KoneKtor is an unconventional conference in the philanthropic world, primarily uniting donors and civil society representatives in the region. At the end of September, hosted by Porticus, nearly 140 attendees gathered in Prague, with an approximately equal split between foundations and civil society organisations, along with participation from academics and journalists. This makes KoneKtor the largest donor conference in Central and Eastern Europe.

While it is large enough, the atmosphere remains very friendly. I spoke with Markus Janzen from Porticus, who sits on the Steering Committee of KoneKtor. He said, ‘I was very happy to see many familiar and many new faces. All of us managed to create an atmosphere where the newcomers felt welcomed. We had open, honest, and to-the-point discussions. People said they admire that we are talking about very concrete issues that guide us on the bigger questions, instead of discussing meta-level challenges we face in philanthropy and the region.’

This year’s theme, ‘Dialogue, Democracy, and Diversity,’ explored the uncharted territories of democracy, analysed polarisation from multiple perspectives, addressed a world increasingly fragmented by discord, and discussed the crucial role of foundations in fostering dialogue, bridging divides, and promoting resilience in the face of societal rifts.

While this focus may seem provocative to some donors, it resonates strongly with those familiar with the region’s complexities. Democracy and fundamental rights are integral to civil society—and to some extent, philanthropy. In September alone, several conferences addressed these themes, including the ‘Philanthropy for Democracy’ conference in Latvia, which attracted around 70 participants from grant-making and regranting foundations, networks of foundations, and organisations supporting philanthropy. At the same time, a panel discussion in Warsaw, part of the Civil Society Forum organised by the Institute of Public Affairs, focused on effectively supporting civil society organisations. It examined how to set goals, define change, and measure success amid constant upheaval, increasing polarisation, and threats to democratic values. A week earlier, at the Philanthropy Summit in Warsaw, Polish philanthropist Igor Czernecki spoke about philanthropy’s role in serving democracy, reflecting a broader discourse in the region.

Polarisation in theory and practice

KoneKtor has a tradition of addressing ‘difficult’ topics. Last year’s conference in Sarajevo focused on peace and justice, while next year’s event in Athens will center on migration. In Prague, discussions centred on democracy and fundamental rights through the lens of polarisation.

The conference’s opening session, featuring insights from Zsuzsanna Szelenyi of the CEU Democracy Institute, tackled the pressing issue of polarisation in the region. Szelenyi noted that while polarisation is a natural aspect of democracy, it becomes problematic when politicians exploit societal divisions. She described polarisation as a toxic phenomenon that fosters an ‘us versus them’ mentality, which can lead to harmful outcomes, including violence. The session highlighted how such polarisation often begins with divisive rhetoric and can culminate in the erosion of social norms.

Statistics presented during the session revealed concerning trends: approximately 30% of people in Slovakia and the Czech Republic, and 50% in Hungary, subscribe to conspiracy theories, including those related to the conflict in Ukraine. This growing distrust among citizens toward politicians and the media indicates a broader crisis of confidence in democratic institutions and processes. Conversely, studies further show that Central and Eastern Europeans desire to live in democratic societies but are fatigued by ongoing polarisation.

Szelenyi underscored the urgent need for depolarisation, acknowledging the complexity of this challenge. She advocated for renewed discussions around shared values and pressing issues to rebuild trust and solidarity, which are currently alarmingly low across the region.

Without core funding, independent media outlets struggle to survive, often relying on grants tied to specific topics.

The political situation in the region starkly illustrates intentional actions by politicians and governments to heighten polarization. Recent examples can be observed in Bulgaria and Slovakia, where the drive to restrict and stigmatise civil society continues. The Slovak government is pushing for a ‘foreign agents’ law, while the pro-Russian Bulgarian Renaissance party recently succeeded in passing a controversial law banning ‘gay propaganda’ in schools.

Regulations around foreign funding will lead to the stigmatisation of civil society organizations in these countries. The Slovak government’s proposal of a ‘foreign agents’ law will label civil society organisations receiving more than €5,000 annually in foreign funding as ‘organizations with foreign support.’ Solidarity gestures from civil society in other countries and statements from philanthropic networks, such as Philea’s, raise concerns over Slovakia’s ‘foreign agents’ law, yet have not deterred the legislative process. Nonetheless, these gestures are crucial for civil society organisations in these nations.

Where are the donors for journalism?

Autocrats in Central and Eastern Europe harbour a deep-seated animosity toward independent journalism. They malign the press and frequently label journalists as ‘opposition’ whenever possible. They enact Foreign Agent Laws to suffocate independent outlets financially and resort to legal intimidation, physical threats, and even murder to silence dissent. Understanding the power of information, these regimes spare no effort to control it.

KoneKtor also addressed the critical challenges and innovative solutions related to independent journalism in the region. Experts from Hungary and the Czech Republic shared their experiences, particularly in the context of increasing media polarisation and state interference.

Tamás Richárd Bodoky from Atlatszo outlined Hungary’s dire media landscape, noting that since 2011, the Hungarian government has redirected significant public funds away from independent media. This shift has forced independent outlets to adopt new business models, including crowdfunding, paywalls, and grants. Systematic attacks on foreign funding for independent media have included smear campaigns against donors perceived as threatening the state narrative, aiming to discredit criticism and intimidate potential foreign supporters.

Pavla Holcova from Investigace.cz highlighted the rising polarisation affecting free media, noting that public perception often conflates independent journalists with partisan agendas. This perception complicates efforts to earn trust for non-aligned reporting. Trigger topics such as abortion, LGBTQ+ rights, and environmental issues have caused donors to withdraw support, demonstrating the precariousness of funding in a polarised environment.

David Klimeš from the Endowment Fund for Independent Journalism discussed the establishment of the Fund in 2016, aimed at supporting media pluralism within a liberal democracy without extremes. Both Tamás and Pavla stressed the importance of building networks among journalists. A new initiative in Hungary seeks to support local journalists in addressing regional issues and fostering collaboration in an increasingly hostile landscape.

The speakers emphasised the significance of core grants over project-specific funding. Pavla pointed out that without core funding, independent media outlets struggle to survive, often relying on grants tied to specific topics. This restriction hinders the broader mission of journalism, which encompasses a variety of issues beyond the immediate news cycle.

‘We want the Czech Republic to be a strong Western democracy where freedom and justice prevail. To be a modern, efficient, transparent, and trustworthy state that serves its citizens well and manages their money responsibly. We care about the future of our common home.’

Despite the critical need for core support, resources for investigative journalism remain scarce in Central and Eastern Europe. A Philea membership survey indicates that journalism has been the least prioritised topic of interest for two consecutive years. Are philanthropists overlooking the importance of journalism in comparison to figures like Orbán or Kaczyński?

Some organisations are already planting the seeds for change. The Philanthropy for Impact program is organising a series of discussions on philanthropy and democracy in Central Europe, with the next event in October featuring Patrice Schneider, Chief Strategy Officer of the Media Development Investment Fund (MDIF), who is committed to supporting independent media worldwide.

Five stages of grief: Where are we with funding?

During a session on democracy, Marta Pardavi from the Hungarian Helsinki Committee compared the European Union’s response to the erosion of democracy to the five stages of grief. The first stage, ‘Ignorance’, reflects the mindset that this is merely a local problem in Hungary. The second stage, ‘Denial’, emerges as civil society protests are perceived as solely responsible. The third stage, ‘Confusion’, arises from the realisation that other European states are experiencing similar declines, leading to fragmented reactions and the exploration of various tools.

Ultimately, the EU seems to have reached a stage of acceptance regarding the backslide of democracy and the rule of law in 2024.

Which of these phases are donors in? The results of the Philea membership survey in this regard are promising. Democracy ranks at the top of the topics in which members are interested, even surpassing ‘children and youth.’ Based on these optimistic results, it can be concluded that donors are in phase three or four. The urgency suggests that we should already be in phase five. In practice, it appears that the topic is still emerging. Civitates currently has 22 donors, which is surprisingly few, given the interests expressed in the survey and the fact that Philea, through its national associations’ members, indirectly covers almost 10,000 foundations.

Funding for Democracy in Central and Eastern Europe: An emerging trend

What does supporting democracy with private funds look like in CEE? We are currently in a phase of mourning following the Open Society Foundation’s declaration of withdrawal from the region. For many years, OSF was the main donor in the region supporting topics close to democracy. This gap will be difficult to replace. For many months, the concern to fill this gap has been one of the main topics of conversation behind the scenes at civil society events in the region.

When I asked Markus Janzen from Porticus about his takeaways from the conference, he expressed optimism about the future. He said, ‘There was some slight panic about what the future of philanthropy in CEE holds. The engagement of foundations has changed in the last couple of years. I feel that more and more local philanthropy is present in these networks, which will help boost the development of local philanthropy, whether in the Czech Republic, Poland, Bosnia, or Ukraine. I think this is a very healthy development; it’s not the West supporting the East, but a joint effort to work on topics that concern all of us: civil society, democracy, human rights, etc.’

Are the donors from the region ready to engage in these edgy topics? According to Markus—yes. He added, ‘I see openness to talk. Whether the engagement will follow, and whether the money will follow, remains to be seen, but there is a dialogue. From my perspective, this has changed over the last couple of years; they are more present and part of the conversation.’

Some countries are in a better position than others. Promising developments have been occurring in the Czech Republic. Private donors began to support democracy before 2020, providing substantial financial backing for a pro-democracy campaign that successfully challenged a populist party. Since then, they have been actively involved.

Recently, they launched a new initiative—the Alliance for a Modern State. To achieve its goals, they have established a donor-advised fund at the OSF Prague Foundation. The funders are Czech entrepreneurs: Libor Winkler, Martin Vohánka, Martin Moravec, Jan Barta, Václav Muchna, Martin Ducháček, Dušan Šenkypl, Martin Hájek, Petr Borkovec, Ondřej Fryc, and Petr Košt’á, who have contributed the foundational capital.

You can read on their website: ‘We want the Czech Republic to be a strong Western democracy where freedom and justice prevail. To be a modern, efficient, transparent, and trustworthy state that serves its citizens well and manages their money responsibly. We care about the future of our common home.’

The Alliance combines expertise, know-how, and resources in good governance projects that aim to change our country for the better, particularly in the following areas:

• Democracy, rule of law, and resilience
• Public administration and local government
• Public finance

Their strategic goals for the 2030 horizon are bold and ambitious:

• Stable democracy: Democratic principles and processes are strengthened to withstand political change and crises.
• Modern services: The state delivers quality modern services to citizens and uses its resources efficiently.
• An efficient state: The state manages its budget rationally, invests, outsources its needs, and meets its objectives effectively.
• A clear vision: A year before the elections, key political parties agree on strategic pillars for the future direction of the Czech Republic.
• Common priorities: A set of priorities is formulated, and public and political support for them is secured in the elections to open the way for their implementation by the next government.
• Trust in the state: Citizens better understand the importance and benefits of democratic anchoring, processes, institutions, and a functioning welfare state, and take this into account in their decision-making, including participation in elections.

Some Polish donors are inspired by the Czech example, but they still have a lot of catching up to do. Two initiatives are worth mentioning. Ahead of the 2023 parliamentary elections, Polish entrepreneurs, following the Czech example in 2020, committed to supporting pro-democracy campaigns. To this end, they also established the Polish Business Council Foundation, which acts as a pooled fund.

In addition to initiating and supporting the activities of entrepreneurs from the Polish Business Council, individual efforts are being undertaken by the EFC Foundation, managed by Igor Czernecki, a second-generation philanthropist. They are piloting a program to support democracy through civic education, among other initiatives, and have joined Civitates.

In my view, what we need now is a concerted effort and action. Surely the presence of local donors on the horizon is not the moment for Western donors to withdraw. It is time to bring them into the game, to share experiences, and to learn together. Hopefully, in a few years, the group of local donors will be large and generous enough for those in the West to start taking a back seat. We still need some time for that.