Q&A: The role of IFCs in supporting cross-border philanthropy

Earlier this year, Philanthropy Impact were a media partner at Jersey Finance’s Private Wealth Conference in London, entitled ‘Reputation as a Strategy’. Here, Joe Moynihan, CEO, Jersey Finance, and Gillian Challinor, Head of Programme/Deputy Director, Jersey Overseas Aid, talk to Philanthropy Impact about the role international finance centres play in supporting cross-border philanthropic objectives…

Q. What role do you believe the financial services industry should play in supporting philanthropy and social impact initiatives?

Joe Moynihan (JM): There is no doubt the financial services industry can play a vital role in supporting philanthropy and social impact initiatives – both as a facilitator and as a catalyst for sustainable change. Few industries are better equipped than finance to connect capital with purpose and by creating vehicles like impact funds and green bonds, financial institutions can help turn that ambition into real, measurable change.

Beyond financial products, the industry can also contribute through advisory and fiduciary expertise, helping individuals, families and corporations structure their giving in ways that are strategic, transparent and aligned with long-term goals. Meanwhile, private banks, wealth managers and asset managers can embed philanthropy and ESG considerations into client conversations, moving social impact to the core of investment strategy.

The financial sector can also play an influential role by leading by example – through corporate giving, employee volunteering and sustainable business practices.

Q. With Jersey being a global finance centre, what specific contribution can it make to international development and crisis response efforts?

JM: Jersey’s role as a global finance centre positions it strongly to contribute meaningfully to international development and crisis response efforts. The Island’s strength lies in its combination of financial expertise, robust regulation and international connectivity, which together can be leveraged for real global impact.

One of Jersey’s biggest contributions is through its expertise in mobilising and managing capital responsibly. The Island’s finance industry already supports international investment flows, including those directed into developing markets, sustainable infrastructure and impact funds. Its experience in structuring cross-border funds and trusts, in particular, can be invaluable in ensuring that impact investments are both efficient and accountable.

By integrating ESG principles, encouraging innovation in sustainable finance and forming international partnerships, the Island can demonstrate how finance centres can make a big contribution to tackling global issues.

Q. How can financial institutions in Jersey align with the Island’s broader commitments to global good, such as those championed by Jersey Overseas Aid?

JM: The same skills that make Jersey a leading finance centre such as structuring, governance, and responsible capital management, can be channelled towards sustainable development goals (SDGs) and projects that deliver measurable social and environmental value.

To support Island financial institutions, in 2023 Jersey Finance launched its SDG Alignment Tool, designed to help businesses understand the impact of their investments and financial activities, while identifying opportunities to enhance their contribution to sustainable development. This initiative also coincided with the publication of our report, ‘SDG Report: Financing a Better World – The Role of IFCs in Achieving the SDGs’, which outlines our perspective on how international finance centres (IFCs) can accelerate the flow of capital towards the UN’s SDGs.

Building on our ‘Jersey for Good’ strategy introduced three years ago, along with our membership in the UN Financial Centres for Sustainability (FC4S) Network and our annual Sustainable Finance Awards, we continue to work closely with financial institutions to ensure Jersey’s commitment to global good remains focussed, credible and unwavering.

It is worth adding that working collaboratively is crucial; Jersey, in particular, benefits from a joined-up approach, supported by a proactive Government already making strides through its Sustainable Finance Action Plan.Ultimately, it’s about demonstrating that Jersey’s financial success and its commitment to global responsibility go hand in hand – showing that finance, when used well, can be a genuine force for good.

Q. Can you give us an overview of Jersey Overseas Aid’s mission, including the regions where it operates and the types of services it delivers? 

Gillian Challinor (GC): Jersey Overseas Aid (JOA) is the Island’s official, government-funded international aid agency. Our mission is simple: to translate the generosity and skills of the people of Jersey into effective assistance for people living in poverty around the world. We do this by partnering with expert NGOs and socially driven private sector actors that can deliver lasting, practical solutions on the ground. 

Our work spans both humanitarian and development assistance; from emergency responses to natural or man-made disasters, to long-term projects supporting farmers, women entrepreneurs, and communities to build more resilient livelihoods. We currently focus on a small number of countries (Sierra Leone, Ethiopia, Zambia, Rwanda, Malawi and Nepal), where we can build deep partnerships and achieve real, measurable impact. 

Q. What role does JOA play in driving positive, long-term change in developing countries? 

GC: We believe the most powerful change happens when it is locally led. That’s why we work with carefully selected partners to fund projects that respond directly to community needs, and we monitor their progress closely. We also believe that, as a relatively small donor, we can be a catalyst and force-multiplier by being targeted about the types of projects we invest in. What that means in practice is that we focus on three main themes where we can have a distinctive and lasting impact: Financial Inclusion, Dairy for Development, and Conservation Livelihoods. 

Across all three, our aim is to help communities build secure and dignified livelihoods while protecting the natural environment they depend on. Whether it’s supporting women entrepreneurs to access credit, improving milk quality and incomes for smallholder farmers, or helping rural communities protect forests and biodiversity, we invest in practical, long-term solutions that strengthen resilience and create opportunity. 

We also increasingly connect Jersey’s professional expertise with our development work through skills-based volunteering. For example, Jersey accountants are providing pro bono financial and governance support to smaller NGOs in low-income countries, helping build local capacity and strengthen financial accountability. It’s a powerful way to harness the Island’s collective skills for the global good. 

Q. How does philanthropy contribute to the success of JOA’s work?

GC: While JOA itself is funded exclusively through public money, philanthropy - both from individuals and foundations - plays a hugely complementary role. Many of our NGO partners combine donor funding with philanthropic investment to scale their impact or test new approaches. 

For example, in Malawi we’ve supported a programme with Opportunity International that helps women farmers access affordable loans and training. Alongside JOA’s grant, philanthropic contributions have enabled the local microfinance institutions to take greater risks, reaching people who were previously excluded from the financial system. 

It’s a great example of how public, private, and philanthropic capital can work hand in hand: JOA de-risks the investment, while philanthropy provides the flexibility and innovation needed to test and scale new approaches. 

Q. What contribution can Jersey make in supporting countries in crisis? And how can the Island’s finance industry play a greater role in global humanitarian efforts? 

GC: Jersey has a remarkable blend of global reach and community spirit. Through JOA, Islanders already play a role in disaster response, from helping earthquake survivors in Turkey and Syria to supporting communities displaced by conflict in Sudan. 

But beyond emergency funding, Jersey’s finance industry is uniquely positioned to address global challenges by harnessing its expertise in investment, governance, and sustainability. Whether through impact investing, blended finance structures, or corporate partnerships with NGOs, the Island’s financial services sector can help unlock capital and innovation which can drive sustainable development. 

JOA’s support of multi-donor pooled funds, like Start Network’s Global Start Fund, also demonstrates how traditional, taxpayer-funded donors, like JOA can collaborate closely with private sector and philanthropic donors. These innovative funding mechanisms – with strong governance and oversight – ensure humanitarian aid is delivered quickly to the best placed actors, reaching crisis-affected populations more effectively.  

We’re also exploring opportunities to leverage climate finance more effectively. Our aim is to ensure that those suffering most from the climate crisis can access the financial support and tools they need to adapt, protect their environments, and build long-term resilience. We’d love to see even more collaboration between the finance and humanitarian worlds, because when Jersey’s financial acumen meets our shared humanitarian purpose, the results can be transformational.