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January 27th, 2012

Evaluation of American Red Cross Haiti response

We’ve been working on an update of our disaster relief report, and came across an American Red Cross evaluation from December 2010 stating:

If you would like to access this report, please get in contact with the ALNAP secretariat.

We emailed the ALNAP secretariat, saying:

I am writing from GiveWell, an independent, non-profit charity evaluator to request access to the ALNAP report “American Red Cross – Haiti” that is listed on the ALNAP website at http://www.alnap.org/node/7131.aspx. Would it be possible to send us a copy of the report?

The secretariat responded that the evaluation cannot be shared externally due to an in-house policy.

Why should this report be confidential over a year after its publication?

(Thanks to Eliza Scheffler for finding this.)

Update: the page linked to in this post regarding the evaluation appears to have been removed (very recently - I am writing this at 11:02am and it was up as of 10:30am). Here is Google’s cache of the site and here is a copy of the Google cache stored on our server (for when the Google cache expires).

August 30th, 2011

Somalia famine: update

Over the past month, we’ve worked to understand the situation in Somalia and make a recommendation to donors about where they should give. At this point we’re wrapping up our work with the following conclusions:

  • We wouldn’t recommend giving to support Somalia specifically over supporting everyday aid. While the needs are extreme, we aren’t convinced that individual donors can effectively cause more aid to be delivered via their donations.
  • For those who do want to give, we suggest The International Committee of the Red Cross (ICRC), the World Food Programme (WFP) or Doctors Without Borders (MSF), but with serious reservations about each of these.
  • There is a severe lack of transparency on the part of charities and funders, particularly the US government, that has hindered our ability to understand the situation and make a strong recommendation.

A brief note before getting into the details: most of this work was done by our summer intern, Josh Rosenberg. We couldn’t have learned as much as we did about this crisis without his help. Thanks, Josh.

Details follow.

Giving to Somalia relative to giving to everyday international aid

We believe strongly that the needs inside Somalia are great and that, were it possible to send food or medical supplies such that it would reach people in the region, that would accomplish a great deal of good. We recently spoke with an American journalist in the region, and he said:

I went to a hospital in Somalia recently, and we saw kids in very bad shape. There are just no resources there. They don’t have medicine, IV bags, solution. There are dozens, if not hundreds of people arriving each day that need hospitalization. It’s the same situation with camps inside Somalia.

Nevertheless, we don’t have confidence that it is in fact possible for donors to help get more food and supplies to those who need it. There are numerous reports of World Food Programme food aid being stolen by al-Shabaab, a group classified as a terrorist organization that governs much of the famine zone, and many Western NGOs have been explicitly banned from the region by al-Shabaab or have chosen to leave due to security concerns.

Even for the groups operating in the famine zone, it’s not clear to us that additional funds donated will lead to additional services provided, for reasons of donations’ fungibility. Our guess is that given the dire circumstances, aid organizations are likely to spend whatever resources they can, unrestricted or otherwise, to reach those in need, and individuals’ providing additional funds to the few organizations active in the famine zone may make little difference to this specific relief effort.

That said, we have still had limited contact with organizations operating inside famine zones, and we would be interested in hearing from any if they feel they would reach additional people with additional funding. Were we to gain confidence that an organization could do this, we could plausibly view the donation opportunity as on par with our highest rated organizations.

Assuming one wants to give to Somalia, which organization will be most effective?

We struggled to obtain substantive credible information to help us answer this question well. In our previous Somalia update, we listed the questions we sought to answer, and in most cases, we received vague information from charities such that we weren’t able to answer our questions well. For example, we often received budget proposals such as “$5 million for water and sanitation projects” with no detail regarding (a) the type of projects (e.g., digging wells vs trucking water vs purifying water) to be implemented, (b) the cost of each project component, or (c) the location where the projects would be implemented.

Given the lack of substantive, credible information, the three factors we focused most on are:

  1. Where is the organization operating? While we believe that there are great needs throughout the region–inside the famine zone, in the rest of Somalia, and in refugee camps and mainland areas of Ethiopia and Kenya–the greatest needs are in the famine zone. In our conversation with a journalist in the region, we asked “How do the conditions in refugee camps in Kenya and Ethiopia compare to conditions inside Somalia?” and he responded:

    My impression is that the refugee camps are pretty well taken care of right now. Even though they’re burgeoning with people, they’re doing OK. There’ve been some disease outbreaks in Ethiopia. They could use more help but there’s already a huge infrastructure there. In Dadaab there’s a huge compound for western aid workers. There’s a bar and restaurant. In Somalia, the people are near death and have no access to resources… I went to Dadaab, and I saw the same thing and saw starving kids and poor families, but there were people driving CARE cars and wearing MSF badges or Save the Children hats, so there are NGOs in the camps, but there’s no help inside Somalia.

    That is, while the people who reach the refugee camps need assistance, they are being served and we don’t have enough information to say that there is room for more funding in the camps.

  2. How transparent is the organization about its activities and spending? Regarding Somalia, but also other disasters, we’ve found limited information about the impacts or results of charities’ programs. We’ve therefore focused on organizations’ transparency and openness to being held accountable for their activities as a proxy for the organizations that are likely to be most effective.
  3. What other information do we have about the organization that would inform our conclusion about where to give now? To the extent we’ve considered the organization in other contexts, we’ve incorporated any additional information into our views here.

Having completed our analysis, three organizations stood out.

  • The International Committee of the Red Cross (ICRC). The ICRC is appealing for funds solely for use in the famine zone, and our understanding from them and from the journalist we spoke to is that they are active in famine areas. ICRC gave us a uniquely detailed plan for scaling up and using funds. Unfortunately, we aren’t cleared to share this plan publicly, but it was a more comprehensive and detailed plan than we received from other charities.

    However, the plan did not allow us to easily connect what ICRC plans to do with how it would spend money. Also, the journalist we spoke with told us:

    They are working in South Somalia in the al-Shabbab areas where no one else is. But, I’ve been told by some people that they screwed it up for other aid groups because they paid al-Shabbab a tax/bribe to work in those areas, and then al-Shabbab demanded it from other groups. Because al-Shabbab is a designated a terrorist organization by the US government, aid groups had to leave because it wasn’t legal for them to pay money to al-Shabbab. So, while ICRC is doing good work, there’s some resistance to them from other NGOs.

    We have not verified this claim or questioned the ICRC about it.

  • The World Food Programme (WFP). WFP is the only organization we spoke with that makes its detailed reports publicly available on its website. The reports include detailed budgets as well as quantities of food to be delivered and targeted locations. In addition, WFP is one of the largest entities (if not the largest entity) operating in the region, and they have been criticized in the media for mistakes they’ve made. Other things equal, we feel donors are well served to support the groups that will ultimately be seen as “responsible for” the response because they are most likely to be held accountable by donors and the public. Note that al-Shabbab has denied access to WFP in areas it controls.

    The criticisms that have been made raise room for concern as well, particularly regarding reports of World Food Programme food aid being stolen by al-Shabaab.

  • Doctors without Borders (MSF). We’ve spoken several times with MSF, but have received limited information from them. MSF is operating in the famine zone. We maintain our generally good feelings about the organization, but this is based largely on MSF’s transparency about their activities and needs for donations in past disasters. We are disappointed in MSF’s lack of transparency in this case.

The journalist we spoke with also mentioned some other organizations. We don’t endorse these but include his comments here for those interested:

I interviewed one guy and came across one NGO I thought was doing decent work and one of the few that had American people on the ground. It’s the American Refugee Committee. They’re pretty small and maybe their smallness has helped them be more nimble. He has gone to Mogadishu, and come out and gone back in. A few people have asked me whom to give to and I said that I had seen the American Refugee Committee. That was one of the few western organizations working on the ground. I also saw IRC, the International Rescue Committee. I have some friends in the aid business, and they’ve told me that IRC is there. They’re trying to provide help at camps and hospitals….There is a local NGO in Somalia that is doing good work. It’s called the Hawa Abdi Foundation. There’s a Somali woman doctor who set up a clinic in a camp, and she’s helping a lot of people. She was named one of Glamour Magazine’s top ten women of the year. If you steer any donors to local groups, it’s a good one. She has a track record of doing good work and reaching people. World Vision has done some good work inside Somalia. They were run out but are now starting again. In North Kenya, they’ve done good famine prevention work and set up agricultural projects that are helping people in these drought areas become farmers and less reliant just on cattle. I’ve looked closely at the World Vision and they’re pretty brave. They’re working in areas no one wants to go to.

Our struggles and the lack of transparency

One of the most disappointing aspects of our Somalia research has been the opacity of charities and the US government. We are particularly disheartened by USAID’s consistent position that they cannot help us, or by extension, individual donors in any meaningful way.

Over the past month, we have spoken with several representatives at USAID, all of whom have told us the same thing:

  • We cannot comment on or off the record about specific aid organizations.
  • We cannot offer any advice about which organizations are likely most effective or have the greatest need for funds.
  • We cannot share any of the information we’ve received from organizations about what they’re doing or how they’ll spend money.

While there may be specific cases of documents that must be kept private for safety or privacy concerns, we feel that most information can and should be shared. We’ve seen USAID documents in some cases because charities have voluntarily sent them to us, and we haven’t seen anything about these documents that would clearly cause harm if shared more widely. Generally, when charities have asked us to keep information confidential (which we’ve honored), we’ve seen little that seems it would cause harm or danger if shared publicly; confidentiality concerns have seemed to have more to do with charities’ not wanting to be judged in certain ways.

USAID is a government agency funded by the public. USAID has significant, detailed information about NGOs’ activities around the world, and sharing this information publicly would provide significant help to donors aiming to give more effectively. USAID has told us that the information they receive from charities is private and confidential and cannot be shared. This conclusion does not seem valid or just to us.

Donors who care about impact should continue to pressure the charities they support and the US government, which provides funding to them, to be more open with their information.

August 12th, 2011

Donating to the Somalia famine: a brief update

Since our initial post on the Somalia famine, we’ve continued our research to provide a stronger recommendation to donors. We do not yet have enough information to do so. At this point, we maintain our provisional recommendation for Doctors Without Borders (MSF).

Over the past 3 weeks, we’ve contacted many aid and UN-based organizations. We’ve spoken with representatives from Action Against Hunger, CARE, Doctors without Borders (MSF), International Committee of the Red Cross, International Medical Corps, Oxfam, Save the Children, the World Food Programme, and UNICEF.

In our conversations with organizations, we’ve tried to answer the following questions:

  • What, specifically, are your activities in response to the emergency?
  • How do your expenses break down across these activities?
  • In what regions are you working? Are you primarily in the famine zone? In refugee camps? Other locations in the region?
  • Are you appealing for additional funding? If so, how much are you seeking? If you don’t raise all that you are appealing for, would you allocate unrestricted funding to your response?
  • How, specifically, would you spend additional funding?

We’ve also contacted funders such as the UN’s Central Emergency Response Fund (CERF), the Disasters Emergency Committee in the UK and USAID, but they have not been able to give us information about organizations or the situation on the ground that would inform our views of specific aid organizations.

We are waiting on information from several of the charities we’ve contacted to answer the questions above, and once we receive this information, we’ll be in a better position to make a stronger charity recommendation to donors.

For the time being, we maintain our provisional recommendation of Doctors Without Borders (MSF), which is publicly appealing for funds for the crisis in Somalia and its consequences.

July 25th, 2011

Somalia / East Africa famine relief donations

We’ve begun investigating the ongoing famine in Somalia / East Africa. We will be writing more on this topic as we learn more, but for the moment, we wanted to share a few preliminary thoughts:

  • This appears to be a very challenging situation for aid organizations, and it is difficult to determine who is in a position to use donations effectively.
  • That said, we see some reason to believe that it may be a promising giving opportunity for individual donors. It seems quite possible that donations from individuals are more helpful in a situation like this than in situations like the 2010 Haiti earthquake and 2011 Japan earthquake/tsunami.
  • At the moment, we recommend that donors wait until we publish more information, though if you’re looking to make your donation immediately, we provisionally recommend giving to Doctors Without Borders (MSF).

Details follow.

The situation, and why it is particularly challenging

On Wednesday, the United Nations declared a famine in the Bakool and Lower Shabelle regions of Somalia. The famine has caused extreme levels of acute malnutrition in southern Somalia. Much of the rest of the Horn of Africa (which includes Kenya, Ethiopia, Somalia, and Djibouti) is experiencing drought and a food crisis situation as well.

There are estimates that this is the worst famine in the region in 60 years and that it will only worsen in the next 2 months. About 4,000 to 5,000 Somalis per week are traveling across hundreds of miles of desert to reach the Dadaab refugee camps in eastern Kenya. Camps that were supposed to hold 90,000 people now hold about 380,000.

An Islamist militant group called al-Shabaab occupies regions that the famine has hit the hardest. Al-Shabaab has only allowed a few aid organizations to continue operating in southern Somalia and has killed WFP aid workers in the past. With safety concerns present, very few charities have access to the highest-need areas of Somalia.

Why this may be a promising opportunity

Despite the serious challenges, we want to note that

  • A consolidated appeal has been posted to Reliefweb and it is currently fairly far from being fully funded. This is a contrast with the recent earthquake in Japan, for which no such appeal was issued.
  • We’ve raised questions about whether Haiti relief had/has true room for more funding, due to the logistical difficulties in the aftermath of the earthquake - it seems possible that outside aid and money could have made some situations worse, not better. In this situation, there are concerns about the interactions between aid agencies and Al-Shabaab, but if money reaches refugees (for example, in camps in Kenya), the same concerns about logistics would not seem to apply.

The combination of an unusually dire situation, and the absence of some of the issues that held us back from wholeheartedly recommending that donors give to recent earthquake relief efforts, marks this as a situation worth investigating from a maximizing-impact-of-donations perspective.

What we’ve done so far, and our provisional recommendation

We cross-referenced the lists at InterAction and FTS with our list of disaster relief charities, and chose to contact the following:

We’ve only spoken briefly with these organizations (and have not yet heard back from WFP) and can’t yet report on the details. As we learn more, we’ll post updates to our blog.

The representative of MSF in the UK with whom we spoke stated to us that

  • MSF is working on the ground in Somalia providing care to those affected by the famine.
  • The scaling up of aid into Somalia, and to Somali refugees in neighboring countries, is being restricted.
  • MSF is urgently calling for obstacles to humanitarian assistance to be removed.

We have recommended in the past that donors support MSF in response to disasters and, for the time being, we recommend MSF again now. However, we continue to investigate the situation and are trying to speak with other organizations, and we will be publishing updates fairly soon.

Josh Rosenberg is a summer intern at GiveWell. He is currently an undergraduate at Pomona College.

April 13th, 2011

Japan update 4/13/11

It’s been roughly a month since the devastating 9.0 earthquake in Japan. We’ve been continuing to follow the situation and re-examine our recommendations for donors. At this point we feel that

  • The situation in Japan has recently worsened, with aftershocks and negative developments regarding the nuclear crisis. It is too early to tell whether this will change our take on the government’s ability to finance an appropriate relief/recovery effort (which in turn would leave room for donations to do more good).
  • Putting the recent worsening aside and looking at new information over the past couple of weeks, we feel there is a slightly stronger case than before against our bottom line, but not strong enough to overturn our recommendations. We still recommend Doctors Without Borders, which helps with relief and recovery efforts worldwide (including far less well-resourced efforts). For those looking to help Japan specifically, the Japanese Red Cross is the best option we see.

Details follow.

Update on OCHA and ReliefWeb

It remains the case that - as we have observed in past updates - the Financial Tracking System lists appeals for many countries but lists no appeal for Japan (archived).

In our previous update, we cited a staffer as stating that the lack of an official appeal reflected “the Japanese national capacity to respond.” Now OCHA has made more explicit official statements than before about the need for assistance.

  • A March 28 situation report stated:
    the need for any further international humanitarian presence or internationally procured relief supplies is limited and any such assistance should only be provided upon the request of the Japanese Government and in accordance with their stated criteria. In addition it is important not to overburden affected prefectures and local communities who are working at full capacity and do not have the resources to coordinate unsolicited offers of assistance

  • The latest OCHA report is from April 1 (archived) and states:
      It is still unknown how many people are living outside evacuation centres but the number is certainly large. Many people who were originally living in evacuation centres have returned to their homes even if they were damaged and without water and power. These people do not receive basic supplies from the municipal authorities but are becoming the focus of attention by local NGOs and volunteers …

      The team notes that whilst coordination challenges remain the Government of Japan can and will cover the needs of the affected population and that, with some very specific exceptions and then only at the direct request of the Government, there is no requirement for further international assistance at this time …

      OCHA has officially ended its support role in-country to the Government of Japan for the emergency. NGO consortia Japan Platform and Japan NGO Center for International Cooperation will take the lead in information exchange and coordination of international NGOs with their local partners.

Update on major funders

In our previous update, we did a very rough comparison of the responses to disasters in Haiti and Japan by major funders, i.e., governments and foundations. Since then, we have been pointed to a better source of data on aid from the U.S. specifically, which allows us to directly compare aid in the month after the Haiti earthquake to the month after the Japan earthquake.

We compiled data from Haiti fact sheets and Japan fact sheets into this spreadsheet (XLS). This chart shows total aid to each country from all USAID sources, with the number of days after the disaster (1/13/2010 for Haiti; 3/11/2011 for Japan) on the x-axis:

Haiti received funds from six different USAID agencies, while Japan received funds from only two: the Department of Defense (DoD) and the Office of Foreign Disaster Assistance (OFDA). DoD provided $252 million worth of aid to Haiti in the first month, vs. just over $70 million to Japan (likely mostly in the form of direct assistance rather than cash). OFDA provided just over $200 million to Haiti, vs. ~$7 million to Japan (nearly all of which was committed within the first week).

As we observed in our previous update, we find it unlikely that the U.S. would provide less aid to Japan (an ally) than it had to Haiti, unless it perceived limited needs for its assistance.

We haven’t done similar analysis of aid from other governments. The ratio between U.S. aid and total aid from other governments is about the same now as it was in our previous update (the U.S. has given about 2x as much as all other governments combined).

Another change since our last update is that the Gates Foundation made a $1 million grant to Mercy Corps, which we questioned it about (and posted its answers).

Update on the Japanese government

  • The OCHA report linked above states that “The Government of Japan has received 134 offers of assistance from countries as well as 39 offers from international organizations. It has accepted relief items from 29 countries and international organizations.”
  • An AlertNet story about the possible future impact of a future earthquake in Tokyo states:
    “Japan has enough savings surplus to fund reconstruction of (the quake-hit northeast) … but if you had to multiply the costs for Tokyo, Japan would become dependent on foreign funds,” said Jesper Koll, director of equities research at JP Morgan in Tokyo.

    Along with the Moody’s statement in our last update, this is an additional reason to believe that the government can finance an appropriate relief/recovery effort. As a side note, this article makes the disturbing argument that a 7.3 earthquake (much less severe than the one that hit Sendai) could be even more devastating than this earthquake if it hit Tokyo - and this disaster has a high chance of occurring over the next 30 years.

  • I haven’t seen much criticism of the government’s relief effort (as opposed to its response to the ongoing nuclear crisis), but the Economist gives harsh criticism and implies that the government has not done what it could:
      For all that Mr Kan has attempted to be seen at the front, in Tokyo the sense of a looming humanitarian crisis in the north has been slow to sink in. That is partly because nuclear worries have absorbed much of the government’s attention. Few politicians in a centralised system have bothered to travel north themselves. The media, taking their cue from the Tokyo establishment, have not thought properly to report the unfolding struggle for food and fuel.

      Yet businessmen and victims say supplies are being held up as bureaucracies fall back on tired old rules and straitjacket procedures. Lorries full of supplies have been unable to get petrol on the empty expressway north, reserved for “emergency” vehicles. While this severe shortage of fuel spread through northern Japan, oil companies were sitting on huge supplies which by law they had to keep in reserve. If ever an occasion for their use was justified, it was this catastrophe. Yet the government took ten days to beg for (not order) their release. From the start, Mr Kan should have declared a state of emergency. Even now, clear lines of authority for handling the many-headed crisis have not been properly established.
  • The worsening of the situation with recent events may make it harder for the government to fully fund the recovery effort: “The government and main opposition party have agreed to a spending package to get some reconstruction work started, but setting a large additional budget will be difficult due to Japan’s heavy debt burden.”

Japanese Red Cross

  • The latest Japanese Red Cross information bulletin is from March 28 (archived). (As a side note, the list of updates I was using before seems to have disappeared (see this page as it appeared previously).) Like the previous information bulletin (discussed in our last update), it has somewhat difficult-to-interpret language regarding donations: “JRCS is receiving cash contributions from some Red Cross Red Crescent National Societies in the spirit of solidarity.”
  • We have learned that Red Cross societies do not generally use the Reliefweb system for appeals (a search for appeals on Reliefweb from Red Cross societies yields very few results). Therefore, the fact that the Japanese Red Cross has not appealed through this system is not evidence against room for more funding; its lack of an appeal through the Red Cross system was discussed in our last update.
  • In past updates, we stated that the Japanese Red Cross appeared to be planning direct cash distributions to survivors, but that this was not entirely clear. Media reports since then have clarified the situation: an Alertnet story explicitly states that “The 108 billion yen ($1.26 billion) of relief money is meant to be handed to disaster victims in cash.” (The L.A. Times states this as well.) As stated in earlier updates, we support the idea of cash distributions to survivors.
  • There has been some criticism (see the links immediately above) that distribution has been too slow; the Red Cross’s response is essentially that it is difficult to distribute so much money both quickly and fairly.

International charities

The Chronicle of Philanthropy (archived) reports $246.9 million in donations, most of it to the American Red Cross ($169.5 million), Americares ($5.4 million), Catholic Relief Services ($4.9 million), Mercy Corps ($6.6 million), the Salvation Army (~$5.6 million), Save the Children ($9.6 million), United Way Worldwide (~$10 million) and World Vision ($7.9 million).

As in previous updates, we scanned the websites of particularly prominent charities (including those listed directly above) to see what they are disclosing about their activities. In general, they seem to be focused on distribution of various supplies and on maintaining various forms of “child-friendly spaces” and psychosocial support.

  • Americares reports a “relief shipment, sent from AmeriCares warehouse in Connecticut at the invitation of the Japanese government … Containing over 17 tons of medicines, medical supplies and hygiene items, the shipment, valued at more than $525,000 will be received by AmeriCares partner, the Tohoku University Hospital.”
  • Catholic Relief Services (archived) states that it is not involved in immediate relief but plans on being involved in long-term recovery (specifics are not given).
  • Mercy Corps (archived) has been posting frequent updates; it appears to be working with a local partner on both immediate relief and longer-term recovery (we have discussed the latter in a previous post).
  • Salvation Army (archived) states that 100% of donations will be sent to the Salvation Army Japan (archived), whose last update (March 14) states that it “has three emergency service relief teams operating in areas devastated by the earthquake and tsunami” and that “Arrangements are being made for emergency service personnel from The Salvation Army International Headquarters (IHQ) to go to Japan to assist with the Army’s relief effort.”
  • Save the Children (archived) has posted a briefing document emphasizing distribution of supplies (mostly not specified, aside from “back-to-school supplies”), construction of “Child-Friendly Spaces” and “psychosocial support.” Its longer-term plan includes a fund to “appeal for, assess and award grants to national and community groups involved in re-establishing child care and education” and pursuing advocacy toward the goal that “Child Friendly Spaces and childcare services are included in all prefecture planning, preparation and response operations.”
  • United Way Worldwide (archived) states that “The Central Community Chest of Japan has helped provide supplies to volunteer centers including: bicycles, mattresses, cell phones, and laptops. Additional supplies requested by the volunteer centers include motorbikes, prefab houses and tents, copy and fax machines, PCs and printers.”
  • World Vision states, “We now expect to have received enough donations to fully fund this intended 24-month response. We are encouraging those who wish to continue to help to donate to World Vision’s general Disaster Response Fund.” Regarding the specifics of its activities, it states that “we will focus on further distribution of relief and recovery items, continuing to set up protection programs for children and the elderly, while establishing community kitchens in affected areas” but is not specific about longer-term plans (”World Vision will be looking at how to best support families by providing necessary supplies to … shelters”).
  • Doctors Without Borders (archived) has put out one update since our last update, stating that “A team of six MSF psychologists have started working with the survivors of the massive earthquake and tsunami that hit northeast Japan on March 11.”

We have included the most substantive information we could find in most cases; the websites are generally fairly light on details. We have not seen any nonprofit that appears to be planning to distribute cash directly to survivors, as the Japanese Red Cross is.

A BBC article also notes that the UK’s Disasters Emergency Committee, which “coordinates the efforts of 13 UK charities during international crises” has refrained from an appeal for Japan.

We continue to be concerned about the idea that these organizations may be more interested in the appearance of helping (and the money that comes with it) than in being as helpful as possible (which, according to OCHA, could often mean staying out of the way). As discussed previously, the apparent lack of emphasis on cash gifts to survivors (for the longer-term phase) contributes to this concern.

Japanese charities

The OCHA report discussed above mentions three sources of coordination/information on nonprofits’ efforts (note that the second two of these links are in Japanese, and I am working off translations from the Google Chrome browser):

  • The Japan Platform (archived) has posted three updates since our last update. A couple of highlights:
    • The April 1 set of recommendations for international NGOs states that “it is generally not lack of relief supplies which is a problem, but more for the issue of better coordination to reach the needy. JPF and JANIC are trying to fill the gap of the needs from the field, and we are grateful for your understanding and long term support.” It also states that “Some Japanese NGOs, which are well organized and self-sustainable (food, accommodation, and communication etc.), have started their activities.” It advises international NGOs to consider partnering with Japanese nonprofits and to coordinate closely with local Disaster Volunteer Committees.
    • The latest general update has a table (page 6) and map (page 7) giving very broad overviews of nonprofits’ activities and funding. Many, but not all, local nonprofits seem to be in the “assessment” phase. The table gives financial figures in yen for broad activities, which I would guess refer to expected expenses. The figures are difficult to read, but I estimate that they add up to about 166 million yen; private donations are reported at a little over 3.8 billion yen.
  • JANIC (archived) has posted 8 updates since our last update, but nothing that appears to shed light on the activities and needs of nonprofits.
  • Japan Civil Network for Disaster Relief in East Japan (archived) was not discussed in our last update. It provides a large list of participating organizations but no other information that I can find on activities and funding needs.

Bottom line

In my view, the case against our previous bottom line has strengthened slightly for two reasons:

  • There have been accusations of slow/insufficient responses by the Japanese government and Red Cross, and if true these would leave more room for nonprofits to add value even if not invited/funded to do so by the government and Red Cross. We don’t know how valid these accusations are.
  • Nonprofits have published more substantive information than before on their activities, and there is not as much language implying that they are still essentially on standby. That said, the overall substantiveness of the reports is still generally low, and the focus on providing services (rather than cash) over the long term concerns us. In addition, just because nonprofits are active doesn’t mean that (a) their assistance is adding value relative to the government and Red Cross; or (b) they have room for more funding.

A donation to one of the local coordinating bodies (Japan Platform, JANIC, Japan Civil Network for Disaster Relief in East Japan) may result in aid being delivered somewhere the government and Red Cross aren’t reaching. However,

  • Criticism of the official relief effort still appears relatively rare to us and we don’t know how credible such criticism it is (we’d expect some criticism even of the best relief effort, given the difficulty of the situation).
  • Looking at the words and actions of OCHA and government funders still paints a picture of very limited overall needs for non-government assistance.
  • The numbers we have imply that nonprofits have gotten more than enough funding for what they are planning.
  • The reasons we gave previously for preferring the Red Cross to other nonprofits, if you are intent on having your funds spent in Japan, still stand.
  • Therefore, we stand by our previous bottom line.

April 6th, 2011

The Gates Foundation’s grant for Japan relief: our questions and its response

Previously, we went through all the evidence we could find regarding whether Japan disaster relief has what we call room for more funding. One of our observations was that

The Gates Foundation, in particular, gave two grants within a week of the Haiti earthquake but doesn’t appear to have given anything for Japan so far.

Since then, The Gates Foundation has announced (archived) a $1 million grant to Mercy Corps.

The situation in Japan is confusing to donors, and the Gates Foundation is better positioned than individuals (and better positioned than we are) to sort through the confusions. If it posted a substantive explanation of its grant - and answers to the natural questions this grant raises - it could be a great help to individual donors, who have given over $161 million (U.S. donors only) to the relief effort.

We are therefore disappointed with its communications to date. On its website, it has put out only a short statement, with no explanation of the decision other than “While the emergency in Japan falls outside the typical scope of the foundation’s Emergency Response grantmaking, the magnitude of the crisis called for a response.” It provided an additional statement in response to our questions, which is posted below.

The Gates Foundation grant raises the following questions:

  • Out of all the organizations soliciting funding for Japan disaster relief/recovery, how and why was Mercy Corps chosen?
  • In particular, why was Mercy Corps chosen over:
  • A Mercy Corps representative has made it clear that it does not intend to spend all allocated funds on emergency relief: (archived):
    We are going to do post-trauma work with kids, and we are looking at how to make that really culturally appropriate … We are also going to get involved in the local economy. We are probably going to distribute vouchers that people can use to get into the stores as they reopen and buy goods, and pump up the local economy. We are going to look at small businesses that don’t have insurance and don’t have access to government funding, and may need support.

    How does this square with the Gates Foundation’s emphasis on emergency relief in its release? (It discusses Peace Winds’s work in emergency services but does not mention these less emergency-relief-oriented activities.)

  • Why did the Gates Foundation make a grant to Mercy Corps specifically for Japan, instead of giving it a grant to be allocated where most needed (as Mercy Corps requested (archived))?
  • How does this grant square with the statement by OCHA that “the need for any further international humanitarian presence or internationally procured relief supplies is limited and any such assistance should only be provided upon the request of the Japanese Government and in accordance with their stated criteria”? Has the aid of Mercy Corps been requested by the Japanese Government?
  • Why was the grant for $1 million and not more or less?
  • Does the Gates Foundation have advice for individual donors interested in doing as much good as possible? Should they give to Mercy Corps rather than to a Red Cross organization? Should they give to help Japan rather than another of the many urgent situations worldwide (archived)?

We sent a draft of this post to the Gates Foundation last Friday, and after some back-and-forth we received the following statement as its response (posted with permission):

    The emergency in Japan falls outside the scope of the foundation’s usual emergency response grantmaking, since our work is largely focused on developing nations, but the foundation felt the severity of the earthquake and tsunami called for a response.

    Mercy Corps is experienced in delivering humanitarian aid to wide geographic areas and in complex logistic situations. In addition, they also have a long-standing partnership with Peace Wind Japan, which is actively involved in the ongoing relief efforts.

    We have also worked with Mercy Corps during a number of emergency relief operations, including last year’s earthquake in Haiti.

    We are fully supportive of the work Mercy Corps and Peace Wind are doing in Japan. We will continue to monitor the situation and would urge people interested in making a donation to the relief efforts there to contact one of many international organizations working in Japan. A list of our partners who do emergency relief work, many of whom are already involved with Japanese relief efforts, can be found on the emergency response page on our website.

Our takeaway is that the Gates Foundation grant doesn’t provide much reason to change our existing view of the situation. We believe that Mercy Corps’s apparent plans (quoted above) fall firmly within the category of “restitution” (and we have questioned the appropriateness of these plans, relative to giving out cash to survivors).