US$4.5 billion thus far for their efforts in fighting Covid-19.

THE VOLUNTEERS
New volunteers are stepping up and coming together to help their communities during the crisis.

A new generation of volunteers emerges in Wuhan. Amidst the Covid-19 outbreak, ordinary people stepped up and joined forces to take care of emergency needs unmet by an overwhelmed government. Networks of young volunteers were formed over social media to respond to a variety of needs, from sourcing masks for hospitals to driving medical staff to and from work.

THE TRUSTBREAKERS 

In this section, we usually share stories about scandals that are having negative repercussions for the social sector. With the fear and anxiety surrounding Covid-19, there are some trust-breaking stories circulating from price-gouging to faulty medical supplies. Fortunately, the stories of people being constructive during these times far outnumber them. We look forward to bringing more of these positive stories to you in the coming weeks.

RESOURCES
The Covid-19 pandemic has brought much attention to financial markets and businesses, but the nonprofit sector has also been severely impacted in these unprecedented times. These resources offer guidelines for how the sector can weather the storm.

India Development Review highlights five ways funders around the world are helping their partners cope with Covid-19. IDR has also crowdsourced guidelines and practices that social sector organizations—from donors to field workers—are taking in response to Covid-19.

Who’s Doing Good?

20 January 2020 - 2 February 2020

THE GIVERS

Jack Ma donates US$14 million to develop coronavirus vaccine. CNN reports that China’s richest man Jack Ma has donated a total of ¥100 million (US$14.4 million) through his eponymous foundation to help develop a vaccine for the novel coronavirus. The Alibaba founder has earmarked ¥40 million (US$5.8 million) for two Chinese government research organizations, while the remainder will support prevention and treatment measures. Alibaba has also announced a ¥1 billion (US$144 million) fund “to buy medical supplies for Wuhan and Hubei province, the epicenter of the virus outbreak.” According to the China Daily, other Chinese companies are also donating funds and offering measures of support to coronavirus treatment efforts.

Chinese tech giants and global philanthropists donate to help fight coronavirus outbreak. In addition to Alibaba, Chinese tech giants Baidu, Tencent, Huawei, and ByteDance are also offering support to help combat the novel coronavirus. Together, Baidu, Tencent, and ByteDance have pledged ¥800 million (US$115 million) to research new treatments and help authorities in the most-affected areas. Huawei has contributed by supporting the construction of the new Huoshenshan Hospital in Wuhan. Other companies from Chinese sportswear brand Anta Sports to large multinationals in the U.S. and Europe are also joining the effort. The Bill & Melinda Gates Foundation announced that it would commit US$10 million to support first responders in China and Africa, including US$5 million for treatment and vaccine development.

THE THINKERS

Philanthropists save their legacy, but the next generation saves the world, according to new report. A new Campden Wealth report, Global Trends and Strategic Time Horizons in Family Philanthropy 2020, reveals little variation in environmental priority for philanthropists globally. Educational causes remained the biggest beneficiaries of average philanthropic portfolios—with Asia-Pacific families being the biggest allocators to education. But next-gen philanthropists are shifting priorities as they move into decision-making roles in their families’ charities. Campden Wealth’s director of research noted, “Beyond next-gens’ strong influence in the sustainable investment space, they are also set to significantly affect philanthropic giving. This can result in more meaningful funding for certain important causes, such as the environment.”

THE NONPROFITS

Gates Foundation launches new agriculture-focused nonprofit. The Bill & Melinda Gates Foundation Agricultural Innovations, or Gates Ag One, is a new nonprofit subsidiary of the foundation. It will focus on helping smallholder farmers—the majority of whom are women—adapt to climate change. As the president of the Gates Foundation’s Global Growth & Opportunity division noted, “While smallholder farms are highly vulnerable to the impacts of climate change, the private sector is not incentivized to bring promising early-stage discovery to development in sub-Saharan Africa and South Asia.” Gates Ag One will work to not only accelerate agricultural research and development, but also make early-stage discoveries more accessible and affordable to smallholder farmers. 

THE BUSINESSES

SK Chairman Chey Tae-won advocates social value measurement model in Davos. Mr. Chey has advocated corporate social value creation since 2013, when he first proposed the concept at the World Economic Forum in Davos. “It is not an option but an obligation to change the goals and systems of corporate management from the interests of shareholders to those of stakeholders,” Chairman Chey said. At this year’s forum, he discussed SK’s developments in this area including the Group’s social value measurement model, which has been used to measure social value created by social enterprises since 2014 and by SK affiliates since 2018. In addition, SK Group has joined forces with the OECD, World Bank, the world’s four biggest accounting firms, and other companies to form the nonprofit Value Balancing Alliance and develop a standardized measurement model that can be accepted internationally. 

Top Indian companies’ CSR arms join forces to combat climate change. The philanthropic arms of leading Indian corporates announced a new partnership to combat climate change: the India Climate Collaborative (ICC). ICC will work to “strengthen the climate community locally, build a climate narrative, and drive solutions that will ensure both the natural world and people thrive.” The collaborative includes industry leaders such as the Tatas, Mahindras, Godrejs and Premjis. Vodyah Shah, Rohini Nilekani, and Harmendra Kothari are also part of the 40-member collective. Tata Trusts Chairman Ratan Tata had this to say about the ICC, “Our collective leadership through the ICC will indicate to the world that Indian philanthropy is ready to be a leader in climate action.”

THE INNOVATORS

Malaysia urged to make social enterprise scheme simpler. Thomson Reuters Foundation reports on the 22 social enterprises in Malaysia who received accreditation this month through a new government-backed scheme. The accreditation officially recognizes social enterprises and offers tax deductions and access to grants. Entrepreneurs expressed hope that accreditation will help raise awareness among the public and businesses. However, some said the registration process was too cumbersome. Analysts warn that regulations can sometimes have the unintended consequence of hindering the growth of social enterprises. This article urges Malaysia to make its new social enterprise registration simpler and to offer greater financial incentives to boost the growing sector.

IN OTHER NEWS…

Local Red Cross under fire over China coronavirus donations remaining in warehouse. Aljazeera reports on recent allegations against the Wuhan Red Cross and Hubei provincial Red Cross over their distribution of donations. A report from Hubei’s Red Cross revealed that only 200,000 of 2 million masks donated from across China had been delivered to hospitals. It was also revealed that hospitals designated to treat coronavirus-infected patients were receiving fewer supplies than others. A Red Cross official explained their decision, stating that the masks were “KN95” standard rather than the “N95” standard required for frontline medical workers. Wuhan Red Cross is also being questioned about the ¥390 million (US$56 million) cash donations it received, of which only 13% has been spent on supplies. According to the article, Hubei Red Cross later apologized on its official Weibo account, saying it was “deeply regretful” about what had happened. Some hospitals are now only accepting direct donations and bypassing intermediaries.

Business for Good

Maximizing the Value of Social Enterprises in Asia

Asia is home to one-third of the world’s wealth and also to two-thirds of the world’s poor. The confluence of unprecedented wealth and unmet needs gives it both the mandate for and ability to leverage the power of social enterprises.

Our action-oriented study explores how. We identify gaps and quantify needs in funding, mentorship, talent and government support. But we also highlight how enablers—including incubators, accelerators, universities—can continue to support social enterprises. We suggest ways for social entrepreneurs and investors to align expectations in the hope of increasing deal flow and investment into the sector. And we outline how governments can strategize to better support social enterprise ecosystem.

We do this by not only drawing upon a global literature review, but listening to what Asian social enterprises themselves say. We surveyed 584 social enterprises from 6 economies: Hong Kong, Indonesia, Japan, Republic of Korea, Pakistan and Thailand, and profiled China and India. We also interviewed 140 social enterprise founders, incubators, accelerators, investors and government officials in depth. This original data not only informs our insights, it forms a unique repository of evidence in this space. Our data makes it easier to see Asia’s social enterprises as they really are.

As many families and companies are thinking about or starting to invest in social business as well as in incubators and ecosystem organizations, our findings are particularly timely and relevant. The 6 economies we gathered data from have more than 1.2 million social enterprises, and attract at least US$100 million of direct and indirect government spending per year. These economies are understudied, have growing social enterprise sectors with enormous potential, and—most importantly—are diverse enough for our insights to be generalizable to other regions in Asia.

Who’s Doing Good?

25 November 2019 - 9 December 2019

THE GIVERS

Forbes announces Asia’s 2019 Heroes of Philanthropy. In its 13th iteration this year, the list honors Asia’s leading philanthropists who are helping solve some of the region’s most pressing challenges through donations and their personal involvement. The unranked list features 30 individuals including Azim Premji from India, Jack Ma from China, and Theodore Rachmat from Indonesia. Broadly, 6 individuals from China, 4 from India, 3 each from Indonesia, Singapore and Australia, and 2 each from Hong Kong, Japan, Korea and Thailand are featured. Korean singer and actress Lee Ji-eun, 26, known by her stage name IU, is the youngest honoree on the list.

Seal of Love Charitable Foundation donates HK$40 million (approximately US$5 million) to Hong Kong University of Science and Technology (HKUST). The gift, channeled into the “Seal of Love Foundation Innovation Service Fund,” is aimed at empowering HKUST students to solve real-world problems through innovation and technology. The fund’s first donation is to the pre-existing Student Innovation for Global Health (SIGHT) project, which has been devising creative and affordable solutions to global health issues since 2014. Inventions by SIGHT include a mobile electronic health record system for slums and rural areas in Cambodia and Ghana. The Seal of Love Charitable Foundation was established in 2010 by Lawrence Chan, the heir to Chan Chak-Fu, a pioneer in the global hotel industry.

THE THINKERS

Asia home to the majority of people fleeing ‘climate chaos,’ Oxfam study finds. The study examines the number of people displaced within their home countries by climate-fueled disasters between 2008 and 2018. While the study looks at the impact of ‘climate chaos’ globally, it offers timely insight into displacement finding that 80% of all people forced from their homes by weather disasters over the last decade were in Asia. The report also finds that people are three times more likely to be displaced by environmental disasters (such as cyclones, floods, or fires) than by conflicts. Large populations in some Asian countries, such as the Philippines and Sri Lanka, live in areas threatened by cyclones or flooding. For example, this past May, Cyclone Fani alone led to the displacement of 3.5 million people in Bangladesh and India.

THE NONPROFITS

Piramal Foundation and Gates Foundation join hands in tribal health collaborative. The partnership leverages support from the Gates Foundation and other stakeholders including the Indian government to achieve SDG 3, “ensure healthy lives and promoting well-being for all at all ages.” India’s tribal communities are home to more than 150 million people and have poorer health standards than the national average. For instance, the average maternal mortality rate in India is 130 per 100,000 births while it can be as high as 230 deaths per 100,000 in tribal communities. The goal of the partnership is to build a high-performing and sustainable health ecosystem to address the needs of these marginalized populations. Speaking at the occasion, Bill Gates, co-chair of the Bill & Melinda Gates Foundation said, “Given the complexity and magnitude of the problem, we believe that partnerships with like-minded, values-based organizations such as Bill & Melinda Gates Foundation, that seek to complement the Government’s efforts, will provide the much needed impetus.”

THE INNOVATORS

Hong Kong millennials are investing family wealth sustainably, but the learning curve can be steep. Young heirs of family wealth want their money to do more than just generate returns—they want to make a difference. But doing so has not been straightforward. According to Michael Au, the managing director of District Capital, “One of the hurdles is the lack of advisers who understand the contemporary impact investing dialogue from an Asia perspective.” On the other hand, Ronnie Mak, the managing director of RS Group, states that they have been able to build and manage a fully sustainable portfolio and achieve a net annual return of 5 percent over the last 10 years. The old-guard is viewing these experiences with caution, according to Au, since they continue to believe that generating returns and doing good are mutually exclusive. CAPS’ newest report, “Business for Good: Maximizing the Value of Social Enterprises in Asia” challenges this perception. Viewing social enterprises as a critical vehicle for doing good, it offers actionable strategies to investors and philanthropists to maximize their impact.

World Bank’s catastrophe bonds provide US$225 million cover to the Philippines for dealing with natural disasters. Two tranches of the catastrophe-linked bond (CAT bond), the first of its kind, were released last week. The bond will provide immediate liquidity and insurance cover to the Philippines for three years. Issued by the International Bank for Reconstruction and Development, up to US$150 million will be channeled towards tropical cyclone-related losses while the remaining US$75 million will cover losses from earthquakes. The bond transfers risks related to natural disasters from developing countries to capital markets. According to Mara K. Warwick, World Bank Country Director for Brunei, Malaysia, Philippines, and Thailand, the CAT bond “demonstrates the Philippines’ capability to develop innovative financial solutions to mitigate impacts of extreme climate and weather-related events as well as major earthquakes.”

UNDP and Government of India launch accelerator to champion innovative approaches to development challenges. The India chapter of “Accelerator Labs,” a new UNDP initiative, will be part of a global network of 60 labs where innovative and homegrown solutions to global challenges such as climate change and inequality will be tested and scaled. The labs will employ real-time data and experimentation to quicken progress towards meeting the SDGs by 2030. The Government of India’s Atal Innovation Mission, part of a national effort to harness the potential of entrepreneurship, serves as the lab’s key partner in the country. At the launch, Mr. R. Ramanan, Mission Director of the Atal Innovation Mission said, “We remain committed to finding local solutions that can be scaled up not only in India, but also across the Accelerator Lab network.” The launch also featured #DateForDevelopment, a matchmaking activity aimed at fostering collaboration and knowledge sharing. Policymakers, impact investors, experts from civil society, scientists, and members of the private sector interacted in the activity to iterate over proposed innovations.

Social stock exchange in the works in India. A 15-member working group, constituted under the Securities and Exchange Board of India (Sebi), is likely to present a blueprint for a stock exchange for the social sector this month. According to Vineet Rai, co-founder of Avishkaar, a pioneering social enterprise, the social stock exchange will help potential donors find and fund credible organizations that are doing good. As these efforts proceed apace some concerns have also arisen. Former Sebi chairman, UK Sinha, opines that robust impact measurement will be a critical ingredient in the exchange’s success, and yet there are few metrics that combine social impact and financial success and can serve as an effective basis for qualification on the exchange. Despite these hurdles, however, Sinha agrees that the social stock exchange is a step in the right direction.

IN OTHER NEWS…

China’s star healthcare crowdfunding portal, Waterdrop, mired in scandal. The South China Morning Post (SCMP) reports that an undercover media report has shed light on a series of lapses and wrongdoings on the part of Waterdrop and its staff. SCMP reports that Waterdrop staff asked hospital patients to initiate crowdfunding projects and exaggerate their stories to garner sympathy. Waterdrop’s model incentivizes project creations according to one staff member who said he would lose his job if he did not meet the target of 35 projects initiated per month. The report also states that the financial situations of targeted families was not being verified and patients were not required to submit proof of how they were using the donated money. According to SCMP, verification and supervision are the most frequently raised issues about crowdfunding platforms in China. Shen Peng, 32, founder of Waterdrop, has vowed to transfer ownership of the platform to an NGO if he cannot manage it better in the future. Waterdrop had raised CNY1 billion (approximately US$145 million) in June this year.

Environment for NGOs likely to become grim under Sri Lanka’s new president. In an interview for the The Diplomat, Taylor Dibbert, an adjunct fellow at the Pacific Forum, opines: “I wouldn’t be surprised to see NGOs throughout the country–particularly in the heavily militarized north and east–getting visits from security personnel. Offices may be raided.” Gotabaya Rajapaksa was sworn in as the island nation’s eighth president earlier this month.

Who’s Doing Good?

11 November 2019 - 24 November 2019

THE GIVERS

Seoul City facilitates donation procedure upon death for unaffiliated persons. The Seoul Metropolitan Government has set forth a new initiative that encourages unaffiliated individuals—citizens who have no heirs or are living in isolation from heirs—to bequeath their wealth to society. Unaffiliated individuals will receive assistance from KEB Hana Bank and the Korea Federation of Centers for Independent Living of Patriots with Disabilities to aid in this process. The Bank will be in charge of the contract and operation of the will-only trust, and the centers will be in charge of the donation system and supervision of the management subject to the donation. All individuals using self-help living centers in Seoul are eligible for support.

THE THINKERS

Shift gears and accelerate: SDGs 2030 depend heavily on India’s progress. Neera Nundy, co-founder of Dasra, highlights the need for a step increase in Indian philanthropy to realize the SDGs. India faces a US$60 billion price tag to achieve just five of the 17 development goals, and the country contributes to 20% of the global SDG gap in 10 of the 17 goals. According to Nundy, philanthropy can play a key role by prioritizing investments in the most vulnerable; focusing on outcomes; and taking an aggregated approach. While the government continues to be the largest development player for India, Nundy calls on philanthropy to be a positive disruptor by supporting fresh perspectives, testing innovations, and taking proven solutions to the government for systemic integration. 

Do mobile payment games spur green living? Alipay’s social game Ant Forest has received praise—and two United Nations awards—for scaling up public climate action. The app, which has more than 500 million users, gamifies climate action: users participate in “low-carbon action,” like walking and biking, to gain “green energy.” After feeding virtual trees with “green energy,” users can have Alipay plant a real tree or adopt a patch of protected land. As of August, Ant Forest has planted 122 million trees offsetting 7.9 million tons of carbon emissions, according to China’s Ministry of Ecology and Environment. As other countries begin to replicate this model, this article explores its strengths and limitations as a platform for public climate action.

THE BUSINESSES

Tata Power and The Rockefeller Foundation partner for 10,000 microgrids in rural India. The Rockefeller Foundation has been working with a network of partners in India to increase access to power and energy for rural communities. Its most recent partnership with Tata Power to develop 10,000 microgrids in India will help 25 million households, especially those in rural areas, gain access to affordable electricity. The Rockefeller Foundation is also exploring opportunities to step up collaboration in the health space and to invest in India’s startup space.

Southeast Asian companies jump on impact investment bandwagon. According to the chairman of the Singapore Venture Capital & Private Equity Association, Asia-focused funds accounted for half of the approximately US$14 billion raised in impact and ESG investments globally between 2016 and 2019. Asia is now also home to 10 exchanges that require listed companies to report ESG investments—more than in Europe where ESG-linked lending is more common. Asian businesses such as Olam International, the Thai Union Group, and Singapore’s state-backed investment fund, Temasek Holdings, are among those leading the charge. As Asian businesses grow conscious of their impact, a wave of new strategies is emerging. Olam International, for example, announced plans to sell business units in sugar, rubber, and wood products and use the anticipated US$1.6 billion in proceeds to establish “greener” businesses.

Honda Foundation donates motorcycles to Philippine Red Cross to boost life-saving services. The corporate social responsibility arm of the leading motorcycle manufacturer donated a total of 21 motorcycles last week to the Philippine Red Cross (PRC). The Honda Foundation has committed to donating a total of 104 motorcycles to PRC offices nationwide. This commitment follows Honda’s “ONE DREAM” campaign, which aims to “make Honda products serve as tools in achieving one’s dream and to unite Filipinos through meaningful action.” The PRC, the country’s premier humanitarian organization, will use the motorcycles to bolster on-time delivery of services, particularly in emergency situations. Similarly, as featured in the last edition of Who’s Doing Good, Korean conglomerates Samsung and LG have been donating their own signature products to meet societal needs in more tangible ways.

THE VOLUNTEERS

Once beneficiaries themselves, Singaporean volunteers pass on the baton of “doing good.” The Straits Times profiles two individuals—Mr. P. Ramesh and Ms. Callie Ng—who received guidance from volunteers and are now giving back to society themselves. Mr. Ramesh grew up in a troubled neighborhood, but at 15, he met his mentor at a football intervention program for youth. He credits his mentor for teaching him important life skills and guiding him. Three years later, Mr. Ramesh volunteered at a similar initiative and, now 39, has continued his commitment to giving back ever since. Ms. Ng, 17, now volunteers at the “Light Up Children’s Initiative,” through which she met her mentor when she was in school. Ms. Ng stated that she is committed to having the same positive impact on her mentee.

THE INNOVATORS

Rabo Foundation partners with USAID Green Invest Asia to cut global carbon emissions. The partnership will pilot a carbon monitoring methodology in Indonesia, one of the world’s top five greenhouse gas-emitting economies. Results from the pilot will assist the Rabo Foundation in shaping climate mitigation policies for loans it offers to cooperatives and to small- and medium-sized businesses. The Rabo Foundation’s portfolio of such investments spans 22 economies across the globe, including seven in Asia. The USAID Green Invest Asia platform, which was launched in 2018, is mobilizing investments worth US$400 million to reduce global carbon emissions by 20 million metric tonnes. The platform supports companies sourcing sustainably and connects companies to funders investing in sustainable agriculture businesses in Southeast Asia. 

IN OTHER NEWS…

India’s federal police raid local Amnesty International offices. Reuters reports that according to the Central Bureau of Investigation, India’s federal investigative agency raided the Bengaluru and New Delhi offices of Amnesty International earlier this month. The federal agency explained the raid as a probe into alleged violations of foreign funding rules. It noted that the Indian offices had received contributions from Amnesty International UK, despite government restrictions under the Foreign Contribution (Regulation) Act 2010. Amnesty has issued a statement questioning the motivation behind these raids.

Who’s Doing Good?

28 October 2019 - 10 November 2019

THE GIVERS

RS Group and Convergence launch US$3 million blended finance funding window for natural capital in Asia. Convergence, a global network for blended finance, and RS Group, a Hong Kong-based family office, have launched the Asia Natural Capital Design Funding Window to support “practitioners who are finding new ways to enhance and protect the world’s stock of natural assets, including water, land, soil, air, plants, and animals.” By using blended finance solutions, the Window aims to draw new investors into this underfunded development area. Channeling investment into natural capital is especially important for bridging the US$200-300 billion annual funding gap in preserving the world’s last healthy ecosystems. 

Programs by National Parks Board and donation from billionaire Peter Lim will help young Singaporeans develop green thumb. Together with partner organizations, National Parks Board (NParks) will create more opportunities for young Singaporeans to learn about greenery and biodiversity. These efforts are bolstered by billionaire Peter Lim’s SG$10 million (approximately US$8 million) donation to NParks’ Garden City Fund–the single largest donation by any individual to the fund. Thanks to Lim’s generosity, students from less-privileged backgrounds will have access to NParks’ programs including the new Green Friends Forum and Youth Stewards for Nature. NParks offers programs for students from pre-school to university. 

THE THINKERS

The Macquarie Group Foundation and Seefar Enterprise launch new report on forced labor in Asia. Seefar Enterprise, a social enterprise that conducts research and supports vulnerable groups in Asia, recently launched their report, “Making Migration Work: Understanding forced labour amongst migrant domestic workers in Asia.” The report focuses on the forced labor of migrant domestic workers in Indonesia, the Philippines, Hong Kong, and Singapore. Funded by the Macquarie Group Foundation, the study surveyed over 3,000 returned and current migrant domestic workers, of whom 77% reported indicators of forced labor. The report shares migrant workers’ perspectives and compares recruitment processes and working conditions across the four economies. 

THE BUSINESSES

Philippine private sector responds to Mindanao earthquake. Through the Philippine Disaster Resilience Foundation (PDRF), the Philippine private sector has provided air and ground transportation, relief goods, water, and sanitation support to those affected by the magnitude 6.5 Mindanao earthquake. Private sector actors who have stepped up include Aboitiz Foundation/Aboitiz Power, the Ayala Foundation, Globe Telecom, Manila Water, and Air Asia, among others. Ayala Corporation Chairman and CEO Jaime Augusto Zobel de Ayala, who is also co-chair of PDRF, stated, “The private sector is committed to helping people affected by the Mindanao earthquake. Through PDRF, we are extending assistance and mobilizing resources for relief and recovery.”

DBS Asia Hub 2 opens Digital Literacy Centre in Hyderabad, India. In partnership with the NASSCOM Foundation, DBS Asia Hub 2 opened its Digital Literacy Centre in Hyderabad. The center aims to facilitate training infrastructure in support of the National Digital Literacy Mission initiative by the Government of India. This includes teaching basic computer and digital skills as well as empowering beneficiaries to leverage the power of social media and the internet. Alex Woo, CEO of DBS Asia Hub 2, stated, “Digital Literacy Centre aligns with the larger ethos of being purpose-driven and making a positive impact on lives. This initiative is a step towards fulfilling our vision to become the best bank for a better world.”

Samsung and LG reach out to society by donating electronics. The Korea Herald highlights how Korea’s leading conglomerates are donating their signature electronic devices to meet societal needs in tangible ways. Samsung Electronics plans to donate a total of 1,000 sets of thermal imaging cameras and other equipment to every fire station across the country. This came to fruition after a fire department official took park in the company’s new CSR program, “Samsung Tomorrow Solution,” and proposed the idea of developing thermal imaging cameras and telecom equipment. LG Group had earlier announced plans to donate over 10,000 air purifiers to schools across Korea in response to heightened concerns about unprecedented levels of fine dust. 

Hong Kong companies rank highest in Asia for environmental sustainability. According to Refinitiv’s inaugural “Financing a Sustainable Future in Asia” report, companies in Hong Kong recorded the best overall performance in Asia for environmental sustainability. The report is the first in a series which examines the ESG (environmental, social, governance) performance of the largest companies across Asia. Asia’s regional average score—based on emissions, resource use, and innovation—scored slightly higher than the global average. While Hong Kong leads the region in adopting emissions policies, Japan ranks the best for emissions reductions targets. China has the largest gap between intention and action, where 77% of companies have emissions policies but only 8% have reduction targets. The report also highlights the notable growth of green finance in Asia.

THE INNOVATORS

Temasek-backed ABC World Asia closes inaugural fund for impact investing at US$385 million. ABC World Asia is a private equity fund for impact investing established by Temasek Trust, the philanthropic arm of Singapore investment company Temasek. It will invest in companies that commit to generating measurable social and environmental impact, alongside a compelling risk-adjusted return. The fund will focus on themes including financial and digital inclusion, health and education, climate and water solutions, sustainable food and agriculture, and smart and livable cities. Investments will be made in China, Southeast Asia, and South Asia.

Who’s Doing Good?

5 August 2019 - 18 August 2019

THE GIVERS

Li Ka-shing donates HK$500 million (approximately US$64 million) to The Hong Kong University of Science and Technology (HKUST). Hong Kong’s richest man and notable philanthropist Li Ka-shing is helping establish the city’s first synthetic biology institute through his most recent donation. Synthetic biology is a cross-disciplinary area of research in which genomes are designed and modified to help resolve challenges in life sciences. Advances in the field can impact key areas of human development such as manufacturing, medicine development, and food production. The need for innovations in such areas is urgent: current and future increases in global population are straining resources and necessitate the development of alternatives. Speaking on the occasion, Li underscored the vision behind his gift, “Just as synthetic chemistry and petroleum was central to the 20th Century, synthetic biology and DNA are the technology engines of this century, bringing disruption to traditional manufacturing and new opportunities in the industrialization of biology.”

Mano Amiga Philippines and She Talks Asia co-founder, Lynn Pinugu, discusses why she gives back to society. Lynn Pinugu traces the roots of her philanthropy to a financial crisis her family went through when she was in university. Her writing skills helped her win a journalism competition, which awarded her with a scholarship that supported her studies. She realized that children who lacked basic education would struggle to access such opportunities. After graduating, Pinugu volunteered in Mexico where she came across Mano Amiga, a network of low-cost schools transforming the lives of underprivileged students. She replicated their model in the Philippines in 2008, impacting over seven hundred lives since. Pinugu further expanded her work and founded She Talks Asia to support women in her country who are confined by traditional gender roles. Through She Talks Asia, Pinugu is offering them a safe space to discuss these issues. She concludes that humility and an eagerness to learn have kept her motivated in this journey.

THE THINKERS

Singapore falls quite behind Malaysia in responsible investing, according to Blooomberg. Singapore edges its regional competitor in several metrics such as efficiency and quality of life. In fact, CAPS’ Doing Good Index 2018 found that Singapore is one of Asia’s three economies doing the most to catalyze private social investment—Malaysia ranked a tier below. But a new Bloomberg report finds that fewer asset managers in Singapore have incorporated environmental, social, and governance (ESG) factors into their investment decisions relative to their Malaysian counterparts. In fact, nearly twice as many asset managers in Malaysia have developed their own ESG scoring models as compared to Singapore. These discrepancies, according to Ben McCarron, founder of sustainable finance analysis firm Asia Research & Engagement, are attributable to Malaysia’s clear regulatory push towards responsible investing. As a global center for Islamic finance, Malaysian investors are also more familiar with the use of social factors to guide their investments. Overall, however, Asia still lags behind financial centers in Europe and the United States when it comes to responsible investing.

The Economist Intelligence Unit profiles the impact investing landscape in Asia, the Middle East, and Africa in new report. Commissioned by Standard Chartered Private Bank, the report aims to create knowledge for high-net-worth individuals (HNWIs) on sustainable finance and its intersection with philanthropy. The goal of the study is to help HNWIs decide how to allocate their portfolios to achieve the best return against their requirements. The report—based on desk research and in-depth interviews of eight experts—focuses on Asia, the Middle East, and Africa as these regions are witnessing the highest growth in either receiving or propelling sustainable finance, impact investing, and philanthropy. One of the report’s five main observations concerns definitions: there are often very subtle differences between terms such as impact investing and sustainable investing. The report recommends HNWIs to set clear parameters and objectives to navigate gray areas in the definitions.  

The path to scale is broken for nonprofits. In an opinion piece published by India Development Review, Dhananjay Rohini argues that the support ecosystem surrounding nonprofits may be failing them in their pursuit of scale. Nonprofits often find themselves solving “inherently harder” problems such as those arising out of market failures or weak institutions. Amid these challenges, nonprofits must also bear the high transactional costs of seeking funding for one project at a time. The successful delivery of projects may improve the chances of future funding, but “donor fatigue” could still be an impediment. This situation is quite contrary to the private sector where multiple mechanisms exist for raising funding and where unremarkable but stable companies often succeed in attracting funding. Among the strategies Rohini lays down to alleviate some of these failings are: donors paying the entire costs of programs, and funding large-scale initiatives instead of individual projects. Non-pecuniary support in payroll management, reporting, and HR can also help nonprofits focus on the core problems they seek to solve.   

THE NONPROFITS

Founder of nonprofit helping trafficking victims named among 2019 Class of Asia 21 Young Leaders by Asia Society. Ta Ngoc Van is the chief lawyer at Blue Dragon Children’s Foundation, a nonprofit based in Hanoi which rescues Vietnamese women and girls who fall victim to human trafficking. Van is credited with helping 800 trafficking victims and has provided legal representation to nearly a hundred. Human trafficking affects over 40 million women, children, and men and according to the International Labour Organization, citizens of the Asia Pacific region are twice as likely to be at risk as those of a developed country. The Ministry of Public Security in Vietnam reports that about 80% of human trafficking victims end up in China. According to the article, this is in part due to the country’s gender imbalance, which is seen to exacerbate the issue. Van’s fellow honorees are playing their part in alleviating the region’s challenges through journalism, policy advocacy, and technology among others.  

THE BUSINESSES

KKR’s Global Impact Fund exceeds US$1 billion fundraising goal. The global investment firm, which manages assets worth US$148 billion, announced the Global Impact Fund as its first impact-focused fund in 2018. This new fund employs UN Sustainable Development Goals (SDGs) to guide investment decisions. The actual “investment playbook,” concerning the type, duration, and commitment to value-add, however, remains the same. The Global Impact Fund joins the likes of TPG’s US$2 billion Rise Fund, the world’s largest impact investing pool, and similar funds from Bain Capital and Partners Group. Co-head of KKR Global Impact, Ken Mehlman, states that the fund will allow KKR to access investment opportunities that previously had to be let go due to their size; the new fund will prioritize deals worth US$100 million or below. The fund has already deployed two investments: US$32.4 million in Singapore-based energy-saving company Barghest Building Performance, and about US$510 million in Indian environmental management company, Ramky Enviro Engineers. The latter investment is understood to have been funded in part from the Global Impact Fund and KKR’s 2017 Asian Fund III worth US$9.3 billion.

THE INNOVATORS

Korea’s SK Group developing blockchain donation platform. The donation platform will enable direct, low-cost, and peer-to-peer foreign currency donations that will be settled immediately without requiring any input from external or intermediary institutions. Cross-border money transfers are subject to various fees if sent through traditional intermediaries, and blockchain technology has emerged as a promising solution to the problem. This application of the technology, however, is yet to achieve mainstream approval despite its merits. While no firm deadline has been quoted for the project, SK Group has committed that the platform will be open sourced. Interested developers will be able to replicate the platform and alter parameters such as transaction terms. Donations on the platform will be settled in Korean won through the Social Value Coin (SVC), which will be pegged to the won in a 1:1 ratio. Another token, Social Value Power (SVP), will be distributed as reward to donors at the ratio 1:1000 SVCs (or Korean won).

Who’s Doing Good?

8 July 2019 - 21 July 2019

THE GIVERS

Philanthropist Merle Hinrich helps develop the next generation of Asian leaders in trade. In conversation with CAPS’ Chief Executive Ruth Shapiro for Hong Kong Tatler, Merle Hinrich discusses the importance of scholarships to his philanthropy. The founder and executive chairman of Global Sources established his eponymous foundation in 2012 to promote and build leadership in sustainable trade. Hinrich explains how the Foundation collaborates with scholars, employers, and university faculty to nurture the next generation of global trade leaders. The Foundation involves other companies in designing its scholarship program as well as university faculty in developing education for careers in trade. In the interview, Hinrich ultimately reflects on the importance of company involvement in the education of future employees–a value his foundation embodies through its initiatives.

Blue book on Chinese charity in 2018 released. The Chinese Academy of Social Sciences released the China Blue Book (2019) on July 13. The report is devoted to the history and development of China’s charitable sector. It provides new perspectives, methods, and materials that have been previously leveraged for national reforms related to the sector. The 2018 iteration highlights that the total amount of donations in China is estimated to be ¥112.8 billion (approximately US$16 billion). However, this is a decrease of about 26% in the total amount of social donations since 2017. On the other hand, the report highlights an increase of more than 50% in contribution value of volunteer services from 2017. In documenting the evolving characteristics and trends over the past ten years, this report offers insights into China’s modern philanthropy. 

THE THINKERS

Bill Drayton underscores social entrepreneurship as key to India’s success. Known as the pioneer of social entrepreneurship, Bill Drayton sheds light on social responsibility and “change-makers” in conversation with Forbes India. The founder and CEO of Ashoka comments on how the business and social sectors are experiencing a structural revolution as they grow more interconnected. On the topic of social entrepreneurship in India, Drayton states that “Leading social entrepreneurs are central to India (or any country) succeeding,” and adds, “India has a huge opportunity to be a world leader by adapting an ‘everyone a change-maker’ culture.” According to the article, Drayton underscores that if India can harness the potential of social entrepreneurship, the country will be poised to lead the world in areas like climate change, technology, and health.

THE NONPROFITS

Singapore’s smaller charities to benefit from governance and fundraising training curriculum. Smaller charities in Singapore will soon have access to training opportunities that can help them meet national standards on governance and fundraising. Singapore’s Commissioner of Charities has signed an agreement with the Singapore University of Social Sciences (SUSS) to jointly develop a training curriculum that will equip charities with skills like fundraising, leadership, and volunteer management. This course costs SG$100 (approximately US$75), and 30 participants will join the inaugural program set to start on August 17. The Commissioner of Charities has also issued an annual report template to further assist smaller charities in writing their own annual report. Grace Fu, Singapore’s Minister of Culture, Community, and Youth, highlighted the importance of these initiatives in raising the standard of the charity sector. According to The Straits Times, she noted, “This partnership with SUSS is a step toward raising the capabilities in the sector so that it can serve more beneficiaries and continue to gain public trust.”

THE BUSINESSES

Students in the Philippines gather for the Aboitiz High School Scholars General Assembly and Career Clinic. The Manila Bulletin highlights how the Aboitiz Foundation, the corporate foundation of the Aboitiz Group, has evolved its CSR initiatives “from one-time donations to carefully designed programs that empower its beneficiaries to pursue their aspirations.” Earlier this month, the Aboitiz Foundation held its annual Aboitiz High School Scholars General Assembly and Career Clinic, which convened hundreds of secondary students. This event aims to support high school students by providing lessons related to their post-secondary academic careers. This program, which equips scholars with practical career-related knowledge and coaching, also includes plenary sessions facilitated by guest speakers on topics such as digital citizenship. In addition to programs like this, the Aboitiz Foundation is currently developing and implementing CSR 2.0 projects that are aligned with the Group’s core competencies.

Companies are driving teacher development in India through innovative interventions. Companies have been leveraging digital technology to improve teacher quality and learning outcomes in rural India. Korea-based tech company TagHive designed and piloted a comprehensive off-line digital solution–Class Saathi. The app gives administrators real time access to statistics on teacher performance and analysis of student learning outcomes. Companies outside of the education sector, including Tata Steel, Dell, and Feedback Infra, are also supporting these efforts through their CSR initiatives. For example, Tata Steel developed a Bridge Language Inventory (BLI) app for Odia and Hindi speaking teachers to improve communication with children in Ho and Santhal communities. Tata Steel’s CSR Division has also installed computers in education resource centers and residential bridge courses and has distributed 250 tablets for 125 projects.

Korea’s top steelmaker POSCO raises US$500 million through ESG bonds. Korea’s POSCO announced that it has raised US$500 million by selling ESG (environment, social, governance) bonds. This type of sustainability debt instrument aims to finance corporate activities that improve and advance corporate performance in environmental, social responsibility, and governance areas. Through this bond issuance, POSCO’s CEO Choi Jeong-woo intends to “beef up our renewable energy business and material business for electric vehicle batteries.” It was also stated that the funds will be used to support the growth of the steel industry and other environmental projects. According to the article, “the five-year debt carries an interest rate of 2.874 percent and will be listed on the Singapore Exchange.”

Citibank Taiwan awarded “Best Corporate Social Responsibility Award.” Citibank Taiwan has earned the “Best Corporate Social Responsibility Award,” from Excellence Magazine, for the third year running. In this year alone, Citibank Taiwan has initiated several public welfare initiatives, the most noteworthy being its assistance to the International Paralympics Committee. One of its environmental initiatives involved helping the St. Camillus Long-Term Care Center in Yilan County to install a solar energy system and apply for a Taiwan Renewable Energy Certificate. This system allows the Center to sell produced energy on an energy certificate exchange platform, while reducing carbon emissions by 10 tonnes per year. Citibank also started the “Pathways to Progress” program in 2016, and it has supported skills development for around 800 youths. Over 650 of these young learners have gone on to access education or employment opportunities. According to the Taipei Times, Citibank has been deeply invested in Taiwan for more than 50 years.

THE INNOVATORS

Can venture philanthropy turn on Southeast Asia to clean energy? Philanthropist Eileen Rockefeller Growald is using her family’s money to help the world transition to clean energy. At the AVPN Conference 2019 in Singapore, she shared about the importance of leveraging venture philanthropy to aid the clean energy movement in Southeast Asia. She established the Growald Family Fund with her husband to fund and scale innovative ventures in clean energy. In Southeast Asia, where coal is gaining share in the energy mix, the Fund has also been informing policymakers of the pressing need to switch to clean energy. The Fund’s climate finance director for Southeast Asia, Athena Ronquillo-Ballesteros, stated, “If we are serious about stopping carbon-intensive infrastructure, the finance side of the conversation has to shift significantly.” She added, “We see a big opportunity in working with Asian philanthropists and high-net-worth individuals to create change together.”

Who’s Doing Good?

10 June 2019 - 23 June 2019

THE GIVERS

Li Ka-shing donates HK$118 million to Shantou University. Every undergraduate attending Shantou University in China will have their tuition paid for thanks to Hong Kong’s richest man. Li Ka-shing established the university in 1981 to aid the development of his hometown of Shantou. His donation of HK$118 million (approximately US$15 million) will grant a full scholarship to every student enrolled in the university for the next four years. The donation will be administered through his eponymous foundation, which he founded in 1980. The Hong Kong billionaire has exhibited great dedication to philanthropy, having donated over HK$20 billion (approximately US$2.5 billion) to schools, hospitals, and universities in 27 countries and regions. Li has stated that he plans to bequeath a third of his wealth to philanthropy and charitable causes.

Indian billionaire Azim Premji’s retirement casts spotlight on private philanthropy in India. Azim Premji announced last week that he will retire from his position as executive chairman and managing director of Wipro. As India’s second-richest person with an estimated net worth of US$22.4 billion, Premji has grown to be an inspiring philanthropist, committing over half of his wealth to philanthropy. Premji was the first Indian to sign The Giving Pledge and has donated US$21 billion to date. While ultra-high-net-worth individuals in India are giving less than they did five years ago, according to Dasra and Bain’s 2019 India Philanthropy Report, Premji is a notable exception. His retirement casts a spotlight on private philanthropy in India and the opportunity for more business leaders and philanthropists to invest their wealth in the social sector.

Japan’s Rugby World Cup mascots call on fans to help disadvantaged children in Asia. ChildFund and World Rugby are partnering for the 2019 Rugby World Cup, which will be hosted by Japan this fall. As part of their Impact Beyond legacy program, the Rugby World Cup’s two mascots will be ambassadors to ChildFund Pass It Back, a sport-for-development organization. Pass It Back has benefited more than 10,000 disadvantaged children across Asia–over half being girls and young women–by integrating life skills curricula with tag rugby. With a pledge of a record £1.5 million (US$1.9 million), the global rugby community and commercial partners for the 2019 Rugby World Cup will enable over 25,000 disadvantaged youth from across Asia to participate in the Pass It Back program.

THE THINKERS

Japan’s social investment funds connect social enterprises to private capital. As interest in social ventures increases among investors, third-party organizations in Japan are stepping in to connect social enterprises with private capital. This includes Kamakura Investment Management, which works to facilitate a cross-sector ecosystem by connecting companies it invests in to social ventures it supports. Kamakura’s flagship mutual fund, Yui 2101, which initially received skepticism from people in the industry, now boasts assets under management of US$340 million from more than 19,000 investors. Another key player working to foster a cross-sector ecosystem is the Japan Social Impact Investment Foundation (SIIF), which invested in Japan’s first health-care social impact bond.

Global Impact Investing Network (GIIN) releases its 2019 Annual Impact Investor Survey. In its ninth iteration, GIIN’s Annual Impact Investor Survey provides data on and insights into the increasing scale and maturity of the global impact investing industry. The report draws on responses from 266 leading impact investing organizations from around the world who collectively manage US$239 billion. The report also includes Asia-specific findings. South Asia is reported to be the second-fastest-growing region of interest among four-year repeat respondents, with 40 percent of all respondents planning to increase their allocations to it. For the array of actors entering Asia’s nascent impact investing industry, this report offers a snapshot of impact investing activity from global counterparts.

THE NONPROFITS

Cambodian nonprofit wins Australian award for film addressing domestic violence. Siem Reap-based nonprofit This Life Cambodia won the “Best Social Media Campaign of the Year” at the Not-For-Profit Technology Awards in Australia. The nonprofit leveraged the power of social media to run its End Violence Together campaign for 16 days in November and December 2018. The campaign included a two-minute film depicting “a world in which women and children weren’t wearing helmets to protect themselves from road accidents, but wore them inside their homes to protect themselves from domestic violence.” According to The Phnom Penh Post, the video went viral and was viewed more than a million times. This Life Cambodia is also a finalist for the global Grassroots Justice Prize.

THE BUSINESSES

Korea’s Amorepacific signs MOU with TerraCycle to recycle empty bottles. Recycling efforts will soon get a boost with an agreement signed between Amorepacific Corporate and global environment company TerraCycle. A memorandum of understanding signed between the two parties in June includes objectives to recycle at least 100 tons of empty plastic bottles annually for three years and to increase the usage of recycled empty bottles for Amorepacific products. Amorepacific is a leading Korean beauty company and has collected 1,736 tons of empty cosmetic bottles over the last 15 years. The company has been running its Greencycle campaign to recycle these empty cosmetic bottles or upcycle them into creative artworks. The company is also currently studying different recycling opportunities to mitigate environmental harm caused by used cosmetic bottles.

Collaboration among stakeholders key to achieving development goals. In the lead-up to the G-20 Osaka Summit, Japan has outlined action plans for achieving the SDGs through regional revitalization, women empowerment, and Society 5.0–a program based on human-centered society, leveraging data, and new technologies. Business leaders have also been vocalizing their support. The Keidanren, also known as the Japan Business Foundation, has updated its Charter of Corporate Behavior to support efforts for achieving the SDGs. The integration of SDG principles and environmental, social, and governance (ESG) factors into business strategies and investments is promising, but the article highlights the need for more collaboration at the global level to achieve the SDGs. At the first SDG Summit in New York this September, the international community will need to discuss progress made and a collaborative way forward.

THE INNOVATORS

Asian banks curb lending to coal plants after pressure from investment funds. Asian banks are stopping loans to coal plants as investors increasingly adopt environmentally conscious investment principles. The latest move came from Japanese bank Mitsubishi UFJ Financial Group in May and banks across Asia, such as DBS and Oversea-Chinese Banking Corporation in Singapore, have also announced similar measures. This is in line with a surge in global investments based on ESG factors, which have reached US$30.7 trillion as of 2018–a 34 percent increase in just two years–according to the Global Sustainable Investment Alliance. George Iguchi of Nissay Asset Management stated, “These three factors [environment, social, and governance] are good indicators of what vision each company has for its business. Businesses with a good vision can generate better returns [that are] sustainable.”

UOB Venture Management expands its impact investing initiative. UOB Venture Management will be launching a new impact fund in the second half this year. Named the Asia Impact Investment Fund (AIIF II), it will continue the Fund’s focus on investment in education, healthcare, and agriculture as well as extend into new areas like clean energy and affordable housing. Deals for the Fund will be assessed based on a company’s ability to scale its business and the company’s impact on low-income communities. UOB Venture Management started the first series of the Fund in 2015 and has invested in nine companies across China, Indonesia, and Myanmar. These companies have strived to improve the lives of low-income communities by including them as consumers, suppliers, or distributors.