Index analyzes the ease of giving money to charity for nation with most Philanthropic freedom

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First Measurement of Countries Philanthropic Freedom

Hudson Institute’s Center for Global Prosperity (CGP) has just released Philanthropic Freedom: A Pilot Study, the first time ease of giving has been fully measured and compared across countries. The pilot study and each of the detailed country reports can be downloaded for free from www.Hudson.org/PhilanthropicFreedom.

The 13-country study fills a major gap in development policy and philanthropic research by surveying barriers and incentives to philanthropy in three main areas: the ease of registering and operating civil society organizations (CSOs); domestic tax policies for individual and corporate deductions, credits, and exemptions; and the ease of sending and receiving cash and in-kind goods across borders.

“Exploring new territory in philanthropy brings interesting new results which abound in this study,” explains Dr. Carol Adelman, Director of CGP. “Our pilot study shows a more positive picture for philanthropy in emerging economies than was expected.”

India, South Africa, and Mexico have regulations and tax incentives conducive to philanthropy, yet the laws on the books are met with bureaucratic obstacles. While Brazil and Egypt have similar domestic tax incentives, barriers to CSO operations and cross-border flows are significantly greater in Egypt. Egypt is joined by Russia and China with the most restrictions on philanthropic activity due to each government’s interference in civil society activities, cross-border flows, and few tax incentives.

This study shows how to measure philanthropic freedom and how to improve it. Providing the roadmap for governments to improve the climate for giving is timely. These new policies are important to strengthening democratic governance as well. “We hope,” says Adelman, “the best practices of countries with strong civil societies, through their traditions and public policies, can provide the roadmap to grow philanthropy and generosity across the globe.”

The report will be officially launched at an event on Thursday, May 16, 2013 from 12:00 p.m. to 1:30 p.m. at Hudson Institute in Washington, DC.