Donations have decreased by 40% but number of beneficiaries continues to rise: Charity organisations

SINGAPORE: Some charity organisations in Singapore have reported that the amount of donations has dropped by as much as 40 per cent year-on-year, despite the fact that the number of beneficiaries continues to rise.

The National Volunteer and Philanthropy Center (NVPC) told 8World that this trend could possibly be attributed to factors such as donation fatigue and the return of life as normal after the peak of the Covid-19 pandemic.

Canossa, a social welfare organization that provides education and care for children under 12 years old, including hearing-impaired children, pointed out that the cost of living has risen over the past year, resulting in an increase of about 20% to 30% in the number of families in need of help this year, reaching 150 families.

However, the donations raised during the same period decreased by 40% to just over $120,000. The organization now has to use its reserve funds to try its best to help these families through the difficult times.

A Canossa representative pointed to signs of slow fundraising and said they are unable to accept new families due to the constraints they face.

Canossa, a social welfare organization focusing on education and care for children under 12 years old, including those who are hearing-impaired, has felt the impact of these shifting dynamics acutely.

The organization reported a 20% to 30% increase in the number of families seeking help this year, with the total reaching 150 families.

However, their donations have plummeted by 40%, leaving them with just over $120,000 in funds. The charity is now dipping into its reserve funds to support these families.

Due to these financial constraints, Canossa is currently unable to accept new families into their programs, highlighting the strain on their resources.

NVPC also sheds light on broader trends affecting the charitable sector. The organisation which manages giving.sg revealed that donations to the fundraising platform have also decreased over the past year.

Since the onset of the pandemic, the number of donors has decreased by approximately 7% to 8% annually. Despite this, the overall number of donors and total donations remain relatively high.

Fundraising efforts by organizations such as the Singapore Cancer Society continue to receive support, indicating that while the number of donors has declined, those who continue to give are donating generously.

In addition to the decline in donations, NVPC noted a decrease in the number of volunteers. However, those who continue to volunteer are reportedly dedicating more time and effort to their causes, a silver lining in an otherwise challenging situation.

Looking ahead, NVPC is exploring innovative ways to bolster support for charities.

An NVPC representative stated, “Next year, we will gradually develop a cooperation function to allow companies to collaborate with charities, enhancing their donation and support activities. We expect more than 2,000 companies to partner with us.”

This initiative aims to introduce new features that will improve the matching of needs between users, encourage companies to share their expertise, and optimize search and filtering functions to help volunteers find opportunities that align with their skills and interests more effectively.

As the charity sector in Singapore grapples with these challenges, the efforts of organizations like Canossa and NVPC to adapt and innovate are critical.

The hope is that these new strategies will revitalize the flow of donations and volunteers, ensuring that the growing number of beneficiaries continues to receive the support they need. /TISG