Foundations: Over €1 billion for 22,000 projects

In 2024, banking foundations supported over 22,000 projects throughout Italy, and their grantmaking activity amounted to over one billion euros, a 4.3% increase over the previous year and a new record in the last 14 years. This is what emerges from the Thirtieth Annual Report , which presents aggregate data from the 2024 financial statements of banking foundations, approved by Acri (Association of Foundations and Savings Banks).

"For nearly 35 years, banking foundations have been an important player in our country," said Giovanni Azzone , president of Acri. "And this year too, they are confirming their support for the nonprofit sector and institutions to promote a more cohesive society and generate new opportunities for communities."

Grants made by banking foundations in 2024 totaled €1,092.7 million, a 4.3% increase over the previous year; this is a new 14-year record. The number of initiatives funded in 2024 was 22,299 (+1.4% compared to 2023), with an average amount of €49,001 (€47,654 in 2023). Consistent with previous years, annual grants clearly outweigh multi-year grants (90.8%).

Regarding the amount of individual initiatives, consistent with previous years, annual grants exceeding €500,000 account for 45.8% of the total, those between €100,000 and €500,000 for 25.7%, those between €5,000 and €100,000 for 26.2%, and those up to €5,000 for 2.3%. This last figure, while marginal, highlights the Foundations' commitment to even small third sector initiatives, which nonetheless contribute significantly to the vitality and well-being of their communities.

Regarding the organizations receiving the grants: 80.5% of the resources disbursed go to private non-profit organizations, while 19.5% go to public entities. Ten years ago, the figures were 67.7% and 32.3%, respectively. This confirms that the non-profit sector has become the preferred partner with which the Foundations interact.

Regarding the percentage distribution of grants by source, it is noted that approximately two-thirds are allocated by Foundations for pre-established objectives (25.5% through calls for proposals, 39% through their own projects), while only 35.5% are in response to projects submitted by third parties. Ten years ago, this distribution was the opposite, with grants allocated to third-party projects accounting for 60%. This data highlights a tendency among Foundations to identify specific intervention strategies, selecting the most appropriate instrument (own project, calls for proposals, or support for requests).

It's also significant to note that in 2024, nearly half of foundations' grants (48%) were co-financed with other entities. This figure is constantly and gradually growing: ten years ago, the share stood at 39%. This confirms an increasingly pronounced trend: foundations are not just grantmakers, but also catalysts of resources, capable of activating partnerships and generating leverage for the benefit of local communities.

Regarding the distribution of disbursements by sector of intervention, the seven sectors that have always been the priority sectors remain in 2024. Examining the amounts allocated in each sector in more detail, Arts, Activities and Cultural Heritage accounted for the largest share of resources, €256.5 million (23.5% of total disbursements). This is followed by: Volunteering, Philanthropy and Charity, which received €177.8 million (16.3% of the total); Research and Development, with €131.2 million (12%); Education, Training and Training, with €123.6 million (11.3%); Local Development, with €90.2 million (8.3%); Social Assistance, with €72.2 million (6.6%); and Public Health, with €53.6 million (4.9% of the total). The remaining sectors, which together represent 5.7% of the total amounts disbursed, received a total of 61.7 million euros.

In addition to these areas of intervention, there are two " intersectoral " lines of intervention, which were not considered in the previous ranking, and which require differentiated consideration: the Fund for combating child educational poverty , which accounts for 3% of total disbursements, and the Fund for the Digital Republic , which accounts for 8.5% of total disbursements.

By the end of 2024, in nine years of activity, the Foundations had allocated a total of approximately €795 million to the Fund for Combating Child Educational Poverty. Through the social enterprise Con i Bambini, an implementing entity identified by Acri and 100% owned by Fondazione Con il Sud, the Fund had allocated approximately €479 million in contributions, supported 808 initiatives, and involved approximately 10,000 public and private organizations, reaching more than 500,000 disadvantaged children across the country.

Furthermore, throughout 2024, the Digital Republic Fund continued its work, aiming to select and finance innovative projects capable of addressing digital skills needs and creating a tangible improvement in the working conditions of those involved. The Fund is funded by banking foundations, supported by a dedicated tax credit. From its inception until December 2024, the foundations have contributed over €191 million to the Fund. During the same period, the eponymous social enterprise—created and wholly owned by Acri—used the Fund's resources to publish seven calls for proposals (two of which are still ongoing at the end of the year) and selected 108 projects for a total of €54 million, which will be used to train approximately 44,000 beneficiaries.

Analyzing the sector ranking, we see that in 2024, welfare , which includes the sectors of Volunteering, Social Assistance, Public Health and the Fund for Combating Child Educational Poverty, received a total of 336.9 million: 30.8% of total disbursements.

In 2024, system partnerships continued, i.e., projects of national importance promoted within the Acri framework and implemented in partnerships with groups of foundations. These include, in addition to the two funds mentioned above, the Fondazione Con il Sud, which promotes the activation of civil society in Southern Italy; Ager and Filiera Futura, for research and innovation in the agri-food sector; Progetto Migranti, which supports the work of third sector organizations and NGOs addressing the migration emergency; Per Aspera ad Astra, which provides training in theater professions in prisons; R'Accolte, dedicated to the heritage of nearly 16,000 works from the foundations' art collections; and Conoscere la Borsa, a financial education initiative in schools.

The Thirtieth Annual Report shows that, as of December 31, 2024, banking foundations held book assets of 42,519 million euros , equal to 83.6% of balance sheet liabilities, an increase of approximately 1,329 million euros (+3.2%) compared to 2023.

Foundations' assets total just over €50.8 billion, up 4.7% compared to the end of 2023 (€48.5 billion). The overall asset structure is similar to previous years: tangible assets account for 4.4% and financial assets (including financial receivables and liquid assets) for 95.6% of total assets, figures that mirror those of 2023. Total financial assets also increased by approximately €1,771.4 million, amounting, including fixed and non-fixed assets, to €46.4 billion (€44.6 billion in 2023).

Mission-related investments (MRI), based on the 2023 financial statements, totaled €4,783 million, representing 9.8% of total assets and 11.6% of assets (figures that remain virtually unchanged from 2022). Local development remains the sector in which the Foundations channel the majority of their resources, accounting for 80% of total investments.

From an economic point of view, the 2024 financial year recorded a general growth in revenues , the total of which stood at 2,909.6 million euros, 44.7% more than in 2023.

An examination of the types of revenue shows that, in 2024, dividends amounted to €2,163.4 million (+42.1% compared to 2023): €1,403.2 million of which from banking investments (48.2% of total income) and €760.2 million from non-banking investments (26.1% of total income). This is followed by: management of financial instruments (€538.6 million, 18.5%), asset management (€86.1 million, 2.9%), and other ordinary non-financial and extraordinary income (€121.4 million, 4.2%).

The evolution of the process of divestment of stakes in the transferred banks, which began in the early 1990s, when the Foundations held 100% of the share capital of the banks in which they participated, has led, as of December 2024, to a situation where 85% of the Foundations hold a stake of less than 5% (40 no longer hold any stake, 32 have a stake of less than 5%). Only 9 Foundations hold a stake between 5 and 50%, and 4 hold a stake greater than 50% (in compliance with the legislation, which provides for an exemption from control for small Foundations and those based in regions with special statutes).

The gross return on Foundations' assets for 2024 stands at 6.8%, compared to 4.9% in 2023. Considering the performance of the return on assets and their main components over a long-term time horizon (2000-2024), the impact of the various financial crises that have occurred and how Foundations have managed to weather them thus far is evident. The weighted average gross return on assets over this long time period has averaged 4.9% per year, which is particularly significant, especially when compared with other national and global benchmark indicators.

As for management costs, in 2023 they will stand at 270.7 million euros (316 million in 2023).

The operating surplus for 2024 amounted to €2,098.8 million , corresponding to 5% of the average assets for the period, marking a growth of +59.7% compared to 2023; its incidence on total income rose to 72.1% (it was 65.3% in 2023).

Regarding the allocation of the operating surplus, 68.6% was allocated to institutional activities (€1,439.6 million compared to €896.1 million in the previous financial year); 31.4% (€658.9 million) was allocated to capital reserves.

In 2024, institutional activities were conducted in parallel with asset protection , pursued through prudent investment management and a measured policy of setting aside funds, within the limits permitted by revenue flows, current regulations, and in compliance with disbursement and asset management obligations. The Foundations' consolidated disbursement strategy calls for countercyclical use of the " buffer " represented by the Disbursement Stabilization Fund, which is replenished during periods of higher income and utilized during periods of declining income. At the end of 2024, this Fund reached just under €2.6 billion, which, considering annual disbursements over the last decade, would correspond to approximately 2.5 years of guaranteed institutional activity.

Regarding taxation, adding together balance sheet and withholding taxes , the Foundations' tax burden in 2024 reached €355 million. This figure, which had grown over the last decade due to progressive tax increases, was partially mitigated by a reversal of the trend with Law No. 178 of 2020 (Article 1, paragraphs 44-47), which introduced a 50% reduction in the taxable income on dividends. The resulting tax savings—approximately €244.1 million in 2024—are set aside by the Foundations in a special fund for their grantmaking activities.

At the end of 2024, Foundations employed 1,063 people, with a total expenditure of €84 million. Ninety-three percent of Foundations' human resources are permanent staff, 81% of whom are employed full-time. Regarding gender, female staff accounted for 61% of total employees. The high level of education among staff continued in 2023: 74% of employees hold a university degree.

The Report can be downloaded from the Acri website at the following link .