Apresentação realizada por Adam Pickering, International Policy Manager da Charities Aid Foundation (CAF), por ocasião da realização da primeira edição de 2014 dos módulos nacionais da CAF Foundation School, iniciativa no Brasil desenvolvida pelo IDIS.

1. Future World Giving
Recognising the potential of middle class giving
27 May 2014
Adam Pickering, International Policy Manager

2.  Demonstrate the potential growth of middle class
giving
 Highlight the importance of mass engagement in
giving
 Highlight some of the barriers for future growth
Aims

3. MIDDLE CLASS GROWTH
OPPORTUNITY

4. The polarity of wealth is changing

5. Explosion of wealth

6. The rise of the global middle classes

7. US$55 trillion
US$223 billion
0.4%

8. US$1.2 trillion
US$4.9 billion
0.4%

9. And Brazil?
Mass market
 By 2030 spending of middle class Brazilians, adjusted for
purchasing power parity, will have almost doubled to $1.2 trillion.
 If middle class Brazilians were to give at the same rate as seen
in the UK (0.4%) this could generate $4.9 billion in charitable
donations annually.
 Brazil is becoming a more equal society with a broad tax
revenue base. 27% of government revenue comes from
individuals suggesting that incentives could be effective (World
Bank).
High Net Worth
 In 2013 Brazil had 222,000 $millionaires. By 2018 this number
will have grown by 84% to 407,000 according to Credit Suisse
Research

10.  Civil society about more than services to beneficiaries
 Combats “the tyranny of the majority”
 Can act as a pressure gauge
 Crucial for governance
 Concerns about leeching of sovereignty assume power is
finite
Without an appropriate means to voice their dissent,
disenfranchised citizens will eventually make their
grievances known, and it may be in radical and
destructive ways"
Jimmy Carter
Why middle class giving?

11. BARRIERS

12. World Giving Index: 5 year trends

13. 5.20
-0.03
7.50
2.70 3.00
23
25 26
24 23
15 15 14
12 13
51
49 48
44
42
-1.00
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
0
10
20
30
40
50
60
1 2 3 4 5
GDP growth Donating money
Volunteering time Helping a stranger
Brazil: 5 year trend

14. Year Overall rank Donating money Volunteering time Helping a stranger
Rank % Rank % Rank %
2008 68 63 23 83 15 40 51
2009 54 52 25 64 15 46 49
2010 69 59 26 80 14 50 48
2011 83 68 24 93 12 71 44
2012 91 72 23 90 13 90 42
Brazil: 5 year trend

15. Creating an enabling environment for giving
• Global giving climate is complex
• National context key to understanding
• But there are global trends
-40
-30
-20
-10
0
10
20
30
Changes in giving money] (%) from 2008 to 2012

16. Country
2012
data %
2008
data %
Change in
percentage
points from
2008-12
Uruguay 40 17 23
Cambodia 45 23 22
Indonesia 63 43 20
Latvia 31 15 16
Paraguay 49 34 15
India 28 14 14
Uganda 25 11 14
Norway 56 43 13
Portugal 27 15 12
Chile 54 42 12
Country
2012
data %
2008
data %
Change in
percentage
points from
2008-12
Benin 8 19 -11
Malta 72 83 -11
France 24 36 -12
Denmark 54 67 -13
Laos 47 64 -17
Austria 52 69 -17
Guatemala 29 46 -17
Nepal 25 46 -21
Honduras 23 46 -23
Vietnam 13 43 -30
Changes in giving money since 2008
10 largest increases 10 largest decreases

17.  30 countries have tax incentives for corporate
giving but not for individuals
 Others have very limited incentives for individuals
 Still more follow the US model of tax credits ruling
out those who do not file tax returns
 In many developing countries such a framework is
understandable seems logical but is short sighted
Favouring corporations and HNWIs in tax
incentive regimes

18. 0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
45.0
50.0
No incentives Incentives No incentives Incentives No incentives Incentives No incentives Incentives
Low income countries Lower middleincoem
countries
Upper middle income High Income countries
WGIGivingmoney(%)
The power of incentives

19. Recent restrictions on advocacy & foreign funding
• Recent/proposed laws restricting
advocacy
• Recent/proposed laws restricting
foreign funding
• Lack of clarity or implementation
of laws causing friction

20. Globalisation of values challenging state sovereignty

21. 85
83
78
73
71
70
67
86
83
78
70
69
67
63
0 10 20 30 40 50 60 70 80 90 100
Delivering social services
Working with companies to solve issues
Communicating activities/commitments
Publicaly criticising governments/companies
Raising money to support activities
Publicaly protesting
Influencing government policies
*Includes: Australia, Brazil, Canada, China, Germany, India, Indonesia, Kenya, Mexico, Nigeria, Pakistan, Spain,
Turkey, UK and USA
Data from GlobeScan RADAR 2012 Wave 2: Issues and Reputation
Support for Environmental and Social Groups’ Actions 2008-2012
*Support (strongly + somewhat), * average of 15 countries
2008
2012

22. Publically criticizing
governments/companies
Influencing government
policies
Delivering social services
Working with companies
Using public protests to
raise awareness
Support for Environmental and Social Groups’ Actions in Brazil
Data from GlobeScan RADAR 2012 Wave 2: Issues and Reputation
75
66
91
89
75
18
26
6
7
19
0 10 20 30 40 50 60 70 80 90 100
Oppose
Support

23. Global Trust in NGOs

24. Brazilian trust in NGOs

26. Giving grows
Benefits are
felt
Expectations
rise
Market
develops to
meet
expectations
Market
tends
towards
complexity
The need for continuous policy development

27. Big year for CSR
 Privatization has placed greater expectations on corporations to address public
problems
 Companies Act in India seen as an experiment
Corporate leaders increasingly see philanthropy and CSR programmes as
opportunities for differentiation:
 In the market for customers. 88% of Indian and 86% of Chinese consumers
say they buy products with a social or environmental benefit (67 per cent
globally).
 In the market to attract and retain talent – An Ipsos MORI survey of 18,150
Indian people found that 51% considered social impact to be important in their
career choice with 58% looking to work for a company with “values like my
own”.
Payroll giving becoming attractive to employers

28. • Media references to individual philanthropists in emerging markets are rapidly
increasing, with 385 references over the last year in India alone
• Warren Buffet’s “Giving Pledge” is signed by billionaires in 10 countries,
including Russia, Ukraine, Taiwan, India & South Africa
• Some concern that there is too much focus on individuals
• Recent media stories naming and shaming those who don’t give publicly
UHNWI and “celebrity philanthropy” culture
spreading

29. HNW philanthropy part of the solution
• Globally, income inequality continues to increase
• Attitudes to wealth are worsening in many nations
• Warnings from IMF and World bank
• Should focus on inclusion in civil society
Impact
investment
Improve
perceptions of
wealth
Risk capital
philanthropy
Potentially
transformative
Support
social justice
causes
Combat sense
of reciprocity

30. About Future World Giving
 Concept paper
 3 thematic reports:
 Building Trust in
Charitable Giving
 Enabling an
independent Not-for-
profit Sector
 Encouraging people to
give
 Recommendations
framework
 Future World Giving
Framework
 Website

31. www.futureworldgiving .org

32. QUESTIONS?
apickering@cafonline.org
@A_L_Pickering
www.futureworldgiving .org