THE CODESRIA ENDOWMENT FUND
Why an Endowment Fund?
As a non-profit organisation, CODESRIA runs on a budget that is financed largely by international donors. However, over the years, the environment of research funding has become increasingly more difficult and unpredictable. Essentially, donors are increasingly supporting specific projects only and programmes that adhere to their priorities or those of their governments or founders.
Without doubt, an endowment is not just an option, but an absolute necessity for CODESRIA. By having this resource, CODESRIA’s members can be assured of the financial security and the intellectual autonomy of the organisation, and the continuity of the Council extending beyond the mandate of the executive committees, senior staff and Executive Secretariat.
Importance of the Fund
To enable the Fund to have a significant impact, it must ensure an income stream that can support institutional programmes. For this reason, the Council seeks to raise USD 30 million over the next five years. Only the interest and other income generated by investment funds will be made available to the Council to finance its activities. The capital will be collected and locked in the fund and will not be released without a resolution of the General Assembly at the request of the Executive Committee.
Management of the Fund
The Endowment Fund will be managed by a Board comprising independent individual members with expertise in economics, finance, technology and banking. The Council will be nominated by the CODESRIA Executive Committee and will operate under its general supervision. All investment decisions will be the responsibility of the Council. The day-to-day matters of the Fund will be housed by a Director in the Office of the Executive Secretary.
As a first step in launching the Fund, CODESRIA has decided to consult its members before submitting a funding application to one of its funders. CODESRIA has asked its members to be generous in their contributions to the Fund, so that the amount collected by the Board provides some bargaining power when addressing the institutional donors and other potential funding sources.