Think & act differently to survive in new global context, nonprofits urged 

Embracing change and greater collaboration is essential for nonprofit survival in today’s climate of funding cuts and the new global narrative, but some nonprofits must also rethink their roles, attendees heard at June’s Chartered Institute of Fundraising annual conference. EFA was on the discussion panel.

Chaired by CIOF executive director of engagement and EFA president Ceri Edwards, the session saw Laurence Lepetit, EFA board member and executive director of France générosités speak alongside Willeke van Rijn, CEO of The Resource Alliance, and Keith Kibirango, CEO of New Global Markets, on the theme “Reframing aid – standing up to the cuts and a new global narrative”.

Highlighting a global context with a tendency to shrink civic space and call into question the legitimacy of some nonprofits’ and foundations’ work – as well as increased pressure on fundraising teams from economic models under strain, Lepetit, van Rijn, and Kibirango discussed how the sector can respond.

The USAID funding cuts have sent shockwaves across the sector with that money unlikely to make a return, they agreed, while the move of politics to the right sees a gradual shrinking of civic space in many countries globally. This then is a moment to reflect on what to do differently, attendees heard – and importantly, to act.

“If the funding is not coming back, we need to think about other opportunities,” said van Rijn. “This is no time to do nothing. Income diversity is essential – are we tapping into the resources that are there? The average donor in the US and France is in their 60s for example, so we’re missing whole generations – are we going to where they are?”

Kibirango highlighted a need for INGOs of the Global North to rethink their role and relevance as a sector: “Despite the cuts, for many parts of the Global South life hasn’t really changed,” he said. “Fundamentally, the vast majority are still in poverty despite the billions of dollars going to INGOs annually for years, so as a sector we also need to think about our role and relevance. Are we doing projects that others can do better and cheaper? What we can do that no one else does? How can we collaborate rather than compete?”

NGOs are not only experiencing significant cuts and obstacles to foreign aid but attacks on their legitimacy, said Lepetit, highlighting the growing trend of shrinking civic space. Across Europe, she noted, charities are losing their charitable status for being deemed too political, attacked for who they’re said to support, and seeing laws and tax incentives change to their detriment.

Collaboration across the sector, nationally and internationally, is the key to an effective response: “We need to work together to mitigate the impact and reframe the narrative,” she said. “There is great power in the day-to-day democracy within our organisations – we need to build on that.”

Key takeaways for survival in today’s global context

Build coalitions between nonprofit and philanthropic actors to “share knowledge and change narratives together,” said Lepetit, highlighting EFA’s new Fundraising4Democracy hub and upcoming European Fundraising4Democracy Tour.

Leaders need to be brave and bold, and accept change, said van Rijn: “If you are not transforming or innovating, you are dead. The challenges ahead are significant but so is the collective strength of our organizations.”

In the face of the USAID cuts, Kibirango said, it is time to think differently and look for new opportunities: including rethinking cooperation between NGOs from the North and South: “Beyond the West,” he said, “look at the East and Africa!”.