Grantmaking in South Asia: Philanthropy in India, Bangladesh, Sri Lanka, and Beyond

South Asia — home to nearly two billion people across India, Bangladesh, Pakistan, Sri Lanka, Nepal, Bhutan, and the Maldives — is a region of extraordinary diversity and complexity. It contains some of the world's largest concentrations of poverty alongside growing middle classes, significant homegrown philanthropic traditions alongside international development assistance, and vibrant civil society in some countries alongside severe restrictions in others. Effective grantmaking in South Asia requires country-level contextual knowledge and engagement with local philanthropic ecosystems.

India: the region's philanthropic powerhouse

India has both ancient giving traditions — dana (charitable giving) is central to Hindu, Buddhist, Jain, and Sikh practice — and a rapidly growing contemporary philanthropy sector.

Scale and growth

Indian philanthropy is growing rapidly: high-net-worth individual giving, corporate philanthropy under the CSR mandate, and foundation grantmaking have all increased substantially. The India Philanthropy Report (Bain & Company) tracks this growth; philanthropy is increasingly professionalised and strategic.

Corporate CSR mandate

India's Companies Act 2013 requires companies of a certain size to spend 2% of net profit on CSR activities. This requirement — one of the first of its kind globally — has significantly increased corporate social investment in India. CSR spending must be on specified approved activities and reported publicly.

Indian foundations

Major Indian foundations include:
- Azim Premji Foundation: education focus; one of the world's largest philanthropies
- Tata Trusts: long history; health, education, rural development
- Rohini Nilekani Philanthropies: civil society, water, arts
- Infosys Foundation: healthcare, education, rural development
- Gates Foundation India programme: health, gender equity, financial inclusion

FCRA and international funding

Foreign funding of Indian civil society is regulated under the Foreign Contribution Regulation Act (FCRA). Organizations must hold FCRA registration to receive foreign grants; FCRA rules have been tightened significantly in recent years, restricting the flow of international funding to many civil society organisations. This is a critical consideration for international foundations working in India.

Bangladesh

Bangladesh has a remarkable civil society sector — forged in the 1971 liberation struggle and developed through decades of NGO-led development. BRAC, the world's largest NGO, is headquartered in Bangladesh. Grameen Bank pioneered microfinance globally.

Bangladesh philanthropy is significantly Islamic-influenced: zakat, waqf, and sadaqa are important giving channels. International development assistance has historically been significant; as Bangladesh has developed, domestic philanthropy is growing.

Civil society space has faced increasing pressure in recent years, including the Foreign Donations (Voluntary Activities) Regulation Act, which restricts foreign funding of civil society.

Sri Lanka

Sri Lanka has a mixed philanthropic landscape — significant Buddhist giving traditions, corporate CSR, and family philanthropy — alongside a civil society sector recovering from decades of civil conflict. Post-conflict reconciliation and development remain important philanthropic themes.

Pakistan

Pakistan has significant Islamic philanthropic traditions — zakat and sadaqa are important. Edhi Foundation is one of the world's largest private welfare organisations. Civil society faces significant political and security challenges; international funding of civil society requires careful legal and security navigation.

Nepal

Nepal has active local civil society — forged in disaster response (particularly the 2015 earthquake) and ongoing development challenges. Buddhist and Hindu giving traditions are important. International NGOs and foundations have significant presence.

Key considerations for international grantmakers in South Asia

FCRA compliance in India

For India specifically: understanding FCRA requirements, working with FCRA-registered partners, and monitoring regulatory changes is essential. Recent FCRA tightening has restricted many international foundations' India programmes.

Partnership with local foundations

South Asian foundations are increasingly sophisticated partners for international grantmakers. Co-funding with established Indian, Bangladeshi, or Sri Lankan foundations — pooling resources, sharing knowledge, reducing administrative burden on grantees — is often more effective than standalone international grantmaking.

Local philanthropic ecosystems

The most sustainable philanthropic investment in South Asia builds local philanthropic capacity — supporting local foundations, giving vehicles, and philanthropy infrastructure — rather than substituting international funding for local philanthropic development.

Gender and equity

South Asia has significant gender disparities — in education, employment, health, and civic participation. Grantmaking that incorporates gender equity analysis and explicitly supports women's rights, economic empowerment, and participation produces more equitable outcomes.

Climate vulnerability

Bangladesh and parts of India are among the world's most climate-vulnerable places — at risk from sea-level rise, cyclones, extreme heat, and monsoon intensification. Climate adaptation is an increasingly urgent philanthropic priority in the region.


Tahua's grants management platform supports foundations with South Asia portfolios — with multi-currency grant tracking, FCRA compliance documentation, partner relationship management, and the portfolio tools that help funders navigate grantmaking in this complex and important region.

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