Main trends in the funding of European non-profit organisations

Ongoing importance of public funds

Diversification of funding sources

Growth of private philanthropy

Main trends in the funding of European non-profit organisations

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Attention to transparency and accountability

Increase in international collaboration

Growing complexity and competition for public funds

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Growth of private philanthropy

Philanthropic donations have increased, driven by the growing wealth in Europe and the rising number of people with high net worth. The number of foundations has seen significant growth, especially over the past 20 years, with Germany and France representing the largest philanthropic markets.

There are approximately 3.8 million active associations in the European Union countries and nearly 150,000 active foundations in Europe. The number of foundations is constantly increasing.

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Marco Bertolini

Pour Formation 3.0 asbl

This infographic is published under the Creative Commons Attribution - ShareAlike 4.0 International license. It may be copied, modified, and redistributed provided that the author is credited and a link to the original work is included.

Increase in international collaboration

The growth of non-profit international organisations (INPO) indicates a greater tendency to address transnational causes and seek funding beyond national borders.

Ongoing importance of public funds

Government funding rates from the EU and national sources remain one of the main sources of income for non-profit organisations, particularly in sectors such as social inclusion, environmental sustainability, and humanitarian aid.

Attention to transparency and accountability

Recent investigations, including the "Qatargate" scandal, have led to greater transparency in the allocation of EU funds to non-profit organisations. The EU financial regulation updates aim to improve transparency and to define NGOs more clearly.

Diversification of funding sources

In addition to traditional grants and donations, non-profit organisations are increasingly turning to alternative funding models such as social impact investments, social impact bonds, and online donation platforms.

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Growing complexity and competition for public funds

Access to government grants can be complex and highly competitive, making it difficult for smaller organisations to secure long-term funding. Even public funding priorities can change, influencing consolidated support flows.