How 20 US foundations spent more than $8 billion on development

Months after the dismantling of the U.S. Agency for International Development, the U.S. government continues to make cuts to aid. The sector now fears that foundations might be targeted next, particularly the tax-exempt status of those working in areas that do not align with the administration. Some allegedly started moving their resources outside the U.S., while others have removed climate change, diversity, equity and inclusion, and other terms from their website to avoid getting on the radar of the Trump administration. Many are voicing their opposition and are urging others to a unified resistance. The stakes are high because foundations play a significant role in development, with their cumulative influence comparable to some of the world’s biggest bilateral donors. But just how much do U.S.-based foundations in particular contribute to development projects around the globe? Which sectors do they prioritize, and where do aid flows? We looked into the latest data from the Organisation for Economic Co-operation and Development to find the answers. Who are the biggest US foundations? Over 40 philanthropies submit their annual figures to the OECD. More than half of them are U.S.-based, of which 20 foundations have figures for 2022 — the latest final data for private development giving. In total, these 20 U.S.-based donors spent nearly $8.3 billion on development. The amount is likely lower than what they have on their annual reports since OECD only counts the grant equivalent of their total spending, meaning that non-grant disbursements, as well as those not spent in low- and middle-income countries, are excluded. Tech mogul Bill Gates’ Gates Foundation leads the pack, with $5.2 billion, or about 62% of the total private development funding flow tracked by OECD. When we look at the 2024 preliminary data for official development assistance, this would rank the Gates Foundation in 10th place among the largest bilateral donors. The Gates Foundation has been the largest philanthropy for decades, being a top donor to many sectors, chiefly health, and organizations, including several United Nations agencies. Open Society Foundations, founded by another billionaire philanthropist and known supporter of liberal democratic causes, George Soros, ranked next, with $414.1 million. Among the foundation’s priorities are supporting civil society organizations that advance good governance and transparent and fair elections, as well as those that promote human rights. The Bloomberg Family Foundation followed closely, with $401.9 million. Then the Ford Foundation, with $321.7 million, the Howard G. Buffett Foundation, with $246.4 million, and the Susan Thompson Buffett Foundation, with $245.6 million. Overall, although the Gates Foundation’s massive spending inflates the total private funding flow, the rest of the foundations still carry a considerable amount of influence. For one, unlike bilateral donors, these foundations do not really maintain any political relationships with the recipients, meaning that their focus is solely on impact. There is also less volatility to their giving, unlike their bilateral counterparts, which are highly influenced by changes in the political climate. How was the money spent geographically? More than half of the 20 foundations’ total spending in 2022, worth $4.1 billion, went to multicountry projects. Another $958.8 million went to regional projects. Among regions, sub-Saharan Africa was the biggest recipient of private development funding, worth $1.6 billion. Then South Asia, with $663.7 million, Latin America and the Caribbean, with $270.8 million, Europe and Central Asia, with $193.5 million, East Asia and the Pacific, with $185.9 million, and the Middle East and North Africa, with $44.3 million. Among countries, India was the largest aid recipient, with $370.8 million. More than 70% of this, worth $274.1 million, came from the Gates Foundation alone. Other top donors include the Michael and Susan Dell Foundation, the Bloomberg Family Foundation, and the MacArthur Foundation. Nigeria is another priority recipient, with $299.2 million of aid from the 20 U.S. philanthropies. Similar to India, most funding came from the Gates Foundation, worth $216.3 million. Ethiopia ranked next, with $218.8 million, of which 63.1% came from the Gates Foundation. Other lead recipients were Pakistan, with $201.9 million, Ukraine, with $176.7 million, Kenya, with $165.8 million, and South Africa, with $140.2 million. What areas were prioritized? The 20 U.S. philanthropies spent around $3.3 billion to support 18 priority areas in the health sector. Among these, infectious disease control got the largest share, worth $1.5 billion, or about 45% of the total health-related aid. Then basic health care, with $383.4 million, malaria control, with $375.7 million, and health policy and administrative management, with $266.9 million. Gates Foundation was the leading donor to health, with $2.8 billion, or 83% of the total. Then the Bloomberg Family Foundation, with $199.6 million, the Good Ventures Foundation, with $191.7 million, and the Conrad N. Hilton Foundation, with $58.5 million. Geographically, nearly 60% of the health-related funding, worth $1.9 billion, went to multicountry projects. Among countries, Pakistan was the top recipient, with $169 million. Then Nigeria, with $153.6 million, India, with $136.7 million, and Ethiopia, with $87.3 million. Another top sector is population policies and programs and reproductive health, receiving $953 million. There are four areas under this sector: family planning, which got $473.8 million, STD control, with $271.2 million, reproductive health care, with $204.5 million, and population policy and administrative management, with $3.5 million. More than 90% of the aid to the population policies and programs and reproductive health sector came from the Gates Foundation, which gave $624.6 million, and the Susan T. Buffett Foundation, which disbursed $245.6 million. Half of the funding to the population policies and programs and reproductive health sector went to multicountry projects, worth $487.9 million. Among countries, the primary beneficiaries were Ethiopia, with $56.6 million, Rwanda, with $52.9 million, and Kenya, with $45.2 million. Government and civil society also got significant funding, worth $853.9 million. Of this, $262.6 million went to projects in democratic participation and civil society, while $188.6 million went to organizations supporting women’s rights. The Ford Foundation was the largest donor to the government and civil society sector, giving $274.4 million, or nearly a third of the total, followed by the Open Society Foundations, with $274.2 million, and the Gates Foundation, with $164 million. Other priority sectors were agriculture, forestry, and fishing, with $595 million, general environment protection, with $301.3 million, energy, with $180.4 million, and education, with $172.1 million. Try out Devex Pro Funding today with a free five-day trial, and explore funding opportunities from over 850 sources in addition to our analysis and news content.