IKEA Foundation CEO on the challenges of predicting Ukraine aid needs

As the war and humanitarian situation in Ukraine evolve, IKEA Foundation CEO Per Heggenes says his organization, which has previously provided aid for displaced populations around the world, is planning on “staying close” to the UN Refugee Agency. The foundation recently pledged €20 million ($22 million) to help UNHCR provide aid to displaced Ukrainians. Given the possibility that the crisis in Ukraine could become a “protracted situation” — with the Russian military continuing its attacks on the country — the IKEA Foundation is prepared to provide further assistance to the United Nations agency, Heggenes said. “There are so many things that are practical and relevant for a family that comes out of Ukraine with a backpack and nothing else.” --— Per Heggenes, CEO, IKEA Foundation “This is an evolving situation where we wouldn’t know what this looks like in a month or two months, three months, or in a year,” he told Devex. “Therefore, we have to be flexible and work with the partners that we know well and that we know can deal with making the right decisions locally.” Ingka Group — a large retailer operating IKEA stores — also announced it would provide its own €10 million donation, aimed at supporting Ukrainian children and families. The IKEA Foundation is funded by INGKA Foundation, the owner of Ingka Group. Inter IKEA Group, a separate company that owns the IKEA brand, also will provide a donation of €10 million, according to a press statement. Heggenes said the IKEA Foundation has been working with UNHCR for more than a decade in multiple humanitarian crises to help displaced people, adding that he trusted the agency to determine how to most efficiently use the foundation’s donation. Since the Russian invasion began this year, the foundation and the companies behind the IKEA brand have committed a total of €40 million in humanitarian assistance to Ukrainians. Heggenes said the corporate donations will largely consist of IKEA goods that can be used by those fleeing Ukraine as they try to settle into neighboring countries as best they can. “There are so many things that are practical and relevant for a family that comes out of Ukraine with a backpack and nothing else. They will need all kinds of equipment to establish a temporary household, if that’s what they are able to do,” he said. Ingka Group has also temporarily closed its IKEA stores in Russia, and Inter IKEA Group has suspended all imports and exports in and out of Russia and its ally Belarus. Filippo Grandi, the U.N. high commissioner for refugees, has applauded the IKEA Foundation for “leading the way for the private sector” with its emergency donation to support displaced Ukrainians. Other foundations and corporations have stepped in to provide help as well. The Open Society Foundations on Thursday announced a $25 million commitment to launch a fund to support civil society groups in Ukraine. Amazon has pledged to donate up to $10 million for humanitarian groups working on the ground in Ukraine. Airbnb, which is also suspending operations in Russia and Belarus, is offering free, temporary housing for up to 100,000 people fleeing Ukraine. Bloomberg Philanthropies, for its part, is donating $30 million to the International Rescue Committee and $10 million to World Central Kitchen, which is serving meals to people within Ukraine and just across its borders. Heggenes said foundations, and the private sector at large, are generally at an advantage over donor countries in being able to swiftly offer aid during a humanitarian crisis such as Russia’s invasion of Ukraine. “As a foundation, we have the ability to provide funds instantly because we have an agreement with our board that we can do this kind of emergency support very quickly,” he said. “As a philanthropy working in crisis support, we can do that very quickly. That’s our benefit.”