China Philanthropy

The 2011 Hurun Philanthropy List: Big Spenders Making Big Splashes

Last year was a good year for giving in China with donations totaling 70 billion RMB ($10.7 billion US), double that of 2009. Over 80 percent of those billions came from within China. This dramatic rise in giving comes largely from the increasing number of Chinese wealthy who embraced philanthropy this past year—donations that the public and media praised and criticized for being outspoken, unprecedented, and/or unexpected. In April, Hurun published their annual Philanthropy List, which, along with other recent reports on wealthy donors, highlights some of the interesting trends in how the rich are giving and changes in the sector as a result.

Quantity and Quality
In 2010, the Hurun Philanthropy List had minimum donations at US $1.6 million, which rose to US $2 million this year. On average, the lists’ philanthropists gave 1.5 percent of their personal wealth. As Rupert Hoogewerf, creator of the report, said, “there is still plenty of skepticism as to the motivations behind these donations, but–by and large–the philanthropists are beginning to make their mark.”

Many philanthropists tend to stay on the safe side with their giving, a wise choice considering the scrutiny of the wealthy and the major slip-ups that have occurred in the recent past with high profile actors Zhang Ziyi and Jackie Chan. In an effort to have more control over their donations (and also due to the large sums they give) forty-five of the 100 philanthropists have their own private foundations through which (hopefully) informed staff can research reliable projects. Chinese wealthy also continue to give large sums to the Red Cross Association of China, the country’s most high profile charity that also specializes in disaster relief. While it might be safe, this strategy does mean grassroots NGOs rarely benefit from the newly opened wallets of the rich.

The majority of donations for Hurun’s philanthropists were to disaster relief, which is unsurprising considering 2010 saw the Yushu Earthquake, mudslides in Zhouqu County, and drought in the Southwest. Education was a close second followed by poverty alleviation projects and cultural heritage. Environment and healthcare were at the bottom of the list.

Links that Make you Go Hmm for the Week Ending May 27

We've got a new post in the works, but until them some interesting news on China happenings:

Trafficking of Chinese Women on the Rise: China Daily reports that there has been an increase in women forced into prostitution or marriage. Over 17,000 women have been rescued since April 2009 when the Ministry of Civil Affairs launched a campaign to stop trafficking rings. The increase in trafficking has been largely attributed to international crime groups who are kidnapping women and taking them across borders, even as far as the Democratic Republic of Congo.

Tax Benefits for Companies Hiring Disabled People: The Chinese government said it would offer tax benefits to companies who hire disabled people in an effort to help the disabled find jobs. The China Disabled People’s Federation will work in conjunction with these tax benefits to help one million disabled people get jobs in the next five years.

China’s Energy Consumption: China has quietly become the world’s #1 energy consumer, despite blackouts that point to instability in the energy grid. China continues to rely heavily on coal with 73 percent of the country’s electricity coming from coal plants. Hydroelectric power comes in second at 22 percent, according to the New York Times.

Journalists Launch Lunch Program: A group of 500 journalists headed by Deng Fei recently established the Free Lunch Project to provide funds for impoverished children in rural areas who missed meals due to their economic situation and/or hours spent walking to and from school. The organization solicited donations online and received US $1.24 million to help children. So whoever said there’s no free lunch…you stand corrected.