Giving Compass' Take:

• Philanthropy in China is becoming exponentially more prevalent and is seeing growth in technological advances that are driving impact. 

• The author mentions that China is poised to become a catalyst for achieving the United Nations Sustainable Development Goals. How can other donors become catalysts?

• Read more about the development of philanthropy in China. 

Philanthropy in China has grown exponentially, with charitable giving growing 20% year-on-year, compared to GDP growth of between 6% and 7% annually. Despite being a new joiner to global philanthropy (interest in charitable giving surged in 2008 following the Sichuan earthquake and has been growing ever since), Chinese philanthropy is evolving from reactive or cause-driven giving to designing interventions for long-term, transformative change.

According to a report released this month by AVPN (Asian Venture Philanthropy Network), supported by the Rockefeller Foundation, the total amount of charitable giving in China had quadrupled between 2009 and last year, reaching $23.4 billion. Meanwhile, the number of social enterprises registered in the country increased by 17% between 2017 and 2018. This increase has not only nurtured an ecosystem that enables investors to make impact-conscious decisions, but also fosters talent and trust within the sector to develop the next generation of changemakers.

China is undoubtedly beginning to flex its muscles as a catalyst and driver for achieving the United Nations Sustainable Development Goals.

At the center of what modern philanthropy looks like in China sits cutting-edge technology that’s harnessing the country’s thriving digital services sector to spark greater impact. Tencentmatches mobile donations made via WeChat to their own charitable donations, while Alipay and Ant Financial leverage user-recorded low-carbon footprint data to reverse desertification in real life.

Yidu Cloud has shown the same dynamism working alongside top medical establishments in China with the aim of providing better healthcare to patients by curating quality data to researchers through its cloud platform, advanced machine learning and AI technology. These ongoing contributions by Chinese tech Goliaths–and the rising Davids–illustrate how digital innovation empowers out-of-the-box approaches to solve the SDGs.

We’re also seeing innovation in the way lines are blurring between business and impact. According to the report, about 65% of philanthropic giving in China is driven by corporate foundations, a space historically dominated by non-profits. Businesses large and small also no longer see social value as an add-on but a fundamental part of their value proposition.

Read the full article about China's philanthropic growth by Deepali Khanna at avpn.