Public-Private Partnerships for Social Good

Rethinking PPPs

There is a growing trend in Asia of governments and the private sector coming together to address social needs, and our latest study spotlights these “public-private partnerships for social good.” With 88% of top business leaders in Asia believing such partnerships will become even more common over the next five years, it is more important than ever to understand what they are and how they work.

We conducted an in-depth analysis of 20 notable PPPs for social good spanning 11 Asian economies and 9 sectors to find out. Our report showcases why this trend is taking root, what best-in-class PPPs for social good look like, and how they maximize impact.

Read on to learn more about the 6 strategies that enable public-private partnerships for social good to achieve greater impact, how they can prepare for sustainability, and how they can navigate risks.

Read the press release hereand download the full report below.

 

Sustainable Investment – Impact in Asia

UNDP & Asia Asset Management

This book explores the advances in sustainable investment in Asia, tracing its evolution from philanthropy to impact investing and ESG (environmental, social and governance) investing. The United Nation’s Sustainable Development Goals (SDGs) are noted as a key driver of developments in this field.

The book also looks at the critical role of government and private sector players in facilitating and financing sustainable investments. Successful examples of sustainable investment across Asia include Japan’s private sector investment innovations, the burgeoning Green Bonds market in Asia, blended social finance in China, impact investing in Sri Lanka, and regional developments in Southeast and South Asia. Read it here.

Engaging Civil Society Organizations to Enhance the Effectiveness of COVID-19 Response Programs in Asia and the Pacific

Asia Development Bank (ADB)

This brief advocates for civil society organizations (CSO) to take an active role in Covid-19 response programs to complement government efforts. It highlights the success of CSOs in delivering social programs in Asia Pacific, including immunization and social protection programs. A framework for governments to expand CSO engagement in Covid-19 response programs is offered, specifying six programmatic areas for CSO intervention. These are: vaccine distribution, community outreach and surveillance; verification of civil vaccine-related works; gaps in vaccine service delivery; inclusion of marginalized and vulnerable people in remote areas; and assisting audit and anti-corruption agencies. Read it here.

CAPS Spotlight: Who’s Doing Good

9 June 2021 - 22 June 2021

Hong Kong companies offer HK$130 million (approximately US$16.7 million) worth of incentives to encourage Covid-19 vaccinations. New World Development is partnering with local NGOs to offer a HK$1,000 allowance to 500 underprivileged individuals. Other Hong Kong companies, including Sino Group, Hang Lung Properties, The Airport Authority Hong Kong, are offering lucky draw and discount prizes, ranging from shopping coupons to a HK$10 million (approximately US$1.3 million) apartment.

In the latest Philanthropy Impact magazine, CAPS explains how blended finance can pave the way to achieving the SDGs. Asia faces a significant financing shortfall in meeting the Sustainable Development Goals by 2030, especially in the wake of the pandemic. CAPS’ Director of Research Mehvesh Mumtaz Ahmed describes how blended finance, which uses catalytic capital from government or philanthropists to attract private capital, can help. She also showcases different blended finance strategies from across Asia. Continue reading on page 26 of Philanthropy Impact 

Companies are partnering with nonprofits and government to boost Covid relief in India. Microsoft, Hitachi, and Honeywell are working with various charities to manufacture and provide essential equipment to Indian hospitals. The foundations of Vodafone and NASSCOM are partnering with Childline India Foundation to launch a helpline for children in distress.

Additionally, Dasra launched the campaign #BacktheFrontline to raise US$10 million for over 100 NGO first responders as the country shifts from relief to rebuilding. Some of US philanthropist Mackenzie Scott’s recent bequest of US$2.7 billion is going to Indian nonprofits working in pandemic relief, such as GiveIndia, The/Nudge Foundation and Mann Deshi.

With private sector support, Covid-19 vaccination rates gain pace in Japan and Taiwan. Rakuten is preparing a nationwide vaccination rollout, collaborating with industry, academia and government to establish additional vaccination centers and administer over 30,000 daily doses. Japan’s largest companies, including Toyota Motor, Softbank and Nomura, are setting up employee inoculation facilities. In Taiwan, Taiwan Semiconductor Manufacturing Co. will purchase 5 million vaccine doses on behalf of the government. This follows recent news of Foxconn’s pledge to purchase 5 million Pfizer-BioNTech vaccines.

Korea will introduce ESG guidelines by the end of this year. The Korean Government plans to establish infrastructure and incentives to help companies embed environmental, social and governance (ESG) values in corporate strategies. It is also considering a revision of the stewardship code towards responsible investing, which would affect Korea’s National Pension Fund, currently the world’s third largest. These developments will help Korea keep pace with other Asian economies. Continue reading in The Korean Times 

Kakao’s founder Kim Beom-su (Brian) establishes new eponymous foundation. We reported in February 2021 about Kim’s pledge to donate more than half his wealth. He recently sold ₩500 billion (approximately US$440 million) worth of company shares, part of which will be put towards the newly formed Brian Impact Foundation. The foundation will support social impact projects’ research and development, and businesses developing artificial intelligence and other future-leading tech. Continue reading in The Korea Herald 

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CAPS Spotlight: Who’s Doing Good

26 May 2021 - 8 June 2021

Wang Xing, Founder of Meituan, gives big. Wang recently donated over US$2 billion worth of shares in the food-delivery giant to his philanthropic foundation. Meituan said the funds will go towards education and scientific research. Wang’s donation is in line with the recent trend of Chinese tech billionaires substantially increasing their philanthropic giving. Continue reading in The Wall Street Journal →

Companies in Asia set up Covid-19 inoculation programs for employees and their families. In India, companies including HCLBajaj Auto and Samsung India have launched employee vaccination campaigns. Japanese companies are also stepping up and inoculating employees, which will help the government double the number of daily vaccinations to 1 million. Companies in Southeast Asia rolled out similar initiatives in the second quarter of this year.

Terry Gou, Founder of Foxconn, pledges US$228 million to purchase 5 million Pfizer-BioNTech vaccines as Taiwan sees a spike in Covid-19 infections. The donation is expected to also cover the cost of transportation, cold chain logistics and storage, distribution, and administration. Continue reading in Taiwan News 

92% of youth-led enterprises in the Asia Pacific negatively impacted by Covid-19, according to Youth Co:Lab. The organization—co-created by UNDP and Citi Foundation—recently launched their report, “How Young Entrepreneurs in Asia-Pacific Responded to COVID-19.” It discloses how lockdowns, shrinking demand, supply chain disruptions and a credit crunch challenged these enterprises. They responded by pivoting business strategy, launching new products and services, and transforming business models. The report also showcases over 40 innovative youth-led solutions aiding the region’s Covid-19 recovery.

Japan’s impact investing market has potential to grow to ¥2.64 trillion (approximately US$24 billion). The Global Steering Group for Impact Investment (GSG-NAB) Japan recently launched their report, “The Current State and Challenges of Impact Investing in Japan.” It highlights trends in impact investing—including growing interest from corporates and the issuance of Japan’s first sustainability-linked bond—and forecasts market size. This is encouraging news as there is much room for growth; according to CAPS’ study Business for Good, only 9% of social enterprises in Japan receive private investment.

Asian philanthropists pool US$1.5 million to contribute 600,000 doses towards COVAX global Covid-19 vaccine target. Singapore-based Asia Philanthropy Circle raised this funding from 10 philanthropists and philanthropic organizations. Their pooled donation will be matched by a public charity through Gavi, the Vaccine Alliance, bringing total funding to US$3 million. Continue reading on Asia Philanthropy Circle’s website 

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DECODED

Asia's social sector takes on Covid-19

Our DECODED series unpacks, explains and crystallizes issues critical for social investment in Asia. DECODED draws upon CAPS’ expertise in research, and access to an extensive network of sector experts and philanthropists in 18 Asian economies. This enables us to identify emerging trends in the region. Through DECODED, we translate these concepts into bite-sized, easy-to-understand insights.

This inaugural DECODED synthesizes how the social sector across Asia has risen to the occasion in responding to Covid-19, and what comes next. We end with recommendations for philanthropists, corporates and policymakers who want to invest in helping Asia’s social sectors thrive.

CAPS Spotlight: Who’s Doing Good

16 March 2021 - 31 March 2021

After recent outbreak of Covid-19 cases, Cambodian government calls upon private sector for further assistance. One of Cambodia’s largest conglomerates, Prince Holding Group, and its chairman Neak Oknha Chen Zhi, answered the call with a fresh bequest of US$3 million. Cambodian tycoon Kith Meng and his family also contributed US$3 million, with an additional US$2 million to purchase Nokor Tep Hospital. Both Kith Meng and Chen Zhi are among a list of prominent business leaders who had already donated to Prime Minister Hun Sen’s vaccine efforts last December, contributing US$3 million each at that time.

Private equity fund ABC World Asia launches inaugural report detailing investment activities and impact performance. The report, “Journey to Impact in Asia,” showcases the performance of SG$98 million (approximately US$73 million) invested in five companies addressing challenges in climate, financial inclusion, healthcare, and sustainable agriculture in 2020. The fund aims to encourage more dialogue around impact investing in Asia by publicly sharing its framework for impact evaluation and its learning and experiences. In CAPS’ Business for Good, we highlight how impact investors can help incentivize other investors by publishing reports like this that showcase different approaches to investment and celebrate success stories. Continue reading in PR Newswire →

Swire Group reaffirms commitment to Hong Kong community with new HK$150 million (approximately US$20 million) charitable pledge. The new round of funding will go to TrustTomorrow, an initiative launched in early 2020 by the Group’s philanthropic arm Swire Trust. It will support around 30 projects, primarily in education, marine conservation and the arts, over the next three years. Continue reading in the South China Morning Post →

Survey of Indian bureaucrats highlights critical role of NGOs in pandemic response. The Centre for Policy Research survey, conducted in August-September 2020, polled over 500 officers of the Indian Administrative Service (IAS). The findings show that three out of five officers considered NGOs and civil society as critical partners in the pandemic response. Officers in more developed states, however, were less likely to consider NGOs as critical partners, suggesting they may be less dependent on them for meeting gaps in services. Continue reading in Live Mint →

Tengku Puteri Iman Afzan, eldest daughter of the King of Malaysia, launches social enterprise on mental health. The 28-year-old royal has launched Green Ribbon Group, a social enterprise that aims to combat mental health issues in Malaysia. It will seek to empower stakeholders involved in raising awareness around mental health, through advocacy, fundraising, and collaboration initiatives. Continue reading in CNA Luxury →

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Economic and Social Survey of Asia and the Pacific 2019: Ambitions beyond growth

UNESCAP

This report assesses the investment needed for the Asia Pacific region to achieve the Sustainable Development Goals (SDGs) by 2030. It argues that stable economic growth in recent years has come at the cost of heightened inequality and environmental degradation. Prioritizing GDP growth at all costs is no longer feasible nor desirable. An estimated US$1.5 trillion is needed per year for the region to meet the SDG 2030 target. The report charts the course to achieving this, highlighting the economic policies that can support structural transformations, necessary investments into human capital and the environment, and the regional and cross-sector collaborations that should be maximized. Read it here.

CAPS Spotlight: Who’s Doing Good

02 March 2021 - 15 March 2021

In the latest for South China Morning Post, CAPS explains how China achieved its poverty alleviation goal by seasoning its ‘stone soup’ strategy. On February 25th, Xi Jinping announced that his signature campaign to eliminate absolute poverty was a success. CAPS’ Chief Executive Ruth Shapiro and Deputy Director of Advisory Services Angel Lin give insight into the four strategies—a focused campaign, aligned incentives, tracking poverty, and mobilizing resources—that helped China achieve this audacious goal. Continue reading in the South China Morning Post →

Family philanthropy in India has tripled since 2019, according to latest India Philanthropy Report. While other sources of private funding—foreign, corporate, and retail—remained stagnant, funding from individual philanthropists grew to approximately INR 12,000 crore (approximately US$1.7 billion) in FY2020. This accounts for almost two-thirds of the increase in funding during the pandemic. This rise in individual giving is welcome, as foreign funding saw its share of overall funding fall to 25% and corporate funding is set to decline. Continue reading in the Business World →

Singapore’s Temasek Holdings commits US$500 million to impact investing specialist LeapFrog Investments. This allocation by Temasek, the US$214 billion Singapore state-backed investment company, is the largest single commitment to a specialist impact investment manager, according to the Global Impact Investing Network (GIIN). Temasek hopes its commitment will encourage other large institutional investors to move into impact investing. Continue reading in the Financial Times →

Newly published report estimates 1 million social enterprises across South East Asia. The State of Social Enterprise in South East Asia, launched earlier this month by the British Council, collates research on social enterprises from Hong Kong, Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. The report examines social enterprises’ activities, size and reach, as well as available government and financial support. CAPS also estimated there to be at least 1.2 million social enterprises in the six economies covered in Business for Good: Maximizing the Value of Social Enterprises in Asia. Continue reading in Pioneers Post →

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CAPS Spotlight: Who’s Doing Good

04 February 2021 - 16 February 2021

Korean billionaire Kim Beom-su, founder of Kakao, vows to donate over half of his wealth. Kim, who has seen his wealth rise to US$7.9 billion during the pandemic, has pledged to donate more than half of his assets throughout his lifetime. Precise details of his donation have yet to be disclosed, but Kim is expected to make an official announcement soon according to Yonhap NewsContinue reading in Bloomberg Wealth →

Trive Ventures jointly launches US$2 million venture philanthropy fund with undisclosed Singapore-based family foundation. The “Tenacious Founders Venture Philanthropy Fund” will invest in Singapore-based entrepreneurs, aiming to be a short-term bridge for founders with limited financial resources. The fund will issue financial support up to US$75,000 per founder in the form of a redeemable SAFE (simple agreement for future equity) note. The family foundation involved has requested to remain anonymous. Continue reading in the Singapore Business Review →

In India, education, healthcare, and agriculture received the bulk of US$2.6 billion in impact investments in 2020. According to the Impact Investors Council’s 2020 annual report, India saw a rise in impact investment despite the global pandemic. The education sector had a marked year, with a 65% year-on-year growth in impact investment volumes. Impact investors also actively invested in early-stage healthcare and agriculture enterprises, showing increased interest in social enterprises that take care of people and the planet alike. Continue reading in Business Today →

All you need to know about the amendments to India’s CSR Act. The Government of India made amendments to the CSR Act last month, which are now effective. Samheeta Rao, partner at GameChanger Law Advisors, outlines these recent amendments and provides a comprehensive list of their implications for corporates and nonprofits. Continue reading on IDR’s website →

Prudence Foundation and partners launch second edition of the SAFE STEPS Disaster Tech (D-Tech) Awards. The Awards identify and scale technology solutions that save lives before, during, or after natural disasters. The Awards provide funding and expert coaching for the implementation and scaling of D-Tech solutions, as well as access to pitching and networking opportunities with humanitarian representatives, venture capital fund managers, and fellow entrepreneurs. Applications close on February 19. Continue reading on the Safe Steps website →

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