Inside Segal Family Foundation’s trust-based giving strategy in Africa

At a time when many local organizations are facing uncertainty due to major aid cuts and shifts in global development priorities, Segal Family Foundation has kept its focus steady: flexible, long-term support to locally-rooted organizations across sub-Saharan Africa. The foundation is best known for championing proximate leadership and trust-based philanthropy — approaches that prioritize local context, flexible funding, and shared ownership. In a recent Pro Funding live conversation hosted by Devex, Patricia Malila Pinheiro, director of programs at Segal Family Foundation, shared how the organization is responding to today’s funding environment — and how its approach to partnership-building and risk continues to evolve. Here are key takeaways from the session for executives and business development professionals: 1. Listening first, funding flexibly Segal’s model is built on the premise that local organizations — particularly those led by people with lived experience — are best placed to design solutions that work. As bilateral cuts ripple through public systems, Malila Pinhero reported that only a small portion of its grantees — less than 10% — have been directly affected by the most recent wave of aid cuts. That’s partly because many of the organizations it funds were never receiving large bilateral grants in the first place. But it is hearing concerns about ripple effects in communities, particularly in health and education. In response, Segal has worked to adjust disbursement schedules and, in some cases, increase funding commitments. It has also ramped up its coordination with other funders to address emerging gaps. The organization said it’s continuing to listen closely and lean into flexibility — one of the core tenets of its trust-based philosophy. 2. What trust-based giving looks like Segal’s grantmaking is almost entirely unrestricted and multiyear, with grants ranging from $20,000 to $75,000 per year. The organization’s maximum funding relationship lasts up to eight years, after which partners may transition into a peer alumni network known as the Luminary Circle. Throughout that period, grantees — referred to by Segal as “partners” — are encouraged to set their own spending priorities. Reporting requirements are designed to be low-burden, based on pre-agreed annual milestones. The foundation does not ask for itemized spending breakdowns, and falling short of a goal does not result in penalties. This structure allows partners to respond to fast-changing contexts while also investing in organizational resilience and long-term capacity. 3. How new partnerships begin Like many foundations, Segal doesn’t run open calls or accept unsolicited proposals. Instead, it relies on country-based teams, working in East, southern, and now francophone West Africa, to identify prospective partners through referral networks and ecosystem scouting. The program team is lean — just six officers supporting more than 350 partners — but draws on a wider network of local consultants and advisers to source, vet, and support organizations. The foundation also differentiates between partner types based on growth stage. Earlier-stage groups — including those still developing a theory of change or financial systems — may be supported for the full eight-year journey. More mature entrants are offered shorter engagements, typically two to five years. 4. Support extends beyond grants Segal’s support extends well beyond the financial. Its “active partnership” model includes consulting support, technical assistance, and learning resources — all provided at no cost to grantees. Peer learning and field visits are also built into the model. The foundation facilitates connections between partners working in similar sectors or contexts and offers stipends to cover the cost of learning exchanges. 5. Playing the connector to other funders Segal’s work increasingly extends beyond its own grantmaking. In recent years, it has formalized a donor engagement team to help other funders connect with proximate organizations. This includes Equitable Giving, an advisory service that offers due diligence sharing, philanthropic strategy support, and curated introductions to African-led groups. The foundation also convenes “donor salons,” which provide a safe space for philanthropic funders to exchange experiences, questions, and challenges. To reduce administrative hurdles for peers seeking to fund grassroots organizations, Segal has also created the Proximity Fund — a pass-through mechanism that channels capital from other donors to Segal-vetted organizations. The fund is offered without an administrative fee and is designed to address common barriers such as legal complexity or due diligence constraints. 6. What types of organizations are funded? Segal is sector-agnostic but broadly invests across health, education, and livelihoods. Its portfolio remains concentrated in East and southern Africa, with new work beginning this year in francophone West Africa. The foundation does not limit itself to nonprofit entities. It also supports social enterprises, depending on mission fit and structure. The priority is to fund organizations that are locally registered, locally led, and have leadership with direct ties to the communities they serve. A U.S.-registered entity with field operations in Africa is not necessarily ruled out — but Segal’s team will assess the balance of power and strategy ownership within the local team. Organizations that reach approximately $2 million in annual budget may be encouraged to transition out of the portfolio, as Segal’s funding is designed to be catalytic rather than sustaining for mature groups. For revenue-generating organizations that require capital, Segal’s separate impact investment arm offers debt financing and blended capital. Some grantees transition from the grant portfolio to the investment side, depending on maturity and capital needs. 7. What fundseekers should know Malila Pinhero emphasized that Segal’s process is not designed around unsolicited outreach. Instead, it recommends that interested organizations look through its current grantee list and try to build relationships through those channels. Visibility within the local ecosystem, relevant events, and social media presence can also help. Prospective partners can also attend office hours hosted by Segal staff as part of local events at the country level. Strong alignment with Segal’s values — particularly local ownership, context knowledge, and leadership representation — remains a critical factor. For those that do come into the portfolio, the foundation provides not just funding, but the long-term, flexible backing many early-stage organizations rarely receive. It’s an approach that has stayed consistent for nearly 20 years — even as the rest of the development finance landscape continues to shift. Want more briefings like this? Let us know — and stay tuned for upcoming live conversations here.