Something to be proud of for Pakistanis in the US

Daily Times, August 3, 2006
Study reveals Pakistanis in US donate $1b annually
Staff Report

ISLAMABAD: Pakistanis in the US annually donate close to $1 billion, a study launched by President General Pervez Musharraf revealed at the Serena Hotel on Wednesday. ‘Philanthropy by Pakistani Diaspora in the US’ is the Pakistan Centre for Philanthropy’s (PCP) pioneering research initiative to explore the giving habits and philanthropic impulses of Pakistani Diaspora. Most importantly, it quantifies giving for the first time and investigates the potential for increased social investment in Pakistan.

President Musharraf said the report presented an enlightening profile of the American Diaspora, which can be analysed to map potential resources for social investment in Pakistan. It also highlights specific areas of weakness, which can be addressed to make giving more prolific and productive from a development perspective

He said the priorities in the report were the same as the government’s priorities for national development. Topping the list are poverty reduction, health and education. The most promising indication is that 93 percent of the respondents felt that there was a potential for increased giving to Pakistan. We should be proud of the Pakistani Americans who donate 3.2 percent of their income as opposed to American who only give 2.2 percent.

He assured that the government would try to facilitate the philanthropy so that the volume of giving should increase substantially. He said the government would also wanted to see the non-government organisation (NGO) sector becoming more transparent and responsive to information and reporting needs of donors so that they saw more credibility and trust in the NGO community.

Key highlights of the report presented by Ms Shahnaz Wazir Ali, executive director of PCP, showed that on average a Pakistani-American household contributes an estimated 3.5 percent of its income to charity. Of the total giving $250m was donated in cash and in-kind, the remaining $750m reflects 43.5m hours of volunteered time. A further breakdown of giving (in cash and in-kind) reveals that Pakistanis gave $50m to Pakistani causes in the US, $100m to Pakistani causes in Pakistan and $100m to causes unrelated to Pakistan. It was also found that the largest chunk of overall giving goes directly to individuals in immediate need, rather than to institutions and organised charities. This preference is influenced by a lack of trust in the civic sector in Pakistan. Convenient mechanisms to transfer funds and lack of information about philanthropic organisations in Pakistan were also identified as hurdles to giving.

The study led by Professor Adil Najam, associate professor of International Negotiation and Diplomacy, Tufts University and a team of 15 researchers funded by a grant from the Rockefeller Foundation USA through the Aga Khan Foundation, USA. The PCP intends to continue similar research examining diaspora giving trends in countries with significant Pakistani overseas.