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Wealth with Purpose—a report on Private Indian Philanthropy

Writer's pictureAmitabh Jaipuria

Driving transformative change in India through collective giving

Updated: 3 hours ago

In this era of interconnectedness and shared responsibility, collective philanthropy can be a powerful catalyst, offering a unifying platform for like-minded philanthropists to drive innovative solutions and amplified impact. Beyond traditional models of charity, it represents a dynamic approach that leverages the collective resources, expertise, and passions of individuals, organizations, and communities to solve pressing developmental challenges. The multifaceted dimensions of collective philanthropy include not only a means to expand the circle of influence but also a model for adopting democratic decision-making, transparency, and accountability as the cornerstones for setting strategy and implementation.


Collective philanthropy making an indelible impact in higher education

Collective philanthropy has emerged as an effective model for establishing institutes of excellence in the Indian higher education sector, pioneered by the Indian School of Business (ISB) in the early 2000s. Propelled by funding from both corporates and affluent individuals, ISB is India’s only B-school to clinch a spot in the Financial Times (FT) Top 50 Global MBA Ranking for 2023.


This pioneering spirit is echoed in the founding stories of private universities like Ashoka, Krea, and Plaksha.


Spearheaded by Sanjeev Bikhchandani and Ashish Dhawan’s seed funding, Ashoka University has developed into an interdisciplinary academic powerhouse in a short decadal span supported by over 195 founders with a commitment of almost Rs 2,300 crore.


Krea University embarked on its journey in 2018 with an estimated Rs 750 crore investment in its inaugural phase. Plaksha University which opened its campus in 2021, now has a founders network of over 100+ reputed businessmen and entrepreneurs.


A common thread binds these institutions — visionary founder-philanthropists who sought to redefine India’s academic landscape. Inspired by their exposure to premier educational institutions overseas and the influence of quality education in shaping their successful journeys as entrepreneurs and changemakers, they recognised the transformative power they could collectively wield by injecting innovation into higher education.


Diversified domains of collective philanthropy

In 2019, Ratan Tata, Anand Mahindra, Rohini Nilekani, Nadir Godrej, Aditi and Rishad Premji, Vidya Shah, Hemendra Kothari, and other philanthropists came together to set up the India Climate Collaborative (ICC) for effective action towards a shared climate goal.


In 2020, a collective of venture capitalists, technopreneurs and social impact leaders formed the Action Covid Taskforce (ACT). As more joined the philanthropy platform, ACT channelled its momentum to address complex social problems at scale in other critical areas—education, healthcare, climate action and gender inclusivity.


Anchored by EdelGive Foundation along with a collection of reputed funders (including the Gates Foundation, Manan Trust, Rohini Nilekani Philanthropies, A.T.E Chandra Foundation), the GROW Fund is deploying a collective fund of Rs 100 crore to strengthen 100 high-impact grassroots organisations through capacity building, and support of key organisational functions.


Four philanthropies (The Convergence Foundation, ATE Chandra Foundation, Rohini Nilekani Philanthropies, and Damani Foundation) came together last year to set up a peer philanthropist network — AIP. Since then AIP’s founder network has expanded to over 20 individuals and foundations.


More recently, Kiran Mazumdar-Shaw, Rohini Nilekani, and Kris Gopalakrishnan jointly pledged ₹51 crore to Science Gallery Bengaluru—a PPP bringing together the Karnataka government, academia (the Indian Institute of Science, the National Centre for Biological Sciences and the Srishti Institute of Art, Design and Technology), and the philanthropists. The aim—foster scientific culture by working on not just natural sciences, but also human and social sciences.


Mainstreaming collective philanthropy in India

Collective governance characterises the long-term success of collective philanthropy for it not only ensures democratic decision-making but also provides a conducive environment to strengthen operational leadership. This ensures the implementation of the best ideas with greater equity in institutional administration. At the same time, it requires a mechanism for robust, transparent periodic reporting to monitor progress and course correct.


Emerging philanthropists can replicate this model in other critical development areas like primary education, healthcare, livelihoods, women’s empowerment and financial inclusion. With India poised on a strong growth trajectory that can catapult the economy into the top three global economies within the next 5 years, collective philanthropy can be transformative contributing force, where the resultant impact can be much larger than the sum of its many parts.


In the words of Margaret Mead: “Never doubt that a small group of thoughtful, committed people can change the world. Indeed, it is the only thing that ever has.”


Authored by Amitabh Jaipuria, CEO at AIP, this article was originally published in the Financial Express

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