Fri Oct 11 13:07:56 UTC 2024: ## Asian Philanthropy Embraces Trust and Impact: A New Model for Global Giving

**HONG KONG** – Asian philanthropy is experiencing a surge, with ultra-high-net-worth individuals expected to donate US$33 billion by 2023, according to Altrata’s latest report. This growth coincides with a global shift towards trust-based philanthropy, where donors empower grantees with decision-making power and flexible funding.

While this approach emphasizes impact over rigid reporting, it faces criticism for its perceived lack of accountability. However, a joint study by the Institute of Philanthropy and McKinsey & Company suggests a middle ground: Asian organizations can integrate trust-based principles with rigorous impact measurement, creating a model for global philanthropy.

The study, based on interviews with 57 leaders from prominent philanthropic institutions, highlights the importance of adopting a “trust and impact” approach in Asia, where the philanthropic sector is still developing. By focusing on:

* **Empowering Grantees:** Providing them with flexibility and decision-making authority over their programs.
* **Investing in Long-term Impact:** Supporting projects with potential for long-term, sustainable change.
* **Measuring Impact Rigorously:** Utilizing robust methodologies to track progress and demonstrate the effectiveness of funded initiatives.

This approach balances the need for accountability with the desire for impactful change, ensuring both transparency and meaningful outcomes. This model can serve as a blueprint for other regions seeking to evolve their philanthropic practices and maximize their social impact.

The article also highlights a heartwarming example of trust-based philanthropy in Malaysia, where a local charity redistributes excess food from Ramadan bazaars to low-income families. This initiative demonstrates the power of trust and collaboration in fostering a more equitable and inclusive society.

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