Singapore

Country Overview

Singapore has a robust philanthropic sector, which received SGD 20.8 billion (equivalent to USD 15.7 billion in 2020, adjusted for inflation) in 2019. Many philanthropic organizations received more then half of their funding from the government, while individuals, corporations and foundations contributed around 15 percent of the total revenue for philanthropic organizations, and this share increased in recent years. However, this large government support was especially important during the COVID-19 pandemic, when the country experienced its worst recession since independence in 1965. With lost income from fees, dropping donations, and less access to donors and volunteers, many philanthropic organizations had to come up with innovative ways to keep their operations running and adapt to shifts within the sector.

With charitable giving beginning to been seen as a more holistic concept rather than a simple transaction and exchange of resources, the Singapore country report outlines some of the noteworthy giving trends and vehicles in Singapore. In particular, this study shows that there has been an increase in individual digital giving since the beginning of the COVID-19 pandemic. While in-person donation and volunteering is still the primary way people give, there were significant increases in both online volunteering sign-ups and online donations. Giving behaviors of individuals have also shifted, with an increase in long-term, consistent donations, as well as increased willingness to support informal groups. However, accessibility and information gaps still present obstacles for both potential individual and corporate donors.

Corporate donors have also increased their willingness to donate, with over two-thirds giving in some form in 2020. However, businesses have also faced obstacles in light of the pandemic. For example, two of the most cited reasons for reconsidering donations or volunteering in 2021 were the result of fewer employees and resource constraints.

View full Singapore country report

Individual donation and volunteering rates have dropped

Overall, there has been a downward trend in both donation and volunteering rates in Singapore in recent years, which was exacerbated by the COVID-19 pandemic. Since the beginning of the pandemic, key reasons former donors and volunteers struggled to engage in philanthropy were lack of financial stability for donors and strict safe distancing measures for volunteers. However, while the median amount of time volunteered has decreased by roughly 50 percent, the median donation has actually doubled, from SGD 100 to SGD 200 (equivalent to USD 71 and USD 142 respectively in 2020, adjusted for inflation).

In contrast, businesses saw an increase both in donations and in volunteering

In Singapore, there was a 15 percent increase between 2017 and 2020 in businesses that reported participating in philanthropy in the past 12 months. During the pandemic, businesses that managed to improve their financial situation due to increased demand under those conditions also were significantly more likely to have given more in the past 12 months. This has allowed businesses a chance to reconsider their role and purpose in society as well.

Individuals and businesses are expanding their ways of giving

Charitable giving has grown past simply donating in cash, and the COVID-19 pandemic has pushed individual and business donors alike in Singapore to look at alternative methods for their donations. Looking at individuals specifically, more than 70 percent of individuals donated in-kind, and more than a third bought goods and services from philanthropic organizations. It is possible that the reasons for the decrease in donations and volunteering may have also contributed to increased adoption of alternative methods of charity. Respondents to the survey indicated that they intend to continue using these methods of giving in the future as well.

There has been an acceleration of digital giving by individuals in Singapore due to the COVID-19 pandemic

While in-person donations and volunteering sign-ups remained the dominant modes of engagement, there was a significant increase of 29 percentage points for online volunteering sign-ups and 37 percentage points for participation in online donations in the past 12 months prior to April-September, 2021. This is especially more salient among younger individuals aged below 50, who are comparatively more likely to utilize online giving websites and social media platforms to engage in philanthropy.

Structural shifts in individual giving behaviors, including increase in committed and consistent donations, have been witnessed in Singapore

Not only has the median donation for individuals increased in past years, but also the frequency of donations has increased. There has been a significant drop in the number of occasional donors. Meanwhile, 5 percent of donors indicated they plan to donate weekly, which is more than double the amount from 2018. Similarly, the share of monthly donors grew 20 percent in the same period, reaching almost a third of all individual donors.

There has also been a change in individual giving and volunteering preferences in Singapore. Overall, individual charitable giving to only informal groups has seen an increase of 11 percentage points from 2018. The percentage of individuals who volunteered informally (i.e. not through a registered charity, or through informal community groups or ground-up initiatives) also went up by 11 percentage points in 2021.

Implications for Philanthropy in Singapore

Individuals and businesses supported welfare and social services more during the pandemic, while there has been a sharp decline in support for other causes, such as arts and heritage, and environment. Additionally, the ways of philanthropy are changing, such as an increase in digital giving by individuals and more individual and corporate donors donating in-kind. Philanthropic acts are also being incorporated into everyday life, moving away from the perception of philanthropy solely being a resource transfer. These shifts will require philanthropic organizations to adapt to better serve their potential donors and offer them different ways of engagement.

However, it is possible that some trends observed during the COVID-19 pandemic will reverse as the pandemic subsides, and these adjustments must also be made by organizations. Other trends, like online giving, present new challenges. There has already been a spike in online scams using fake donation appeals, which means both donors and philanthropic organizations must be aware of how to implement and use these new vehicles of giving while enhancing transparency and public trust towards the sector.