It's Better to Give

Buying presents for the kids, the parents and the best friends, the bill can add up. Throw in a financial crisis the budget gets tighter.

They say it's better to give than to receive. But, giving gets tough when outlooks for the New Year are gloomy and bailouts are on top of wish lists. Despite our best intentions, everyone is cutting back. Unfortunately, it's charities that could be getting a lump of coal.

Like most sectors, the non-profit have not been faring well. Everyone, from local food banks to international development projects, is feeling the pinch. It's too early to tell how many donations the season will bring in. If trends continue, they could go the way of the Dow Jones.

That's why, more than ever, the non-profit sector needs support.

Most don't expect non-profits to be affected by the daily whims of the market. The reality is they are being hit hard since their biggest contributors ─ individuals, corporations and governments ─ are looking for ways to cutback.

Individuals watching their savings disappear reassess how much they can give. On top of that, where robust capital gains once offered an incentive to donate for the tax receipts, the trend towards of capital losses is making that motivation disappear.

On the corporate side, many businesses donate a percentage of their profits. These numbers fluctuate year-to-year. But, when companies slip into the red, zero profits mean zero donations.

Governments are seeing red in their futures, too. To keep deficits in check, international aid becomes an easy item to trim. And, the voices calling for an auto bailout are louder than those calling for aid to Africa.

The last 12 months have been defined by three kinds of crises ─ financial, food and fuel. We've felt the sting of this unholy trinity here at home. But, it's the world's most vulnerable who have felt it the more.

Even as the price of oil and grain fall, the financial crisis is resulting in job losses and a decrease in exports from the developing world. More people are looking to charities for aid which is desperately needed due to the imminent threat of starvation, epidemic and poverty. But, the charities are being forced to cut back.

One of the most tragic examples is the World Food Programme. This organization, which provides the most basic sustenance of life, has reassessed its initiatives.

In Zimbabwe, a country now facing a cholera epidemic, the programme has been forced to cutback on rations. In December, about half a million people are expected to go hungry.

Across Africa, they are also cutting food programs for people living with HIV/AIDS. The fear is that malnourishment will worsen the disease and perpetuate the crisis as some women are forced to swap sex for food.

But, it doesn't stop there. When the World Food Programme is forced to leave a community, the hunger remains. And, the burden of supplying food falls on other on-the-ground organizations. Already stretched, they must choose between supplying food and providing long-term poverty alleviation programs like health and education.

In the past few months, we've heard countless news reports how much money and how many jobs the financial crisis in costing our economy ─ all valid concerns for each and every one of us.

But, around the world, this crisis is quite literally costing lives.

That's why, more than ever, the non-profit sector needs you to give. Just because the markets are falling, doesn't mean our compassion should follow.