Badr Jafar, an Emirati businessman and social entrepreneur, says the initiative has the potential to create a 'golden age of philanthropy' in the region. The National
Badr Jafar, an Emirati businessman and social entrepreneur, says the initiative has the potential to create a 'golden age of philanthropy' in the region. The National
Badr Jafar, an Emirati businessman and social entrepreneur, says the initiative has the potential to create a 'golden age of philanthropy' in the region. The National
Badr Jafar, an Emirati businessman and social entrepreneur, says the initiative has the potential to create a 'golden age of philanthropy' in the region. The National

NYUAD initiative to boost 'impactful philanthropy' across Middle East


Gillian Duncan
  • English
  • Arabic

A programme to study and promote philanthropy in the UAE and the region has been started in Abu Dhabi.

The Strategic Philanthropy Initiative is being run by New York University Abu Dhabi (NYUAD) in partnership with Emirati businessman and social entrepreneur Badr Jafar.

Mr Jafar said the initiative had the potential to create a “golden age of philanthropy” in the region.

In strategic philanthropy, instead of seeing the outcome as quantum of money, you see the outcome as impact generated
Badr Jafar,
an Emirati businessman and social entrepreneur

“This is particularly true in the Mena region, where 60 per cent of the population is under the age of 25,” he said.

“Equipping our youth with the tools, resources, and infrastructure needed to boost impact using their time, talent and treasure is a massive and timely opportunity, and this collaboration with NYUAD is well-positioned to champion this cause and make a real difference.”

A 2016 Wealth-X and Arton Capital report gives insights on the philanthropic trends of ultra high-net-worth people and it shows that they will pass on $3.9 trillion to the next generation over the next decade.

Mr Jafar said strategic philanthropy describes any form of “impact-driven giving” that is evidence based, planned and followed through to achieve the intended result.

“Rather than seeing the outcome as quantum of money, you see the outcome as impact generated. That’s a fundamental shift in thinking,” Mr Jafar said.

The initiative will focus on three areas: research to understand the past, present and possible future of philanthropy in the UAE and region; education for existing and aspiring philanthropists; and bringing people together to share ideas about the practice.

It will also run a student competition, as well as a prize in philanthropy to reward and inspire others to make donations that have an impact.

Somewhere between $400bn to $1tn is distributed throughout the Muslim world each year as a result of zakat and sadaqah donations, Mr Jafar said.

“That’s one figure, but another more depressing figure, on the other hand, is the fact that one in four Muslims lives below the poverty line,” he said.

“So one can’t help feel there is perhaps a better way to ensure this huge amount of philanthropic capital really meets the objectives that it is intended for, and maximise its impact.”

NYUAD Vice Chancellor Mariet Westermann said it was exciting to see economists and political scientists, social thinkers, next generational philanthropists, policymakers and NYUAD students join forces to make their communities better through strategic philanthropy.

“This partnership will advance the study, reach, and effectiveness of strategic philanthropy in the UAE, the wider region and the world, and drive collective action for change on the most pressing social and environmental issues,” she said.

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The idea of pound parity now seems less far-fetched as the risk grows that Britain may split away from the European Union without a deal.

Rupert Harrison, a fund manager at BlackRock, sees the risk of it falling to trade level with the dollar on a no-deal Brexit. The view echoes Morgan Stanley’s recent forecast that the currency can plunge toward $1 (Dh3.67) on such an outcome. That isn’t the majority view yet – a Bloomberg survey this month estimated the pound will slide to $1.10 should the UK exit the bloc without an agreement.

New Prime Minister Boris Johnson has repeatedly said that Britain will leave the EU on the October 31 deadline with or without an agreement, fuelling concern the nation is headed for a disorderly departure and fanning pessimism toward the pound. Sterling has fallen more than 7 per cent in the past three months, the worst performance among major developed-market currencies.

“The pound is at a much lower level now but I still think a no-deal exit would lead to significant volatility and we could be testing parity on a really bad outcome,” said Mr Harrison, who manages more than $10 billion in assets at BlackRock. “We will see this game of chicken continue through August and that’s likely negative for sterling,” he said about the deadlocked Brexit talks.

The pound fell 0.8 per cent to $1.2033 on Friday, its weakest closing level since the 1980s, after a report on the second quarter showed the UK economy shrank for the first time in six years. The data means it is likely the Bank of England will cut interest rates, according to Mizuho Bank.

The BOE said in November that the currency could fall even below $1 in an analysis on possible worst-case Brexit scenarios. Options-based calculations showed around a 6.4 per cent chance of pound-dollar parity in the next one year, markedly higher than 0.2 per cent in early March when prospects of a no-deal outcome were seemingly off the table.

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Updated: September 28, 2021, 4:15 AM