Paper series on transatlantic trade and development policy issues Analysis

July 2012 Number 9

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Summary: Following the conclusion in 2003 of a 14-year civil conflict, the African nation of Liberia began to attract increasing levels of transatlantic official donor and philanthropic support. In an attempt to harness the burgeoning foundation activity in the country, the government of Liberia under the leadership of President Ellen Johnson Sirleaf, in collaboration with several philanthropic partners, established the worlds first Philanthropy Secretariat, a presidential unit dedicated to building the quality and quantity of philanthropy in Liberia. This secretariat could be a useful model for other countries as a means for foundations to maximize the effectiveness of their funding, for transatlantic official donors to increase their level of collaboration and partnership with these foundations, and for developing country governments to improve the quality of external donor support. The views expressed here are the views of the author alone and do not necessarily reflect the stance of the German Marshall Fund of the United States.

Learning from Liberias Unique Model of Engaging Philanthropy

By Dan Hymowitz
Context and Significance of the Liberia Philanthropy Secretariat Launched in April 2009, the Liberia Philanthropy Secretariat is a unit housed within the Office of the President of Liberia that facilitates the work of external foundations and philanthropists. While many developing countries have government offices that seek to coordinate the funding of external donors, Liberia is the first in the world to establish an office that focuses exclusively on this distinct group of funders. The creation of the Philanthropy Secretariat comes at a time when the role of non-traditional donors, such as foundations, in developing countries is expanding. Over 80 percent of the developed worlds economic engagement with developing countries comes in the form of philanthropy, remittances, and private capital investment. Philanthropy from the United States to developing countries continues to increase and was estimated at $39 billion in 2010. This figure is significantly more than any bilateral donors Official Development Assistance (ODA), except for the United States itself. 1 To date, philanthropy has mainly operated independently from the principles articulated by the aid effectiveness movement, which is increasingly guiding how bilateral and multilateral donors approach development assistance. These principles, initially set out in the 2005 Paris Declaration, include alignment of aid behind developing country priorities and making use of a countrys own plans, policies, and systems; donor coordination to create efficient programming and to avoid duplication of efforts; and striving for high levels of transparency and accountability on the part of both donors and host countries. While some raise concerns about international philanthropys independence from these principles, others see drawbacks to foundations behaving more like traditional donors. Liberias Philanthropy Secretariat is an innovation that is attempting to navigate a course between these two views. The secretariat seeks, on the one hand, to encourage foundations to voluntarily move toward Paris Declaration principles of aligning with country priorities, harmonizing their support, and providing greater transparency about their work. It simultaneously recognizes that foundations and philanthropy (much of

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1 Center for Global Prosperitys 2012 Index of Global Philanthropy and Remittances

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which is coming from the United States and Europe) are distinct from traditional donors. The secretariat therefore attempts to tailor its approach and services to philanthropys unique characteristics, which include both strengths such as speed and nimbleness, flexibility, and a willingness to take risks, and challenges such as a tendency not to have in-country offices. The lessons learned from this experience are of utmost relevance to transatlantic foundations and philanthropists, to traditional government donors who are increasingly thinking about partnerships with philanthropic actors and to developing country governments who engage with external donors. This paper reflects on the experience of this new office, concluding with an analysis of what factors may be relevant to establishing a similar coordination mechanism outside of Liberia as a means to strengthen transatlantic philanthropys engagement in developing countries. The Philanthropy Secretariats Origins The Philanthropy Secretariats beginnings should be considered within the context of Liberias recent history. In 2003, Liberias 14-year civil conflict came to an end. The war killed an estimated 270,000 people while devastating the countrys economy, infrastructure, human capital, and systems of education and health. Liberias GDP dropped 90 percent between 1987 and 1995, one of the largest economic collapses ever recorded. Following two years of transitional government, Liberians elected Ellen Johnson Sirleaf, who took office in January 2006 as Africas first-ever elected female head of state. The international community eagerly supported President Sirleaf and Liberia. While bilateral and multilateral actors such as the U.S. government and the World Bank delivered the greatest volume of aid to Liberia, a number of transatlantic foundations and philanthropists also emerged as active partners. On September 22, 2008, President Sirleaf and George Soros co-convened the first Liberia Foundations Meeting at the Open Society Institute, which brought together senior Liberian government and foundation officials. Several key results and themes emerged from this meeting. There was a commitment from the foundations to continue to support Liberias development. However, many of the philanthropists present also expressed frustration about the challenges of working in Liberia. Some described it being difficult to
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know how to access information from the government to enable support for sectors of interest. Relatedly, several participants noted the challenge of communicating effectively with contacts in Liberia given barriers such as limited internet and email access. In addition, a number of foundation representatives seemed surprised to learn about other philanthropic actors seeking to support similar initiatives in the same sectors. As a result of these themes, a final meeting outcome was an agreement that the government of Liberia (GoL) would seek to establish a mechanism to facilitate the work of foundations in Liberia. In the days following the Liberia Foundations Meeting, the GoL and several of the countrys philanthropic partners2 announced a Coming Together for Liberias Future Commitment at the Clinton Global Initiative. This commitment was to establish a new model for donorinvestor-government collaboration in countries in transition, to spur greater cooperation among private funders, and to mobilize private resources to support Liberia. From here, The Liberia Reconstruction and Development Committee (LRDC) secretariat, the Liberian Governments primary donor engagement office, began to shape the concept of this foundation facilitation mechanism.3 The LRDC secretariat, with valuable support from several foundations, developed a framework for a proposed Philanthropy Secretariat that would seek to: Improve the quality of foundation- and philanthropist-supported activities in Liberia through approaches including facilitating more effective foundation collaboration through better information sharing between GoL, NGOs, and the foundations and among the foundations themselves, and by enhancing alignment between foundation activities and Liberias Poverty Reduction Strategy (PRS). Expand both the number of private philanthropic institutions and individual philanthropists supporting work in Liberia and the scale of the efforts of foundations that are already working in the country.

2 These included Humanity United, NoVo Foundation, the Daphne Foundation, the Global Philanthropy Forum, the McCall MacBain Foundation, and TrustAfrica 3 The author was involved with the process of shaping the concept of the Philanthropy Secretariat and served as the offices Program Manager from April 2009 July 2011.

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Functions of the Philanthropy Secretariat While this paper focuses on the lessons learned from the Philanthropy Secretariat to date, it is worthwhile to briefly list the core functions of the Philanthropy Secretariat during its initial years:* 1. Improving the Quality of Philanthropic Support Information Gathering and Sharing Develop and maintain a Philanthropy Secretariat website that enables information sharing among foundations Convene conference calls with foundation representatives providing updates on foundation-funded activities in the country Meet directly with representatives from Liberias partners foundations at least twice a year Liaising with Liberian NGOs Educate Liberian NGOs on how to improve their engagement with philanthropists and foundations through focused workshops and other methods Identify high-quality Liberian NGOs that represent promising prospects for partnering with foundations Strengthening the Government of Liberias Engagement with Philanthropy Work directly with government bodies to strengthen their project design and proposal drafting capabilities 2. New Opportunities and New Foundations Outreach to New Philanthropic Actors Build relationships with philanthropy affinity groups and associations to allow the secretariat to promote its own work and to build Liberias network of funders Provide documents, contacts, and information relevant to the interests of philanthropists Philanthropy Convenings Organize an annual Liberia Foundations Meeting in New York to build cohesion and interest amongst Liberias foundation partners Convene an annual Philanthropists Visit allowing new foundations to learn about funding opportunities in Liberia
* This lists some but not all of the main activities conducted by the Philanthropy Secretariat during its first two years.

A small and basic structure was proposed for the office. The unit would be housed within the Office of the President and headed by the minister of state without portfolio. The Philanthropy Secretariat would initially employ two full-time staff, including a program manager who would serve as the primary link between the government of Liberia and the foundations. In early 2009, a group of five philanthropic organizations including the NoVo Foundation, Humanity United, the Daphne Foundation, and the McCall McBain Foundation agreed to co-finance the Philanthropy Secretariats operations. With buy-in and committed support from this core group of foundations, the Liberia Philanthropy Secretariat officially launched on April 1, 2009 as the worlds first national-level office dedicated to facilitating the work of philanthropy. The unit was initiated as a three-year pilot program during which stakeholders would evaluate whether or not to continue.
Lessons Learned The Philanthropy Secretariat remains a relatively new innovation. However, it is worth examining what the offices achievements and challenges have been during its first few years as well as what lessons have been learned.

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One of the secretariats core objectives has been to expand the number of private philanthropic institutions and individual philanthropists supporting work in Liberia. By the end of its first two years, the Philanthropy Secretariat had facilitated an estimated $16,393,654 in philanthropic commitments and disbursements,4 and 13 foundations had made firsttime grants in the country. These new funders ranged from small family foundations to some of the worlds largest grantmakers, including the Bill & Melinda Gates and Rockefeller Foundations. One tool the secretariat used to encourage new funders to begin supporting projects in Liberia is an annual group visit of philanthropists to the country. The first such trip, in February 2010, resulted in a total of $834,904 in commitments and disbursements of grants and social investments.
Strengthened Quality of Philanthropic Support Support for the Poverty Reduction Strategy and Liberian Entities Secretariat Successes Facilitation of New Philanthropic Support and New Funders

Shortly after its launch, the secretariat realized that a key barrier to increasing support for Liberian NGOs from U.S.-based philanthropic actors was the lack of viable channels through which to provide this assistance. To help address this, the secretariat worked toward establishing partnerships with several U.S. 501(c)(3) fiscal sponsors. Since fall 2009, the secretariat has gone through several rounds of screening of Liberian NGOs to identify top organizations with the potential to benefit from these sponsorships. During the Philanthropy Secretariats first two years, 11 grants were made by philanthropic funders directly to Liberian NGOs using fiscal sponsorships that the secretariat helped to establish. As a government office, the secretariat has also attempted to encourage philanthropic support for Liberian government entities. From the start, the secretariat recognized that there would be a limited number of cases where this would be feasible, given that foundations typically fund non-governmental organizations. While the number of successes in this area is fewer, there are several notable achievements including new partnerships between the Bill & Melinda Gates Foundation and the Monrovia City government, the Rockefeller Foundation and the government-run University of Liberia, and Chevron and the governments JFK Medical Center.
Harmonization of Foundation Support

In addition to increasing the actual quantity of philanthropic support flowing into Liberia, another core objective of the Philanthropy Secretariat is to improve the quality of foundation and philanthropistsupported activities in the country. The secretariat has sought to achieve this by encouraging more direct philanthropic partnerships with Liberian entities both Liberian NGOs and Liberian government offices with the aim of expanding foundation support for the Poverty Reduction Strategy. This effort has been made in the spirit of the Paris Declaration principle that developing countries should set their own priorities for development. The secretariat has achieved successes in this area.

4 The secretariat determined that it helped to facilitate a grant or investment if at least one of the following criteria was met: The secretariat provided advice or guidance to the funder at some point before the grant was officially committed to The secretariat played a key role in introducing the funder to Liberia or to the particular grantee The secretariat provided support to the grantee during the grant application process that helped the grantee to successfully secure that grant

Another component of the Philanthropy Secretariats attempts to strengthen the quality of foundations work in Liberia was to improve information sharing, with the targeted result of spurring new collaborative grants amongst Liberias philanthropic partners. In line with Paris Declaration principles, more harmonized funding brings numerous benefits, including decreased burdens on implementing entities. There are several notable examples of the secretariat spurring more coordinated financing. The annual Liberia Foundations Meeting, organized by the secretariat, has served as a forum for foundation peer-to-peer learning. The Hess Foundations discussion of the Presidents Young Professionals Program (PYPP) at the 2009 Liberia Foundations Meeting helped drive new funder interest in and support for this program. Several Liberian NGOs have benefitted from co-funding from philanthropists as a result of being
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Inside the Process around a Secretariat Success While this section attempts to describe positive results from the secretariats first years of operation, it is worth highlighting the process behind one of these successes as a way to provide additional insight into the secretariats role. The Philanthropy Secretariat facilitated a five year, $5 million grant from the Bill & Melinda Gates Foundation in support of the Monrovia City Corporations (MCC) Improved Primary Solid Waste Collection in Poor Communities of Monrovia (IMPAC) initiative. A look at the steps leading up to the moment where the Gates Foundation finalized its commitment to this project is illustrative: The Special Initiatives Unit of the Gates Foundation and the Philanthropy Secretariat held initial exploratory conversations twice in early 2010. The head of the Philanthropy Secretariat, Hon. Natty B. Davis, provided a number of ideas around possible city-level services and initiatives that could have been an appropriate fit for this Gates Foundation effort. In April 2010, the MCC submitted the first draft of its project proposal and on April 21 the Gates Foundation responded with an extensive series of questions and comments. On May 10, the Gates Foundation emailed MCC stating that the MCCs possible grant would be in jeopardy if MCC did not submit a second draft of the proposal by the May 11 second draft deadline. Between May 11 and May 14, the secretariat began to work with the MCC on its proposal and held several conversations with the Gates Foundation on the situation. Given the extensive amount of work that was still required to revise the proposal before the May 26 final submission deadline, the secretariat recommended to the MCC that it hire a consultant to assist with this effort. The secretariat identified a Liberian consultant to work closely on the grant proposal with the MCC technical lead. The MCC, with the support of the consultant, submitted its final project proposal to the Gates Foundation before the submission deadline and received word in July 2010 that its grant proposal had been approved. A few points are worth highlighting about this sequence of events. First, there was value in the secretariats role at the start of the process as it engaged the Gates Foundation in a high-level strategic discussion about how to structure this particular initiative in Liberia. Second, it is important to note how the secretariat was useful during the points in the process in which the MCC struggled in its engagement with the Gates Foundation. The secretariat offered support in terms of actual communication with the Gates Foundation at critical moments when there were communication challenges. In addition, the secretariat was useful in helping to identify where the MCC needed additional support. In this scenario, it was clear that the MCC possessed the technical expertise to complete the grant proposal. However, assistance was needed with the actual drafting and structuring of the proposal. The secretariat helped the MCC to identify a consultant to support the MCC with these specific functions.

featured during the secretariat-organized Philanthropists Visit. One NGO, Touching Humanity In Need of Kindness (THINK), received a collaborative grant from seven different foundations and individuals to build a new THINK-operated safe house for victims of gender-based violence. Another, the West Point Women for Health and Development (WPW), received grants from several participants in the 2010 Philanthropists Visit.
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While there have been successes in this area, the Challenges section of this paper will describe the limitations of the secretariats progress in this area.
Additional Areas of Secretariat Progress Philanthropic Support Included in GoL Aid Data

The secretariat worked with foundations to gather information on their support in Liberia. As a result, the aid annex to Liberias 2010-2011 national budget

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for the first time included data on foundations expected assistance to Liberia in the upcoming year. While this information was less comprehensive than would have been ideal, it represents an important step toward the aid effectiveness principle of increased transparency from all donors.
Serving as a Resource to Current Foundation Partners The secretariat spent roughly 20 percent of its time during its first two years serving as a resource to Liberias current and potential new philanthropic partners. This function involves a range of services. For example, the secretariat responds to foundation requests for contacts (typically GoL or NGO) in sectors of interest to the foundations. Another example is support the secretariat provides for foundation representative visits to Liberia. While the impact of this fundamental aspect of the secretariats day-to-day work is difficult to quantify, anecdotal evidence from Liberias philanthropic partners suggests that the foundations feel that this is a vitally important and helpful element of the secretariats work. Enabling Partnerships Between Foundations and Civil Society The Philanthropy Secretariat has conducted a number of capacity building efforts with Liberian NGOs. For example, in conjunction with the 2010 Philanthropists Visit, the secretariat provided extensive hands-on support to civil society organizations that were beginning to build relationships with prospective philanthropic funders. In some cases, the secretariat helped NGOs design projects and offered assistance in specific areas such as developing budgets for grant proposals. Results from the secretariats work in this area can be seen in the number of new direct grants made from foundations to Liberian NGOs, mentioned earlier in this section. The secretariat has also supported NGOs by providing training and preparation for their engagement with foundations and philanthropists. For example, the secretariat conducted a workshop for NGOs prior to the 2011 Philanthropists Visit. The workshop presented guidance on issues such as how to most effectively structure a site visit and how to prepare for typical questions asked by external visitors. The secretariat provided similar one-on-one training and preparation for various NGOs throughout the course of the year prior to other philanthropists and foundations visits to Liberia.
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Establishing the Philanthropy Secretariat as an Institution The secretariat is both a young institution and the first of its kind in the world. Given these two factors, the secretariat dedicated significant time in its first and second years to designing and reshaping the structure of the office, hiring staff, and developing and installing administrative systems for the unit. The secretariat began as a one-person office and today is a team of five programmatic staff. Additionally, the secretariat initiated a process to think through the offices sustainability beyond the end of its three-year pilot phase in March 2012. Secretariat Challenges The Philanthropy Secretariat is a new model for how developing governments engage with external funders, which is presently without parallel elsewhere in the world. Naturally, the secretariat has encountered challenges. This section attempts to categorize some of these difficulties, in part for the purpose of learning from the secretariats experience to date. Challenge 1: Coordination and Leadership of Foundations The coordination of foundation activity in Liberia may be considered in terms of a) increasing alignment of philanthropic support for Liberian priority sectors/projects, and b) reducing transaction costs through expanded collaboration between foundations. To achieve these objectives, the Philanthropy Secretariat had to weigh to what extent it should attempt to actively coordinate the funding of foundations in Liberia. In line with Paris Declaration country ownership principles, it is tempting to suggest that the secretariat should seek to direct foundation support. However, in reality, the secretariat found that some foundations are eager for guidance from the secretariat while others are reluctant to have a government office steering their philanthropy. Given this variance, the secretariat experimented with different approaches. The Leadership Approach In some cases, the secretariat has undertaken a more assertive leadership approach in its interactions with foundations, such as when it selected themes for the annual Liberia Foundations Meetings. The 2009 Foundations Meeting focused on agriculture, while the 2010 gathering explored a particular initiative of Liberias JFK Medical Center. In 2009, by the end of the meeting, a number of the attending foundations jointly pledged to support a project

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that the minister of agriculture had articulated as a priority. However, in 2010, the JFK Medical Center project garnered less interest from meeting participants. The secretariat has also employed this leadership approach in designing the itinerary for the first two annual Philanthropists Visits to Liberia. In effect, the secretariat, in defining the agenda for these events, is encouraging philanthropic support for particular sectors and organizations. Some of the organizations featured during these visits have subsequently received support from foundations, while others have not. The secretariat has found that it has only a modest ability to guide foundations subsequent funding decisions following these visits. The Matchmaker Approach The secretariat has also initiated less assertive approaches to encouraging coordination amongst foundations such as a collaborationemail aimed at sharing information on projects that foundations were already considering supporting in Liberia. Unlike in the leadership approach examples described above, in the collaboration email, the secretariat did not itself propose particular sectors or projects to support but rather attempted to serve as a neutral facilitator of information sharing. This too yielded only a modest response from foundations. Peer information sharing another softer approach at the annual Foundations Meeting has led to a few examples of new collaborations. More generally, on a case-by-case basis, the secretariat has taken guidance from foundations on what their particular areas of focus are and, working from that point, assisted the foundations during their information gathering processes. For example, if a foundation articulates that it is interested in supporting capacity building initiatives, the secretariat might advise the foundation on some of the programs operating within that space (e.g. the Scott Fellows or Presidents Young Professionals Programs). Lessons Learned The examples described above illustrate that the secretariat has some, but not complete, influence over foundations decisions to support particular sectors or projects. The commitments of support to the main agriculture project featured at the 2009 Liberia Foundations Meeting as well as the grants to a number of the NGOs highlighted during the Philanthropists Visits show that, in certain contexts, a more assertive approach from the secretariat can be
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effective. However, the counter-examples noted above are also instructive. In general, the secretariat has tried to be strategic about trying to find matches between Liberias needs and the philanthropic objectives of the countrys foundation partners. For now, Liberias challenges are vast and varied enough that there are still numerous PRSaligned investment opportunities in most sectors. When the secretariat adopted a Leadership Approach, it seemed to be more effective when it included foundations early in this process and ensured at least a modest level of initial foundation enthusiasm for the particular issue area. Harmonization of philanthropic activity in Liberia is an issue that President Sirleaf herself has emphasized and is an area where there remains room for improvement. To date, despite a few examples of new foundation collaborations that have emerged with assistance from the secretariat, it is not clear whether there is a particular technique or mechanism that can help the secretariat achieve this result on a more consistent basis. Challenge 2: Engagement and Outreach While the secretariat has succeeded in attracting new foundations to Liberia, there is an opportunity for greater success in this area. The secretariat has sought to engage new funders primarily through a) hosting visits of foundations and philanthropists to Liberia, b) occasionally travelling to the United States and elsewhere to attend meetings with foundations, and c) convening the annual Liberia Foundations Meeting. However, there may be room for a more systemized strategy. Furthermore, there are a variety of additional methods that the secretariat may want to consider. For example, should the secretariat focus its outreach efforts on transatlantic foundations (the traditional sources of the majority of philanthropic funding) or should it look to partner with funders from other parts of the world (where growth potential may be higher)? Challenge 3: Limits of the Secretariats Role? When engaging with either current or new potential funders, the secretariat was initially envisioned to serve as a gateway to Liberia. The concept was that the secretariats primary responsibility would be to provide initial information to foundations on issues of interest. However, in reality, the secretariat has often found itself compelled to be involved in a much more sustained way beyond these early interactions with funders. This engagement resulted in a

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significant strain on the secretariats staff time, particularly in its second year. Lessons Learned While there may not be any quick fixes for the Philanthropy Secretariat in this area, there are a number of approaches that the secretariat has used to respond to this challenge. Identifying Capacity Challenges Early On: This strategy is encapsulated in the secretariats approach to selecting the NGOs to be featured in the 2011 Philanthropists Visit. Unlike in 2010, the secretariat devised an extensive application form for NGOs interested in being featured on the trip. This enabled the secretariat to identify in advance which NGOs would be more likely to be able to manage their ongoing interactions with philanthropists without hands-on support from the secretariat. Additional Support In Special Cases: Though the secretariat does not have the capacity, staff, or resources to be engaged with the implementing NGO or government entity throughout the course of a project, the secretariat has piloted a more involved approach in a few special cases. For example, the secretariat developed a Memorandum of Understanding with the Monrovia city government to allow for the secretariats ongoing support to the city during its implementation of the IMPAC initiative. above. At the same time, in these and other scenarios, there remains the challenge of the secretariat becoming drawn into lengthy interactions between foundations and government offices that, ultimately, need to remain the primary responsibility of the relevant line ministry or agency. Beyond Liberia Building off the lessons learned from the Liberia Philanthropy Secretariat, this section proposes the most relevant factors for an office like the secretariat to be created in another country.5 This should be of great interest to transatlantic foundations, who could benefit from (and likely be instrumental in) the establishment of similar Secretariats in countries of interest; to official transatlantic donors, who are increasingly engaging with foundations and philanthropists and may find such Secretariats a to be a useful mechanism for more effectively shaping these partnerships; and to developing country governments who have an interest in strengthening the quality and quantity of philanthropic support in their countries. Existing External Foundation Interest in the Country There is a strong case to be made that it was the election of President Sirleaf that galvanized the interest of international funders in Liberia. Without this initial enthusiasm from philanthropists, it is unlikely that the events of 2008 and 2009 that led to the establishment of the Philanthropy Secretariat could have taken place. As discussed below, there is also a need for champions within a country itself to create a mechanism to engage philanthropic funders. In general, at a minimum there would have to be a base of interested foundations from which to start; a group that is enthusiastic and committed at least in the medium term to that country. This does not necessarily mean that a country needs to have a unique and dynamic president, as is the case in Liberia. There may be another factor or factors that are generating initial external interest in that country, as is the case today with Haiti, for example. A Credible Champion within the Country Itself There were a number of factors about the Liberian government itself that enabled the establishment of the Philanthropy Secretariat, such as a dynamic and internationally respected leader and an Executive Branch that, generally
5 To a greater extent than in earlier sections of this paper, this section represents the authors opinion. Furthermore, since this analysis is built off an examination of a particular pilot program in one country, there is certainly room for debate about the ideas presented here.

Challenge 4: GoL Successes and Challenges As described previously, the Philanthropy Secretariat has achieved several significant successes in strengthening interactions between GoL entities and foundations. However, the record here is mixed, and the secretariat has also sometimes struggled to successfully assist interactions between GoL ministries and agencies and foundations. In two specific instances, potential grants to Government of Liberia ministries were withdrawn due to foundation dissatisfaction with their interactions with that ministry. Both of these situations occurred despite the Philanthropy Secretariats support to the ministries during this process. In response to this challenge, the secretariat created a new staff position focused on strengthening GoL engagement with philanthropy. The presence of the GoL Liaison on the secretariat team better positions the secretariat to more actively engage in situations such as those described
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speaking, was extremely open to engaging and collaborating with outside partners. However, perhaps nothing was more central to the launch of the Liberia Philanthropy Secretariat than having a government champion of the concept the Minister of State without Portfolio, Natty B. Davis who possessed a unique combination of skills and traits. It would be important for an analogous champion of a Philanthropy Secretariat in another country to possess several key traits and areas of expertise: A thorough understanding of the complicated relationship between the government and its donor partners. An understanding though not necessarily a deep expertise of how foundations are distinct from other types of donors and of how foundations typically engage (or are reluctant to engage) with developing country governments. Be well respected by the donor community and be viewed as someone who has a deep understanding of the country, is ethical, and knows how to speak the language of external partners. Be a steward or protector of the Philanthropy Secretariat more than the day-to-day manager of the entity. This person must be able to insulate the office from political pressure and to deflect potential obstruction from other government ministries and agencies. Preferably, possess a broad and balanced knowledge of multiple sectors and would be able to serve as a neutral facilitator between philanthropists and stakeholders in different issue areas. the donor landscape,meeting with a variety of stakeholders including on-the-ground implementing partners, and detecting potential risks. Gathering the relevant information needed to accomplish all of these things before, during, and after visits to countries can be extremely challenging. Fundamentally, the foundations would need to believe that this relatively basic innovation an on-theground office dedicated to supporting foundations work in that country has the potential to strengthen the effectiveness of their support. Interest in Engaging Philanthropy from within the Country There must be an interest from within the government in trying to engage philanthropy and a belief in the potential value of establishing a Philanthropy Secretariat. It is highly unlikely that there would be a broad movement from within a particular country to launch a Philanthropy Secretariat. But in order to allow an office like this to incubate, there would need to be one or more senior officials within that country perhaps the same person as the champion described above who views either potentially increasing the amount of philanthropic support coming into the country or improving the quality of foundation support as worth pursuing. Characteristics of the Countrys Government Some have suggested there was a unique opportunity to establish a Philanthropy Secretariat in Liberia given the countrys political leadership. The jury is still out on this question. While having a president as charismatic, knowledgeable, and respected as Ellen Johnson Sirleaf was certainly a powerful enabling factor, a countrys government does not necessarily need an exceptional president. Rather, a government that possesses at least several of these factors has potential to host a Philanthropy Secretariat: Democratic governance structure; A mechanism in place that targets corruption or senior government leadership that is viewed as a strong voice against corruption; Respect for and commitment to uphold human rights; Perception from the international community that the government is serious and focused on poverty reduction or least that there is some credible senior government leadership in place; and

Foundations Belief in the Value of a Philanthropy Secretariat Foundations would need to believe in the value of establishing a Philanthropy Secretariat. In an ideal scenario, foundations might be able to effectively operate in a country without a special office dedicated to supporting their work. In reality, perhaps the most likely and fundamental reason that a philanthropy engagement office would be needed is to bridge an information gap. In most cases international foundations do not operate offices in developing countries and they therefore can find themselves relying on brief visits to countries to achieve a great deal: identifying strategic funding opportunities, understanding
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An appetite for partnering with external actors, including foundations. Factors for Further Consideration The factors described above are the authors opinion about what would need to be in place in order to establish a Philanthropy Secretariat outside of Liberia. However, there are a variety of other important considerations worth mentioning, some of which are very much open for debate. The Profile of the Country Itself This is a complicated question and further investigation is needed. Some have posited that the Philanthropy Secretariat is a model best applied in post-conflict countries. Relatedly, some have suggested that the approach could work in countries in transition. Others believe the Philanthropy Secretariat model could be considered more broadly and could be effective in a variety of developing countries in Africa and beyond, and is not only a potential fit for post-conflict or post-stress nations. This is a difficult question that begs further research and analysis. Regional not National Some have also suggested that the Philanthropy Secretariat could in fact be applied at the regional rather than the national level. For example, one could imagine a Horn of Africa Philanthropy Secretariat that could serve as a gateway for philanthropy in a group of countries. There are several possible advantages to this approach. There are economies of scale gained from an office that focuses on several rather than just one country. This approach could also be beneficial to facilitating grants and partnerships that extend across borders when appropriate. A regional Philanthropy Secretariat could also have drawbacks such as questions about the offices ownership and a diminished ability to provide links between foundations and the governments in that region. Inside or Outside Government A key structural question that has been raised about the Liberia Philanthropy Secretariat is whether it must be permanently housed within government. In Liberia, the plan is to continue operating the office from within the Office of the President. However, one could imagine a number of different scenarios in other countries tailored to particular circumstances in those places. For example, in some countries, perhaps it would make sense to create a Philanthropy Secretariat that is at least semi-autonomous
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from government. If one accepts the idea of these alternate versions of the model, one can envision Philanthropy Secretariats being incubated in a far greater number of countries. The worlds first Philanthropy Secretariat has been a promising innovation for donors and for Liberia. The secretariat is worth continuing to explore as a possible mechanism to strengthen the efforts of philanthropy in other countries, as official and philanthropic donors and governments strive to work together toward more effective aid and elevated development outcomes.

About the Author

Dan Hymowitz was the Program Manager of the Liberia Philanthropy Secretariat from its launch in 2009 through mid-2011.

About GMF
The German Marshall Fund of the United States (GMF) is a nonpartisan American public policy and grantmaking institution dedicated to promoting better understanding and cooperation between North America and Europe on transatlantic and global issues. GMF does this by supporting individuals and institutions working in the transatlantic sphere, by convening leaders and members of the policy and business communities, by contributing research and analysis on transatlantic topics, and by providing exchange opportunities to foster renewed commitment to the transatlantic relationship. In addition, GMF supports a number of initiatives to strengthen democracies. Founded in 1972 through a gift from Germany as a permanent memorial to Marshall Plan assistance, GMF maintains a strong presence on both sides of the Atlantic. In addition to its headquarters in Washington, DC, GMF has seven offices in Europe: Berlin, Paris, Brussels, Belgrade, Ankara, Bucharest, and Warsaw. GMF also has smaller representations in Bratislava, Turin, and Stockholm.