Hong Kong’s Community Chest feels the pinch as cracks in economy, markets hit donations
HSBC, Cigna are among companies pledging to raise their contributions to social welfare causes next year
Cracks in the economy in recent years have affected donations to the Community Chest of Hong Kong, which collects funds to support various social welfare causes in the city.
The non-profit corporation received HK$220.3 million (US$28 million) in contributions for the year to March 31, a 23 per cent drop from a year earlier, according to its annual report. That is also a 43 per cent slide from before the Covid-19 pandemic in 2019. The Chest had to dip into its reserves to cover a deficit.
Fundraising work has been very challenging over the past two years, a spokesman said. The tough economic environment has had a big impact on charitable giving and donations from corporations have been particularly affected because of a cutback in corporate and social responsibility spending, he added.
HSBC, Cheung Kong Group, The Wharf Group, Bank of China (Hong Kong) and Sun Hung Kai Properties were the top donors during the year. Hang Seng Bank, Biel Crystal, Fuji Photo Products, Tencent Charity Foundation and Microware rounded out the top 10 list.
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HSBC is committed to the welfare of Hong Kong and always ready to support those in need
Founded in November 1968, the Chest raises funds on behalf of 167 member agencies involved in six major areas of services – children and youth, the elderly, family and child welfare, medical and health, rehabilitation and aftercare, and community development.
Economists said a slowdown in the economy and the Hang Seng Index’s struggle over the past two years have hurt companies and individuals alike. Some 44 per cent of businesses have a negative outlook on the city’s economy for the next 12 months, the Hong Kong General Chamber of Commerce said on December 12, the most pessimistic reading in five years.
