Funding & Fundraising Watch — Week of August 15, 2025 (& What it means for your pipeline)

Global humanitarian needs remain sky-high while funding lags. At UN headquarters last week, officials warned that under 17% of the US$46 billion required for 2025 humanitarian operations has actually been received—an unusually severe shortfall this far into the year. UN NewsYouTube

Crises are escalating faster than money is. In Sudan, conflict-driven famine is worsening as rains cut access and markets empty; analysts warn needs could spread across more locations if aid and access don’t improve. Haiti’s UN appeal, meanwhile, is the least-funded plan anywhere—only 9.2% of a US$900 million request—despite spiraling gang violence and displacement. These two emergencies illustrate a broader squeeze on humanitarian budgets. The Wall Street JournalReuters

Bilateral ODA is softening after years of post-pandemic highs. OECD’s preliminary figures show 2024 official development assistance fell for the first time in six years, with bilateral flows to Africa down 1% and to least-developed countries down 3% in real terms. Much of the dip reflects lower contributions to multilaterals and reduced in-donor refugee costs, but it still tightens room for new grants in 2025. OECD+1ONE MP

Policy headwinds are sharpening. In the US, the proposed Rescissions Act of 2025 would cut around US$7.9 billion from foreign aid. Parallel legal developments have fueled debate over executive authority to withhold appropriated aid, adding uncertainty for implementers planning multi-year programs. The net effect is a more volatile pipeline for development and humanitarian financing. USAFactsVox

The UK is trimming bilateral spend even as it issues targeted crisis allocations. FCDO plans point to a 12% cut to bilateral aid to Africa in 2025–26, even while London announced an additional £8.5 million for Gaza last week. Expect more micro-pledges within a macro-constrained envelope. Context Newsdonortracker.org

Multilateral replenishments are holding the line but not fully closing gaps. IDA21 is set at “up to” US$100 billion after donors pledged US$23.7 billion—solid, but below advocacy hopes given mounting debt and climate pressures on low-income countries. Some donors, like Ireland, have increased IDA contributions materially, yet overall concessional firepower still trails needs. World Bank+1brettonwoodsproject.org

For fundraisers, topline giving looks better—but the donor base is thinning. Giving USA reports U.S. charitable giving rose to US$592.5 billion in 2024 on the back of market gains, and Q1-2025 data show dollars up 3.6% year-over-year. Under the hood, fewer small donors are giving, and growth is concentrated in larger gifts, pushing nonprofits to double down on monthly giving, personalization, and digital-first cultivation to stabilize revenue. Giving USALilly Family School of PhilanthropyAssociation of Fundraising Professionals+1nonprofitresourcehub.org

Sector sentiment is mixed but adaptive. Analysts note that even with 2024’s rebound, 2025 is proving tougher for everyday fundraising as households absorb inflation and policy noise. Philanthropic institutions are also recalibrating—some launching sizable endowments aimed at long-term community power, others facing mission and optics pressures in today’s politicized climate. The Chronicle of PhilanthropyAP NewsVanity Fair

What this means for your pipeline right now: assume longer decision cycles and more restricted bilateral envelopes; anchor growth in recurring giving and major-gift pipelines; and keep a close watch on policy moves in Washington and London alongside multilateral windows like IDA21 where co-financing can stretch bilateral cuts. For humanitarian appeals, articulate operational access, cost-efficiency, and near-term lifesaving impact with unusual clarity—competition for limited flexible funds is intense. USAFactsContext NewsWorld Bank

 References

• Anadolu Agency. (2025, August 7). UN warns about alarming 40% drop in humanitarian funding in 2025. SunStar Business. A News

• ALNAP. (2025). The humanitarian funding landscape. ALNAP Global Humanitarian Assistance Report 2025. ALNAP

• ALNAP. (2025). Humanitarian finance in the age of cuts. ALNAP

• OECD DAC. (2025, April 17). What new funding data tells us about donor decisions in 2025. The New Humanitarian. The New Humanitarian

• Reuters. (2025, August 12). UN’s Haiti appeal has received lowest funding of any response plan, coordinator says. Reuters

• Wikipedia. (2025). Rescissions Act of 2025. Wikipedia

• The Guardian. (2025, July 16). What are rescissions—and why does Trump want Congress to push them through? The Guardian

• Washington Post. (2025, August 13). Appeals court says Trump officials can withhold billions in foreign aid. The Washington Post

• AP News. (2025, August 14). An appeals court lets the Trump administration suspend or end billions in foreign aid. AP News

• Vox. (2025, August). A court victory for Trump's foreign aid cuts, briefly explained. Vox

• AP News. (2025, July). What’s in the Republican bill cutting $9 billion from public broadcasting and foreign aid. AP News

• Wikipedia. (2025, Executive Order 14169). Executive Order 14169 (2025 pause on all foreign aid). Wikipedia

• UN OCHA. (2025). Global Humanitarian Overview 2025. UNOCHA