A $50m (£35m) matched fund to encourage giving has been set up for Oxford University by an IT entrepreneur, despite the financial downturn.

Dr James Martin will match donations of at least $1m (£685,000) to Oxford University's 21st Century School for a year from 12 March 2009. He helped to set up the school in 2005 with a $100m donation. The interdisciplinary research institute aims to promote collaborations and work on the most pressing issues for the 21st century.

“While we may be distracted by today’s credit crunch, we must not forget the bigger picture – that we need to safeguard a future for the generations that follow us,” said Dr Martin.

This initiative follows the launch of the Campaign for the University of Oxford in May 2008. The university has raised £651m of the total £1.25 bn campaign so far.

“We are indebted to Dr Martin for his confidence in Oxford’s research endeavours focusing on the problems and opportunities now facing humanity,” said Dr John Hood, Vice-Chancellor of the University of Oxford.

For more information on The James Martin 21st Century School Challenge visit the University of Oxford website.