Donors and Ukrainian Organizations: How the Relationship have Evolved During Wartime

The unprecedented scale of international support for Ukraine—over $105 billion between 2022 and 2024—has brought not only new opportunities but also serious challenges for both parties. A study by Philanthropy in Ukraine based on interviews with 16 representatives of various donor organizations, from international entities to national foundations, traces the evolution of relationships between donors and civil society organizations, outlining a new set of “rules of the game.” Respondents were selected through purposeful sampling, aiming to capture a diverse range of funding models and scopes of activity.

The full-scale war has forced both donors and Ukrainian NGOs to rethink the foundation of their collaboration. Before the invasion, donor priorities focused on supporting democratic transformation, strengthening civil society, and building the institutional capacity of local organizations. After February 2022, attention shifted toward urgent humanitarian needs and delivering rapid assistance to affected populations.

Today, donors increasingly recognize the importance of localizing aid, listening to the voices of NGOs, and providing more resources and autonomy to civil society actors working directly on the ground. At the same time, many smaller or newly established organizations lack the capacity for high-quality project administration and reporting. More on that below.

From democratic development to emergency aid

The initial phase of the full-scale invasion was marked by a rapid shift in donor priorities — from supporting democratic development to providing humanitarian aid. This required exceptional flexibility and speed of response. However, the study shows that the situation is evolving: donors are beginning to return to long-term planning and sustainable projects.

“Since early 2023, we have realized how important it is to return to the issue of resilience and to support the systematic work of organizations,” said one of the study’s respondents.

This shift aligns with the trajectory of Ukrainian NGOs, which, according to a parallel needs assessment of civil society organizations, have also moved “from constant crisis response to more structured work based on long-term strategic planning.”

Institutional capacity: a key challenge

The study revealed that limited administrative resources and a lack of experience in developing high-quality projects continue to be major obstacles to effective collaboration with local organizations.

“There are some organizations that struggle with reporting; some just don’t have a clear understanding. Even writing grant applications is hard for them. Concepts like indicators and outcomes—those classic elements of project management—they’re not always there,” said a representative of a national foundation.

This is particularly true for organizations established after 2022, which have simply “not had time” to build internal procedures to the level international donors expect. At the same time, donor representatives are not always willing or able to invest the time and resources needed to help these organizations bridge those gaps.

Localization: internal barriers

The study found that while all donors recognize localization as an important principle, its implementation is often hindered by internal barriers within donor structures.

“Internal procedures and differing standards across donor departments prevent the timely adoption of flexible, localization-oriented approaches,” admitted a representative of an international foundation.

Excessive bureaucracy and the challenge of harmonizing procedures

Donors openly acknowledge that the lack of unified reporting standards and procedural inconsistencies place an additional burden on local organizations.

“I think [due diligence] is quite a heavy burden for our partners. There are a lot of documents to review. I believe the process takes up a significant amount of time for the partner organization,” noted a representative of a regional international organization.

Despite widespread recognition of the problem, the unification of requirements is progressing very slowly. This is due to complex internal procedures within donor institutions and the need to align standards globally. “It is one thing to convince the donor team in-country (Ukraine), but getting approval from the head office is much harder because they need to harmonize procedures across all regions.”

Trusted partners vs. new organizations

The study found that, despite stated commitments to inclusivity, in practice donors tend to work more often with “trusted” partners or organizations with an established reputation. This is not the result of an explicit policy but rather a way to minimize risk and streamline procedures given time and resource constraints.

An established track record and professional recognition often enable organizations to bypass checks typically required of newer, lesser-known partners. 

“We have a lot of partners and friends in the regions. If there is any doubt about a particular organization, you can always call or send a message through the system to your colleagues, and they will tell you what any given organization is really like,” explained a representative of a national foundation.

Coordination and the need for consortia

Another major challenge highlighted by the study is the lack of systematic networking—both among donors themselves and among local organizations.

“It’s very difficult to maintain coordination with Ukrainian organizations. There are so many of them, and it takes a lot of their time and ours,” noted a representative of a regional organization.

Donors are increasingly encouraging the formation of alliances and consortia among Ukrainian NGOs. This would not only help distribute administrative burdens more effectively but also enable the implementation of projects with bigger budgets.

Therefore, in order to improve collaboration between Ukrainian organizations and donors, the following steps are recommended:

For donors:

• Support the capacity building of Ukrainian NGOs through training, mentorship, and technical assistance
• Simplify and harmonize reporting and due diligence procedures
• Increase the volume of resources allocated directly to local partners 
• Strike a balance between short-term flexibility and long-term program sustainability

For Ukrainian organizations:

• Actively develop institutional capacity and implement effective management systems
• Streamline internal processes and demonstrate transparency
• Form alliances and consortia to strengthen impact
• Diversify sources of funding

The Philanthropy in Ukraine study shows that, despite certain challenges, the partnership between donors and Ukrainian NGOs is evolving into a more effective and transparent system—capable of adapting to wartime challenges.