Climate funding surged 20% in 2023, outpacing the overall growth in global philanthropic giving for the first time since 2020, according to ClimateWorks Foundation's 2024 Funding Trends Report. This fifth edition provides five years of insights into how philanthropy helping with scaling climate action, and highlights stark funding gaps and emerging priorities in the face of escalating climate impacts.

The report analyzes overall philanthropic funding from individuals and over 90 foundations in 2023, revealing that $9.3 billion to $15.8 billion was directed toward mitigating climate change.

"The growth in climate funding is a positive step, but the stakes couldn't be higher," said Helen Mountford, president and CEO, ClimateWorks Foundation. "As the global landscape becomes more complex and the planet continues to overheat, philanthropy has a critical role to play in catalysing transformative climate action in a way that is resilient to political shifts and focused on what people need most: economic and development opportunities, health and security, and a livable planet. By acting boldly and collaboratively, philanthropy can bridge divides and help build a sustainable and equitable future for all."

Major Findings From the Report on Scaling Climate Action

  • Record growth: In 2023, climate giving grew by 20% year over year, with foundation funding reaching a record $4.8 billion – nearly triple the $1.7 billion in 2019.
  • Top-funded priorities: Clean electricity, forests, and food & agriculture were the three top-funded sectors from 2019-2023, with public engagement remaining the leading enabling strategy for climate action funded by philanthropy.
  • Geographic funding gaps: The U.S. and Europe received 60% of tracked funding directed to a single country or region 2019-2023, while Africa, Other Asia and Oceania, and Latin America – home to over 6 billion people – received an estimated 20%. This disparity extended to grantmaking approaches, with low-to-middle-income countries receiving only 14% of foundation funding as flexible, core support, compared to nearly 33% for U.S. and European grantees.
  • Adaptation and resilience: For the first time, the Funding Trends Report includes data on adaptation and resilience efforts, which received at least $600 million in foundation funding in 2023 to help communities adapt and be more resilient to growing climate impacts.

Read the full article about scaling climate action with philanthropy at PR Newswire.