Responding to Ukraine: Philanthropy during a crisis

With the fast-moving situation in Ukraine bringing devastation for its residents and forcing an estimated three million people to flee their homes¹, the scale of their suffering is unimaginable to many of us. From both a funding and a human perspective, it raises the question of how best to support those in desperate need.

The main difference between ad hoc responsive charitable giving, and philanthropy, is that the latter also aims to eliminate social and environmental problems. As such, the work of philanthropy is more complex. Understanding these factors and their root causes takes time, as does identifying partners who can work with you to solve them over years or even decades.

However, in a crisis such as we are seeing with Ukraine, funding is needed immediately. We are compelled to – and indeed should – collectively act now to protect the vulnerable in an environment in which there is an overwhelming amount of emotion and information.

So, what does good giving during a crisis look like? How do we balance thoughtful donations with the need for urgency? Here are a few practical considerations on what to do and how to think about philanthropy during a crisis.

Immediate needs: prioritise effective giving

In the midst of crisis, charities that already have experience with, and connection to, affected communities are best-equipped to provide support. These organisations understand the needs of such communities and have existing infrastructure that allows them to mobilise action quickly. Flexibility and proximity are key. When seeking to provide immediate help, it is important to ensure that you work with reputable, vetted organisations that have a dedicated response effort in Ukraine. We encourage the prioritisation of local organisations, and those that have strong links to the ground and culturally appropriate solutions.

Although it is often tempting to look for ways to donate items such as clothing, these items are often not what is needed most. Even when they are, it can take weeks, or even months, to transfer and distribute these donations. When time is of the essence, financial donations can arrive within minutes, which enables charities to adapt quickly to changing needs on the ground. Sending money – particularly with the benefit of Gift Aid (in the UK) and any matching schemes available – is the most efficient and effective way to distribute aid.

Remember also that different populations have different needs. Children impacted by disaster or on the move are particularly vulnerable and in need of safeguarding. Tragically, Black, Asian, Minority and Ethnic communities have reported racism and violence as they have sought refuge in neighbouring countries. So seek out organisations that are working with the most vulnerable and affected populations directly.

Medium term: recognise that needs will shift

As the picture evolves, people require different types of support. We encourage philanthropists to stay engaged and seek to understand the multifaceted ways that communities may be affected, not just in the short term but as the crisis develops and even after the worst appears over. Let’s not forget the sobering example of Afghanistan, where today, six months after the dramatic fall of the government to the Taliban, more than 24 million people (over half of whom are children) are facing a humanitarian crisis and acute malnourishment².

In the case of Ukraine, as refugees travel and begin to settle overseas, their challenges will change. They are likely to be traumatised, in a country that they do not know, and without family around them. There may be language challenges, issues with discrimination, safeguarding of children, as well as difficulties adjusting to new schools and new cultures, finding work, and generally integrating. These issues may well be exacerbated by the rising cost of living in the UK and the economic ripple effects of the war and its associated impacts on food and energy security.

It can be overwhelming working out how to respond in isolation. Try to align yourself with a community of experienced donors and local organisations working directly with beneficiaries on the issues that you are keen to support. By coming together, you are better able to anticipate needs (and gaps in support), and can benefit from sharing resources and intelligence. Collaborating in this way is also more likely to be rewarding and engaging, providing support for you personally as you continue on this journey.

Longer term: learning lessons

“Darkness cannot drive out darkness; only light can do that. Hate cannot drive our hate; only love can do that” Martin Luther King.

One of the most important roles that philanthropy can play in society is to shine a light on lessons learned and how we might reduce the likelihood of a similar tragedy happening again. Beyond the immediate human tragedy, wars also threaten democracy and the strength of civil society and are always linked to broader issues. Strategic philanthropists recognise this and will seek to build the institutions that contribute towards peace, freedom, human rights and equality.

Philanthropy can contribute to this space by funding the building and collation of evidence, and convening organisations and individuals to share insights across sectors. It can communicate these findings to appropriate audiences in a manner that helps hold people and organisations to account whilst also offering more constructive alternatives for the future. Philanthropists can use their voice, as well as their time and money to advocate for change and to demonstrate practical agency.

Staying well informed is key

It’s clear that there will be immediate, as well as medium and long-term ways for philanthropists to support those affected by this crisis. With the situation in Ukraine constantly evolving, staying informed will be vital.

Try to stay close to the local organisations who speak directly with affected communities and continue to talk to other donors and experienced advisers. Think carefully about the sources of your information. By regularly reassessing the political and the humanitarian landscape, you are best placed to partner with the organisations that are doing the most good.

Related articles

Philanthropy

This communication is general in nature and provided for information/educational purposes only. It does not take into account any specific investment objectives, the financial situation or particular needs of any particular person. It not intended for distribution, publication, or use in any jurisdiction where such distribution, publication, or use would be unlawful, nor is it aimed at any person or entity to whom it would be unlawful for them to access.

This communication has been prepared by Barclays Private Bank (Barclays) and references to Barclays includes any entity within the Barclays group of companies.

The communication is:

1. not research nor a product of the Barclays Research department. Any views expressed in these materials may differ from those of the Barclays Research department. All opinions and estimates are given as of the date of the materials and are subject to change. Barclays is not obliged to inform recipients of these materials of any change to such opinions or estimates;
2. not an offer, an invitation or a recommendation to enter into any product or service and do not constitute a solicitation to buy or sell securities, investment advice or a personal recommendation;
3. is confidential and no part may be reproduced, distributed or transmitted without the prior written permission of Barclays; and
4. has not been reviewed or approved by any regulatory authority.

Any past or simulated past performance including back-testing, modelling or scenario analysis, or future projections contained in this communication is no indication as to future performance. No representation is made as to the accuracy of the assumptions made in this communication, or completeness of, any modelling, scenario analysis or back-testing. The value of any investment may also fluctuate as a result of market changes.

Where information in this communication has been obtained from third party sources, we believe those sources to be reliable but we do not guarantee the information’s accuracy and you should note that it may be incomplete or condensed.

Neither Barclays nor any of its directors, officers, employees, representatives or agents, accepts any liability whatsoever for any direct, indirect or consequential losses (in contract, tort or otherwise) arising from the use of this communication or its contents or reliance on the information contained herein, except to the extent this would be prohibited by law or regulation.

Barclays offers private and overseas banking, credit and investment solutions to its clients through Barclays Bank PLC and its subsidiary companies. Barclays Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (Financial Services Register No.122702) and is a member of the London Stock Exchange and NEX. Registered in England. Registered No. 1026167. Registered Office: 1 Churchill Place, London E14 5HP.

Barclays Bank Ireland PLC, trading as Barclays Private Bank, is regulated by the Central Bank of Ireland. Registered in Ireland. Registered Office: One Molesworth Street, Dublin 2, Ireland, D02 RF29. Registered Number: 396330. VAT Number: IE4524196D. Calls are recorded in line with our legal and regulatory obligations, and for quality and monitoring purposes.

Barclays Bank PLC Monaco operates through a branch which is duly authorised and falls under the dual supervision of the Monegasque regulator ‘Commission de Contrôle des Activités Financières’ (with regards to investment services) and the French regulator ‘Autorité de Contrôle Prudentiel et de Résolution’ (in respect of banking & credit services and prudential supervision).

The registered office of Barclays Bank PLC Monaco branch is located at 31 avenue de La Costa, MC 98000 Monaco – Tel. + 377 93 15 35 35. Barclays Bank PLC Monaco branch is also registered with the Monaco Trade and Industry Register under No. 68 S 01191. VAT No. FR 40 00002674 9.

Barclays Private Asset Management (Monaco) SAM, a limited liability company (Société Anonyme Monégasque) operating under Monegasque Law, with a share capital of €1,005,000, having its registered office in Monaco at 31 avenue de la Costa, B.P. 4 – MC 98001 Monaco Cedex. - Tél. : +377 93 10 51 51, registered in the Monaco Trade and Industry Register under No. 94 S 03039 – with S.S.E.E. N° 671C06692, with VAT number: FR 00 00003617 7 regulated by the Monegasque Regulator “Commission de Contrôle des Activités Financières”.

Barclays Bank (Suisse) SA is a Bank registered in Switzerland and regulated and supervised by FINMA. Registered No. CH-660.0.118.986-6. Registered Office: Chemin de Grange-Canal 18-20, P.O. Box 3941, 1211 Geneva 3, Switzerland. Registered branch: Beethovenstrasse 19, P.O. Box, 8027 Zurich. Registered VAT No. CHE-106.002.386. Barclays Bank (Suisse) SA is a subsidiary of Barclays Bank PLC registered in England, authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. It is registered under No. 1026167 and its registered office is 1 Churchill Place, London E14 5HP.

Barclays Bank PLC (DIFC Branch) (Registered No. 0060) is regulated by the Dubai Financial Services Authority. Barclays Bank PLC (DIFC Branch) may only undertake the financial services activities that fall within the scope of its existing DFSA licence. Principal place of business: Private Bank, Dubai International Financial Centre, The Gate Village Building No. 10, Level 6, PO Box 506674, Dubai, UAE. This information has been distributed by Barclays Bank PLC (DIFC Branch). Certain products and services are only available to Professional Clients as defined by the DFSA.

Barclays Bank PLC Singapore Branch is a licenced bank in Singapore and is regulated by the Monetary Authority of Singapore. Registered in Singapore. Registered No. S73FC2302A. Registered Office: 10 Marina Boulevard, #25-01, Marina Bay Financial Centre Tower 2, Singapore 018983.

Barclays Bank Plc (Incorporated in England and Wales) (Reg. No: K2018/599243/10) is an authorised financial services provider under the Financial Advisory and Intermediary Services Act (FSP 50570) in South Africa and a licensed representative office of a foreign bank under the Banks Act, 1990. Barclays Bank PLC, has its principal place of business in South Africa, at Level 5, Building 3, 11 Alice Lane, Sandton.

Barclays Bank PLC. Registered in England. Registered No: 1026167. Registered Office: 1 Churchill Place, London, E14 5HP. Registered Office in India: 801/808 Ceejay House, Shivsagar Estate, Dr Annie Besant Road, Worli Mumbai 400 018. Barclays Bank PLC is a member of Banking Codes and Standards Board of India.