Ronnie Chan (HKSAR) & Nirvana Chaudhary (Nepal)
Title
Ronnie Chan & Nirvana Chaudhary
Organization
CAPS' Co-Founder & Chair, and Honorary Chair of Hang Lung Properties; Managing Director of CG Corp Global and member of CAPS' Advisory Board
Country
HKSAR & Nepal

Published date: 20 September 2024

At the launch event for the Doing Good Index 2024, CAPS’ Co-Founder and Chief Executive, Dr. Ruth Shapiro, hosted a fireside chat with Mr. Ronnie Chan, Co-Founder and Chair of CAPS and Honorary Chair of Hang Lung Properties, and Mr. Nirvana Chaudhary, Managing Director of CG Corp Global and member of CAPS’ Advisory Board. They discussed donors’ perspectives on philanthropic giving in Asia and how collaborative efforts can supercharge efforts to address social challenges. 

Ruth: Good afternoon, both, and thank you for joining me for our launch event. I wanted to start with a very broad question: What do you think the role of philanthropy is? 

Nirvana: As a member of a corporate family, philanthropy is a vision set by a founder or leading family member who sets out to make a difference in some area within a given economy.  

Philanthropy goes beyond just charity. A charitable dollar has one life, but a philanthropic dollar has multiple lives. That is exactly how corporate philanthropy functions. Corporate philanthropists set out to eradicate a social problem. They leverage their corporate infrastructure, network and resources and address challenges by applying private sector resources and a business-oriented mindset towards philanthropic ends. They measure returns not in terms of profit but the impact they create. 

Ronnie: This question has many layers. In terms of individual motivation, philanthropy is a means of gaining joy and satisfaction, driven by the knowledge that one has done well for society. However, philanthropy alone cannot solve the world’s problems. So, how do you leverage the dollars that you do have? It works best if you leverage your dollar to do the work of two or three dollars.  

A famous Hong Kong philanthropist used her philanthropic dollars to vaccinate people in the poorest province in China, which then prompted the government to vaccinate the whole country. That’s the ripple effect that philanthropy can have–one philanthropist working in one poor province was so successful that she shaped government policy. So, I think that ingenuity and creativity can really abound in this space, and the world has yet to scratch the surface of what philanthropy can offer. We are potentially entering a “golden era” of philanthropy in the sense that we may see a lot of ingenuity. This is particularly true of Asia because philanthropy is still a growing sector here, unlike in Europe or the US. 

Ruth: Nirvana, can you share with us an example from either the Chaudhary Foundation or Nepal, more generally, where philanthropy demonstrated the viability of an initiative and the government picked it up? 

Nirvana:  In 2015, Nepal experienced a devastating earthquake. Approximately 10,000 people died, and 700,000 homes were either damaged or destroyed. Given the sheer complexity and scale of what the government needed to accomplish in terms of relief efforts—complicated by bureaucratic hurdles, policies, and emergency disaster protocol—crisis response was inevitably delayed. That’s where the private sector’s speed and efficiency came in. 

The private sector has the unique ability to rapidly mobilize infrastructure and resources to respond to a crisis of this nature. Our company made full use of the resources at our disposal. We opened up 15 of our schools as relief centers, and we used the healthcare branches under the Chaudhary Group to provide relief materials to those affected by the earthquake. Because we had two thousand staff on the ground involved in relief efforts, we knew exactly which families were most affected by the earthquake. The government and various multilateral agencies used our data to determine which homes urgently needed assistance. 

Given that so many homes were damaged, we aimed to construct a new home or transition shelter and allocate it to a family in just 15 days. Over the course of a year, we built 5,500 homes,  55 schools, 22 digital classrooms, and 20 clean-water drinking systems. We also rebuilt an entire village with 180,000 homes and a community center and trained 7,000 people. 

In comparison, it took the government one year to organize the necessary resources. The government has bureaucratic processes, which can slow relief efforts, especially in developing countries like Nepal. However, the private sector can intervene to a positive end in its limited capacity. There’s no end to how much you can do. Through all this, we continuously partnered with local governments and NGOs with the knowledge and experience necessary for a venture of this scale. 

Ruth: Ronnie, much of your family philanthropy is not through Hang Lung but your family’s Morningside Foundation. Nirvana, in your case, your family philanthropy is mostly routed through the Chaudhary Foundation, which is one and the same as the Chaudhary Group. I want to talk about how this plays out because personal and corporate philanthropy are often delinked in the West, whereas in Asia, they tend to be more closely connected. What are your views on this? What are the upsides or the downsides of linking, or not linking, personal philanthropy with corporate philanthropy? 

Ronnie: Well, in the West, most large companies are already public entities, so a family’s intervention is by default limited, at least in terms of equity ownership. However, in much of this part of the world, many companies are directly linked to a particular family. As a result, the two entities tend to blend together, the extent of which depends on the level of corporate governance. If the standard of corporate governance is high, then there will be no misuse of funding.  

Ruth: My observation has been that when people invest in companies in Asia, they also invest in the families that own them. The investors often know the dominant shareholder very well and decide to invest because they believe the family will continue to make money. So, there is a little bit more latitude for Asian companies to take a more expansive view of family philanthropy and really build up the societies and the communities in which that family lives and the company operates. What do you think, Nirvana? 

Nirvana: We consider ourselves a small, 100% family-owned company. But our strategy has always been very clear and emerges in three distinct strands. The first is that the Chaudhary Group has a family-led constitution. As a family, we decided on the areas where we feel we can make the most difference in our homeland, Nepal. For instance, in the health sector, we prioritize funding maternal and child health initiatives and focus on improving child nutrition, with a special focus on stunting. Second, as the Chaudhary Group, we focus on four or five areas. We’re able to leverage our networks and infrastructure to generate a bigger impact.  

Third, I run my foundation in a personal capacity. As part of my personal philanthropy, I support orphanages and animal shelters and fund many scholarships. These priorities may not necessarily fit in with my family’s—or the company’s—philanthropic objectives and goals. The role requires me to wear different hats depending on whether I represent myself, my family, or the Chaudhary Group.  

Ruth: In the Doing Good Index, three out of the four sets of major indicators pertain mainly to government policies:  regulations, tax and fiscal policies, and procurement policies. Government looms large in Asia. Nirvana, you said you regularly work with the government on your projects. How? And what do you think the role of government should be in helping private individuals, families and companies?  

Nirvana: In the context of Nepal, the role of the government is to create the right policies. We rely on the government to create an enabling environment so that we can get the regulatory approvals we need and launch certain social initiatives on time.  

For example, our foundation engages in a lot of new development projects in sports and education, and we were lobbying the government to improve the enabling environment around these areas. When the budget for this year was announced, the government declared that sports sponsorships would be considered CSR. No more than a week later, we saw companies start saying, “What more can we do to strengthen sports infrastructure and strengthen cricket academies and football leagues?” That one policy has already started changing the narrative of youth development through sports.  

Ruth: I’ve said before that policies and regulations are like cholesterol: good regulations are good cholesterol, and they allow the system to flow. Bad cholesterol, like bad regulations, gums things up. You can’t just not have any regulations, but you need the right scale and type of regulations to spur good behavior and allow both innovation and organizations to flourish. 

Both of you have worked with and supported a variety of nonprofit organizations, and also participated in collaborative efforts to bring various actors together to make a larger impact. What are some of the things you have learned about working collaboratively? 

Nirvana: I’m currently undertaking a massive task of creating a group of 25-30 different organizations to take part in the Third Pole summit. Nepal is a custodian of the trans-Himalayan region, which consists of nine economies and 1.9 billion people. This region is heavily impacted by global warming, and we need to address this quickly for the future of our people. 

I’m leading this initiative, but I am getting government stakeholders, the World Economic Forum, and the Gates Foundation involved. There are several organizations that have expertise and are already doing a lot of things in this space but have not come together collectively. If they collaborated, the impact they generated could be much bigger because right now they are working in isolation.  

Ruth: What goes in to attracting collaborative partners such as these? 

Nirvana: If you want to create an impact as a philanthropist, you need to have a clear vision and a clear heart. Why would partners collaborate with us? Because we have a proven track record. If they see you have a track record, if they see you have the right strengths, the right competency, the right people, and the right ideas, they will want to work with you. The same thing applies to how the development sector thinks. Organizations want to multiply that dollar investment they’ve got, which normally they would not have expected much return on. 

Ruth: Ronnie, you have worked with many philanthropic efforts in which there are multiple funders. Are there certain “rules” for effective collaboration? 

Ronnie: When thinking about pooling resources for the common good, it’s about more than just money. 30 years ago, my family provided financial assistance to a community organization in desperate need. But when I look back, my biggest contribution to that organization was not the funding, but rather, I introduced them to a friend of mine who was the Executive Director of one of the biggest real estate companies in Hong Kong at the time. He eventually became the chair of their board. My point is that there are many ways to contribute. Networks and expertise are very, very important. 

Ruth: Nirvana, do you have any final thoughts about the evolution of philanthropy in your lifetime? How do you see the perceptions of the sector changing? 

Nirvana: I’m seeing a massive change. Because of greater access to information, the younger generation is far more aware of the problems around the world and in their environment.  

Ruth: I agree. Thirty years ago, there was the nonprofit philanthropic side, the for-profit investment side, and nothing in the middle. Now, there’s a lot in the middle, with different kinds of financial tools being brought to bear, and that creates a lot of opportunity and innovation. Ronnie, what do you think? 

Ronnie: This is a sector that is very, very young. This sector has more innovation and creativity yet to be seen. Intellectual capital, when married with financial capital, can do tremendous good. The message that I want to convey is simple. Perhaps philanthropy is not a sector that will solve the world’s problems, but it will make life a lot more beautiful for the givers and the receivers. 

Evolving Corporate Social Responsibility Trends in Taiwan

Centre for Asian Philanthropy and Society, in collaboration with CommonWealth Magazine

Taiwan boasts a sophisticated market economy, distinguished by a thriving technology sector, strong connections to international markets, and a lively landscape of small and medium-sized enterprises (SMEs). This environment has created a dynamic foundation for the development of corporate social responsibility (CSR) practices. Understanding the trends and practices in Taiwan’s CSR efforts offers valuable insights for stakeholders across the region.

This report, developed in collaboration with Taiwan’s leading media outlet, CommonWealth Magazine, investigates CSR trends and practices in Taiwan, with a focus on companies recognized by the prestigious Sustainable Citizenship Award from 2007 to 2023. Drawing on 17 years of longitudinal data, the report reveals how Taiwanese companies are embedding CSR into their business strategies, consistently exceeding regulatory requirements, prioritizing environmental sustainability, and contributing to broader global sustainability goals.

Taiwan’s ability to integrate CSR into its economic framework offers valuable lessons for other Asian economies striving for sustainable development. As Taiwan’s CSR landscape continues to evolve, it is poised to drive innovations and practices. Its forward-thinking approach and successful policies offer a blueprint for balancing economic growth with environmental and social stewardship, providing a model for sustainable development across the region.

台灣擁有發達的市場經濟和穩健的全球貿易連結,科技產業蓬勃發展,而當地的中小型企業(SMEs)亦充滿活力。這種環境為企業社會責任(CSR)實踐的發展奠定了基礎。瞭解台灣企業社會責任工作的趨勢和實踐,可以為整個亞洲地區的利益相關者提供寶貴的見解。

本報告與台灣《天下雜誌》合作開展,基於2007 年至 2023 年間獲得「天下永續公民獎」的企業樣本數據,深入分析了台灣CSR的發展趨勢與特徵。通過對過往 17 年間的縱向資料進行質性和量化分析,報告揭示了台灣企業逐步將CSR融入其經營戰略,在實踐上超越法規要求、聚焦環境因素,並為更廣泛的全球永續發展目標做出貢獻。

台灣將CSR融入經濟和業務發展的策略,為其他致力於永續發展的亞洲經濟體提供了寶貴的經驗。隨著台灣CSR的持續演進,台灣也在不斷推動新的創新與實踐。這種具有前瞻性的思維模式與政策框架,成爲了當地平衡經濟成長與社會環境治理的藍圖,也為整個區域的永續發展提供了範本。

Doing Good Index 2024: India’s social sector needs more support from government, corporates

ET Government

The Centre for Asian Philanthropy and Society (CAPS), GuideStar India and the Centre for Advancement of Philanthropy (CAP) collaborated to present India’s performance on the Doing Good Index 2024 report. The biennial study highlights the policies and incentives that can maximize philanthropic giving and foster a thriving and effective social sector. In 2024, India maintained its position in the “Doing Okay” cluster, unchanged since 2018, revealing areas of strength as well as opportunities for India to further nurture its social sector.

Read the full article here.

Social procurement in Asia is an underutilized tool for good

World Economic Forum

Most Asian economies face two key challenges: expanding welfare services amidst tightening budgetary conditions and stimulating economic growth that generates youth employment. These twin challenges require innovative solutions and have elevated the importance of social delivery organizations (SDOs — nonprofits and social enterprises) across the continent.

Government procurement from the social sector is one solution that can create win-win solutions for all involved in trying to stimulate growth and provide social services. Research by the Centre for Asian Philanthropy and Society (CAPS) into the state of play in social procurement across 17 Asian economies has uncovered the key policy measures delivering success.

Read the full article here.

Cambodia Maintains ‘Doing OK’ in Global Good Index

Kiripost

While Cambodia has kept its status in the biannual Good Index, which rank countries based on their contributions to humanity, strong dependency on foreign aid is needed for sustainable social development.

Despite maintaining a “doing okay” status in the Good Index 2024, Cambodia’s social sector continues to face challenges due to heavy reliance on foreign funding and a lack of local support, with experts calling for increased domestic funding and a more enabling regulatory framework to foster sustainable social development.

Read the full article here.

‘Doing okay’

DAWN

PERSISTENTLY high inflation in Pakistan is eroding the purchasing power of the poorest, limiting access to basic facilities. The World Bank estimates that poverty will remain around 40 per cent, with 10 million people at risk of falling below the poverty line due to potential economic shocks. Despite this, social protection programmes receive minimal attention, with Pakistan allocating less than one per cent of GDP to social assistance, thus offering little relief to the poor.

With the government’s limited fiscal space and competing priorities, it is clear that investment in social sectors is likely to remain low. Therefore, the government must focus on creating a conducive environment for social delivery organisations (SDOs) to step in and address these gaps.

The Doing Good Index of the Centre for Asian Philanthropy and Society examines the regulatory and societal environment in which private capital is directed towards philanthropy. It ranks countries in four categories based on its findings: ‘doing well’, ‘doing better’, ‘doing okay’, and ‘not doing enough’ (from best to worst). According to the DGI 2024 report, which surveyed 122 SDOs in Pakistan through the SDPI, the country is classified as ‘doing okay’, indicating an unfavourable regulatory environment. This classification represents a decline from its ‘doing better’ status in 2020.

Read the full article here.

Click to Give

Daily News

*Digital fundraising is gaining momentum in Sri Lanka.

*The Doing Good Index 2024 reveals the level of digital technology adoption in Sri Lanka and 17 other Asian economies, among other indicators of philanthropic activities.

*Enhancing cybersecurity awareness, digital capacity development, and improving existing digital infrastructure are key to promoting digital fundraising in the country.

Read the full article here.

 

Asia’s rich flip the script on charitable giving: Instead of mega-foundations, they’re using their family companies

Fortune

Asia has its fair share of high-net-worth individuals—think Indian mega-mogul Mukesh Ambani, whose family just threw a wedding reportedly worth $600 million—yet the region’s wealthiest tend not to rely on mega-foundations for their charity work.

Instead, the company takes the lead in Asia. “There’s very little distinction between personal philanthropy and corporate philanthropy” in Asia, says Ruth Shapiro, co-founder of the Centre for Asian Philanthropy and Society (CAPS), a Hong Kong-based think tank. “There are no Ford, Gates, Rockefeller foundations here.” Corporate giving comes with its own set of perks: on-the-ground experience, existing distribution systems, and personal connections. “Companies want to fund where they’re operating,” Shapiro explains. “Why send it through another organization,” when companies can just do it themselves.

Read the full article here.

Early education helps shape future

Bangkok Post

In a study conducted by the Centre for Asian Philanthropy and Society to better understand the early childhood education landscape in Thailand, we found that in Thailand 85% of children aged 3-6 attend some sort of educational programme with a range of approaches designed to meet the diverse needs of its young learners. These programmes are primarily grassroots efforts and community-led solutions which allow even the most marginalised children, from urban slums to construction sites in the north, to receive enriching early educational experiences. Many of these holistic educational programmes incorporate reading, special education and environmental learning, showcasing a successful melding of diverse educational components.

Read the full article here.

Asian social sector faces technological challenges

Bangkok Post

Despite the rapid digitisation of the Asian social sector, social delivery organisations (SDOs) are struggling to keep up with technological changes because of inadequate access to digital infrastructure, lack of capacity and insufficient donor support, according to the Doing Good Index 2024. As technology continues to advance, a new type of digital divide is emerging that hampers the ability of the social sector to deliver products and services to the most vulnerable communities, said the Centre for Asian Philanthropy and Society (CAPS), which created the index.

Read the full article here.