Diversified Funding Mechanisms

Blended Finance for Sustainable Solutions – Global Fund for Coral Reefs

Coral reefs are being devastated by climate change, overfishing, and localized pollution. Nearly half the world’s coral reefs have already been lost, and further decline jeopardizes one of the richest sources of biodiversity on the Earth – one that supports the livelihoods of a billion people. At the same time, funding to protect this backbone of marine ecosystems is woefully lacking. Philanthropic dollars are necessary to support cutting-edge research and emergency conservation efforts, but more is needed to encourage investments in sustainable solutions that combat the drivers of coral reef decline. 

The Global Fund for Coral Reefs (GFCR), established in 2020 and co-founded by the Paul G. Allen Family Foundation, is the first-of-its-kind blended finance, multi-partner trust fund designed to incentivize private investment in coral reef conservation and restoration – ultimately empowering local communities to improve livelihoods, food security and coral reef health. With $6 million in start-up funding from the foundation, GFCR has now mobilized $185 million, making it the world’s largest blended finance mechanism dedicated to ocean conservation. GFCR is already working in 12 countries around the world with ambitions to launch programs in 18 more countries by the end of 2024.

Most recently, the United States committed $15 million through the U.S. Agency for International Development, joining the United Kingdom, Germany, Canada and France as government donors.  Philanthropic donors include, in addition to the foundation, Prince Albert II of Monaco Foundation, Bloomberg Philanthropies and Builders Initiative. 

And the future looks even more promising coming out of the Convention on Biological Diversity’s 15th Conference of the Parties in Montreal last December where thirteen countries and the European Union issued a Joint Statement pledging to mobilize, among other commitments, $2 to $3 billion through the GFCR between 2023 and 2030. 
 

Community-Led Funding as a Lifeline for Arts Recovery – Community Accelerator Grant

Investment in the arts is an investment in communities. Therefore, for arts and culture to truly thrive, the community itself must inform funding decisions, as they are best positioned to know where there are needs and opportunities. For much of Washington’s art sector, funding remains a critical issue.

According to Seattle-based ArtsFund’s COVID Cultural Impact Survey (partially funded by the foundation), 121 reporting arts organizations in the state saw a $95.5 million decrease in revenue and a 20 percent reduction in operating budgets in 2020 alone. Nearly half (41 percent) of organizations furloughed staff or reduced hours and/or pay.

In partnership with ArtsFund, the foundation funded a $10 million Community Accelerator Grant Program, one of the largest private philanthropic investments in Washington’s nonprofit cultural sector. The program provides unrestricted grants up to $25,000 for nonprofit arts and cultural organizations across Washington State. In addition to dispersing much-needed operational funding, the program will yield important information for the future and provide insight into what the arts community really needs.

The program is guided by a Community Advisory Panel that represents the geographic and demographic diversity of the region. The panel is working to ensure decision-making is as close to the impacted communities as possible. Updates on the Community Accelerator Grant are available on the ArtsFund website.
 

"This grant invests in a stronger, more inclusive, and thriving arts and cultural sector for Washington State by allowing organizations to self-determine how best to utilize their funding."

Michael Greer, President and CEO, ArtsFund