HONG KONG--(BUSINESS WIRE)--The Centre for Asian Philanthropy and Society (CAPS) today released the second edition of its Doing Good Index (DGI2020). The study reveals the vital role of the social sector, and how Asian countries help or hinder it. DGI2020 shows not only that governments must do more, but that private/corporate donations must play their part in meeting people’s needs.
“Right now, with widespread disruption stemming from the pandemic and its economic repercussions – which have hit the most vulnerable members of our communities hardest – we have to rebuild our society,” said CAPS Chairman Ronnie Chan. “CAPS’ Doing Good Index provides strategies which help the social sector play a more effective role in fostering a better future for all of Asia.”
In the wake of the Covid-19 outbreak, charitable giving has focused on local community response. International support is declining and “Asia for Asia” philanthropy must fill the gap. If Asians donate the equivalent of 2% of their gross domestic product, US$587 billion becomes available. This represents 12 times net foreign aid flows to Asia and nearly 40% of the additional US$1.5 trillion that Asia Pacific must spend annually to meet the United Nations 2030 Sustainable Development Goals.
“Asia has amassed one-third of the world’s wealth, but still has two-thirds of the world’s poor,” said Dr. Ruth Shapiro, Founder and Chief Executive of CAPS. “There is now a unique opportunity to use this newly created wealth to alleviate poverty, protect the environment and promote societal resilience.”
DGI2020 identifies several broad trends across Asia:
1. Government involvement matters, so public policy related to the social sector not only has a direct effect but also a signaling aspect that amplifies its impact.
- Today, 45% of Asian social development organizations (SDOs) receive funding from foreign sources (approximately 25% of their budget), but more than half of Asian economies are witnessing declining foreign funding.
2.Tax and fiscal policies are a major incentive for charitable giving, but widespread confusion about them frequently holds back donations.
- 25% of SDOs in Asia are unaware that tax deductions are available for charitable donations.
3. Government procurement can be an important source of growth for the social sector, but most economies are underperforming in this area.
- 61% of SDOs with government contracts find it difficult to access procurement information.
4. Governments are increasingly consulting SDOs on policy issues.
- Three-quarters of organizations surveyed report being involved in policy consultations, up from half in 2018.
5. Corporate social responsibility (CSR) and public-private partnerships are playing a growing role in Asia.
- 11 of 18 economies say CSR and public-private partnerships are receiving more attention.
The DGI2020 research surveyed 2,189 SDOs and interviewed 145 country experts across 18 Asian economies: Bangladesh, Cambodia, China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, Myanmar, Nepal, Pakistan, Philippines, Singapore, Sri Lanka, Taiwan, Thailand and Vietnam.
Download DGI2020 here.
Established in 2013, CAPS is committed to improving the quantity and quality of philanthropic giving throughout Asia. Based in Hong Kong, CAPS research works to increase the impact of philanthropists and to enhance the efficacy of social organizations. More information on CAPS research and services is available at: http://caps.org/.