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Charity Scandals in China Blamed for Steep Drop in Donations

June 25, 2012, 9:28 am

Giving in China plunged by nearly 18 percent in 2011, with a raft of scandals involving charities contributing to the decline, according to the state-run China Daily.

Donations by Chinese individuals and corporations dropped from $9.5-billion in 2010 to about $7.9-billion last year, according to the annual report on giving by the Ministry of Civil Affairs.

Song Zonghe, a spokesman for the ministry’s China Charity and Donation Information Center, said financial controversies involving some well-known charities, including the Red Cross Society of China, have damaged public enthusiasm for giving.

The lingering global downturn could also be playing a role, with private companies — which dominate giving in China — donating less as exports decline, said Deng Guosheng, a professor at the School of Public Policy and Management at Tsinghua University in Beijing.

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