Among Charities Worldwide, Half Report Declining Income, Survey Finds

Half of nonprofit organizations around the world have seen declines in donations and other income in the past year, while a third have experienced an increase, according to a new survey that seeks to assess the impact of the global economic downturn.

The annual Global Fundraising Confidence Survey, the second of its kind, polled 126 leading fund-raising experts in Africa, Asia, Australia, Europe, and North America from May to August. The survey was conducted by the Management Centre, an international fund-raising training and consulting firm in London.

Survey participants answered questions about the global economic recession’s impact on the fund-raising climate in the preceding year and how they felt about their ability to raise funds in the year ahead. The largest declines were reported in Asia; the smallest were reported in Europe.

Among the third of respondents who reported an increase in their budgets, 14 percent said that income had grown by 10 percent or more.

Charities that gained said they were putting more money and effort into seeking donations, working harder to offset anticipated declines, finding new sources of income, receiving large gifts from donors who stepped in to help in hard times, and creating new methods of seeking donations.

Among charities that reported a decline in gifts and other income, more than half cited causes in addition to the global recession. Those included difficulties in finding qualified fund raisers and a lack of both leaders and strategies capable of dealing with a tough economic climate.

Looking ahead, more than half of respondents said they felt more confident about the coming year.

They also predicted the three types of charities likely to suffer the most in the recession: arts and cultural groups, science and research, and human rights. Those least likely to suffer, the respondents said, were children’s causes, faith-based groups, and education.