Harvard University’s fundraising amount for the current fiscal year has dropped by almost 15% compared to last year, marking the largest decline in a decade. The decrease in donations is attributed to some major donors opposing the university’s handling of anti-Semitic incidents on campus, leading them to halt their contributions.
According to the annual financial report released by Harvard University on Thursday, for the 2024 fiscal year ending on June 30, the Ivy League institution received cash donations totaling $1.17 billion, a decrease from $1.38 billion in the previous fiscal year, representing a drop of nearly 15%, the largest since the 2015 fiscal year.
The most affected by the decline was the endowment fund of the university, which decreased by 34% to $368.1 million. However, due to investment returns, the endowment fund itself grew by 9.6% in the current fiscal year. The financial report stated that the endowment fund generated a $2.4 billion investment return, accounting for approximately 37% of the school’s annual revenue, which is crucial for funding faculty salaries, student scholarships, and research expenses.
On the other hand, current-use donations that the university can utilize immediately increased by 8.6% to $527.7 million. Harvard stated that this is the second-highest amount of donations it has ever received in its history.
Harvard University’s newly appointed president, Alan Garber, expressed disappointment in this year’s fundraising results and voiced concerns that it may indicate challenges in future fundraising efforts. He emphasized that the university is still receiving support from some previous commitments, but the financial report underscores the reality of declining donation income and complex economic conditions, which poses great uncertainty for Harvard’s future fundraising endeavors.
The primary reason for the decrease in donations stems from anti-Semitic protests on campus that erupted following the Israel-Hamas conflict in Gaza. The university’s handling of anti-Semitism incidents faced strong criticism, prompting some major donors to cease their longstanding support for the institution.
Israeli billionaire Idan Ofer and his wife Batia Ofer announced last October their withdrawal from Harvard University’s Kennedy School Executive Committee and discontinuation of funding for the university.
Retail industry billionaire Leslie Wexner’s foundation also stated last October that it would sever financial ties with Harvard University, despite having donated over $42 million to the university previously.
Hedge fund billionaire Ken Griffin also suspended his donations to his alma mater Harvard University due to the university’s handling of campus anti-Semitism. Entrepreneur and founder of “Access Industries,” Len Blavatnik, saw his family foundation halt donations to Harvard at the end of last year.
Furthermore, the issues involving former Harvard University President Claudine Gay led to some donors withdrawing their support. She faced severe criticism for her handling of campus anti-Semitism issues and later faced accusations of academic paper plagiarism. The ongoing controversies forced her to resign in January of this year.