Investment Trends and Strategies of African Philanthropic Organisations: The Case of Faith-Based Organisations in Ghana

Abstract

Faith-Based organisations (FBOs) in Africa play an increasingly significant role in philanthropy, moving beyond traditional charitable activities to adopt complex and strategic approaches. This study examines the investment strategies, decision-making factors, and challenges faced by FBOs in Ghana, thereby contributing to a broader understanding of African philanthropy. Using a qualitative design, data were collected through interviews with twenty- one purposively sampled participants from seven FBOs, complemented by document analysis. The findings reveal that FBOs employ diverse investment strategies, including affiliate and subsidiary investments, venture philanthropy, and sustainable investment, thereby combining social mission with financial sustainability. Investment decisions are shaped by donor priorities, organisational principles, project costs, and perceived benefits, with evidence that community needs and inclusivity remain central considerations. Challenges identified include overreliance on external funding, restrictive government policies, and weak sector-wide coordination, while opportunities lie in partnerships and collaborative approaches. Priority areas of investment include health, education, water and sanitation (WASH), agriculture, and livelihood empowerment, with emerging attention to social enterprises, start-up incubation, and correctional facilities. This research contributes to the growing literature on African philanthropy by highlighting the evolving strategies of Ghanaian FBOs and their potential for sustained social impact. It underscores the need for transparency, collaborative networks, and policy engagement, while also calling for future studies that examine a wider diversity of faith traditions and the cultural dynamics shaping philanthropic action