Fortune
Shaun Seow, the head of the Philanthropy Asia Alliance (PAA), offers an insightful perspective on why a new wave of Asian philanthropists is increasingly focused on combating climate change. He notes, "A lot of next-generation leaders are recreational divers; they look at the bleached corals and think it's not right," highlighting a personal connection to environmental issues that drives philanthropic initiatives.
Philanthropic contributions directed towards climate change mitigation remain minimal on a global scale, with less than 2% of total giving allocated to this vital area. Within that fraction, only 12% targets Asia, a region facing disproportionate impact from climate change. This is particularly concerning given that Asia is warming at double the global rate, with 3.7 billion inhabitants affected by climate-related disasters since 2000—three times more than the rest of the world.
The situation has been compounded by a decline in international aid sources. Last July, U.S. President Trump dissolved the U.S. Agency for International Development, resulting in the loss of over $40 billion from climate-related development projects globally. European nations are also reducing their climate aid budgets; for instance, France has cut its development aid budget by 40% amid austerity measures, while Germany has reduced its international aid allocation from 6 billion euros to 4.58 billion euros by 2025.
Jamie Choi, CEO of Singapore-based Tara Climate Foundation, remarked, "For a long time, people have expected climate leadership to come from the West. We have been looking to places like Europe and the U.S. to take leadership, but those days are long gone." As Western investment in climate funding wanes, Asian philanthropists are poised to fill the void. It is projected that approximately $5.8 trillion will be mobilized in Asia before the decade concludes.
Choi emphasized that the Tara Climate Foundation—established in 2014 under the European Climate Foundation before becoming an independent entity in 2021—has transitioned from being a "lone wolf" on climate issues to a part of a larger network of Asian philanthropic organizations committed to this cause. A report from the Center for Impact Investing and Practices (CIIP) in 2026 revealed that nearly half of the 165 surveyed Asian funders were already investing in climate adaptation and resilience, and an additional 28% expressed readiness to commence investments in this area.
Despite this encouraging trend, Seow expresses concerns about the inadequate funding for climate initiatives, stating that "climate causes are woefully underfunded." The CIIP estimates that over $200 billion annually is required for climate adaptation and resilience efforts in Asia, yet current funding lingers around $19 billion. By 2030, Asia is expected to represent 75% of the global climate financing deficit, with regional enterprises projected to shoulder $336 billion each year in climate mitigation expenses.
Historically, Asian philanthropy has predominantly focused on domains such as education and health. As Seow articulates, "It's obvious when there's a child suffering or a disease outbreak, and it's very heart-tugging. But the impacts of climate change are more long-ranging. It's very natural as humans to focus on immediate issues while overlooking those with longer-term implications."
Choi points out that knowledge gaps may contribute to the reluctance of donors to engage in climate-related initiatives. "A lot of people think climate change is a very complex and technical issue, and see it as an accounting problem that needs to be challenged," she remarks.
Asian philanthropic entities are now investigating innovative funding models, including blended finance, which involves combining public resources with private investment to support projects in emerging markets. Seow notes, "The funding gap is just so wide. We're failing on our 1.5-degree global warming KPIs, so we really need private capital to come in."
The Center for Asian Philanthropy and Society proposes that philanthropic organizations could serve as risk capital providers, supporting innovative solutions that are beyond the market's scope, unbacked by government funding, and unmanageable for social innovators on their own. As Seow elaborates, "Solutions could require government action, but the government will not pursue unproven methods. They might need substantial private capital, but the associated return profiles may not entice private investors."
Seow insists that Asian donors possess a degree of patience that may be underestimated and are willing to commit over time. One illustrative example is Indonesia’s Tahija Foundation, which contributed over $17 million over ten years towards testing Wolbachia bacteria as a means to control dengue fever. Seow asserts, "I don't believe anyone would have funded that without the support of philanthropic capital."
Founded in 2023, the PAA aims to create a collaborative network of Asian and global philanthropic organizations, including the Bill & Melinda Gates Foundation, Dalio Philanthropies, and the Tanoto Foundation, to facilitate support for over 300 climate, health, and inclusive development projects throughout Asia.
The Tara Climate Foundation is also affiliated with the Just Energy Transition Community (JETC), a coalition established in 2025 to promote an inclusive energy transition in Asia. On May 18, the JETC announced an initial commitment of $2.6 million in catalytic funding for diverse projects in Southeast Asia, including enhancing clean energy access for rural farmers and fishermen, as well as improving cooling solutions for homes situated in warming climates.
Choi emphasizes, "Asia is part of the problem, as we are contributing 50% of global emissions. Furthermore, we possess numerous homegrown solutions—we just need to overcome our hesitations and begin investing in them." She reflects on the traditional top-down approach of foundations making grant decisions from places like London and New York, stressing that genuine strategic change necessitates a profound understanding of the local contexts in which philanthropic activities are conducted.
However, not all Western organizations are withdrawing from the region’s efforts. On May 20, the Nature Conservancy announced its intention to fund pilot projects for its Global Ocean Innovation Challenge in Indonesia's Savu Sea, in collaboration with its local partner, Yayasan Konservasi Alam Nusantara. The initiative will explore the use of autonomous surface vessels and solar-powered acoustic listening stations to combat illegal fishing.
Jennifer Morris, the CEO of the Nature Conservancy, highlighted Indonesia's significance, stating, "It's at the center of the coral triangle, hosting some of the most critical coral reefs in the world, brimming with biodiversity yet presenting challenges and high costs for monitoring." Nonetheless, Morris is keen to avoid overshadowing local organizations, asserting, "The last thing we want to do is crowd out local organizations. When we're not needed anymore, we can leave."
As Western nations pull back from addressing climate action, Seow posits that solutions will need to emerge from elsewhere. "The conversation must involve Asia, South America, and Africa," he concludes, emphasizing, "We owe it to ourselves: Global South for Global South."
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