Surge of Haiti Donations Could Bolster Some International Groups, While Others Struggle to Meet Needs

Last week’s earthquake in Haiti has prompted more than $470-million in private donations, yet most international relief groups are struggling to raise money because of the economic downturn. InterAction, a coalition of aid charities, says the relief and development groups have cut their budgets by roughly 10 percent, on average, this past year.

Charity officials say it is difficult to know whether those cuts handicapped the ability of organizations to respond to the Haiti crisis.

But some do say that the focus on the island nation may come at the expense of assistance programs in other parts of the world.

“With a disaster of these proportions, organizations are going to strip people out of other countries,” says James Bishop, vice president of humanitarian policy and practice with InterAction. “The effect will be, not that the Haiti response is inadequate, but they have to stop doing things in other places.”

First-Time Donors

Charity officials also emphasize that the boon in fund raising will not be felt by all, or even most, international groups. Organizations that do not provide assistance in Haiti will not benefit, though some are trying to build on the spirit of giving generated by the earthquake.

For example, Invisible Children, a group that helps youths in Northern Uganda, has pledged to give $100,000 to a charity providing assistance in Haiti if it wins JP MorganChase’s competition to attract votes on Facebook, which comes with a $1-million prize.

Officials at charities that are assisting in Haiti, meanwhile, say donors’ preoccupation with the earthquake is mostly positive, as it brings in many new supporters who might give again.

“It might be the Haiti crisis that will lead some people to make their first gift, but this gets them thinking about poverty and longer-term development,” says Stephanie Kurzina, vice president of development and communications at Oxfam America.

That was certainly the experience of Catholic Relief Services after the Asian tsunamis; 10 percent of the organization’s current donors first started giving in response to the 2004 catastrophe.

But Michael Wiest, executive vice president of charitable giving, says that while the charity will attract more supporters and that it may get a bump for a few years in its unrestricted contributions as a result, some major donors will probably turn their attention from other parts of the globe to Haiti.

Because fund raising for Haiti has been strong, many aid officials are confident they will have money not just for immediate relief but for the longer-term rebuilding they say is so critical for the impoverished nation.

There is no good estimate yet of how much money will be needed, although the United Nations has asked government donors for $575-million over the next six months. It has received about 25 percent so far.

“It’s going to be a big response, no question,” says Mr. Wiest of Catholic Relief Services. “But will it surpass the tsunami in size? Will it be half that size? We don’t know.”