70 Billion Yuan Worth of Donations to Wenzhou Earthquake

But where is the money going?

Central News Agency Created: Aug 18, 2009 Last Updated: Aug 18, 2009
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Donations to the Wenzhou earthquake creates the record for largest donation in China. (China Photos/Getty Images)
TAIPEI—Since the May 12th Wenzhou earthquake, money and item donations from around the world totaled a value of 76.712 billion yuan (US$11.22 billion). However, the issue of where the money is going has raised the awareness of people around the world.

The Hong Kong Ta Kung Pao reports that the immensely large donation, consisting of money donations of 65.3 billion yuan ($9.55 billion) and material donation value of 11.4 billion yuan ($1.67 billion), breaks the record for donations in China. 

According to the six-month research of a team from the Tsinghua University’s Institute of Public Administration, 80 percent of the donations that have been coming from individuals or enterprises could possibly be going toward the authorities’ financial accounts as “additional tax.”

The research team leader Deng Guosheng believes, this huge amount of donation is worth pondering. In Western countries, private donations are generally not accepted in the case of a disaster. If they are, they are usually given to non-governmental organizations. However, it is apparently not the case in China. 

According to the research of Deng and his team, by the end of last November, donations in China totaled 65.25 billion yuan ($9.55 billion). Of that 65.25 billion, 37.9 billion yuan ($5.55 billion), or about 58 percent, went to government departments, and 31 percent of the donations, or about 19.9 billion yuan ($2.91 billion), went to the Red Cross and charities across the country. 

Documents issued by the Chinese State Council say that the donations can be given to local public welfare organizations.  However, Deng’s sample surveys in seven provinces show that most of the money is still turned over to the authorities.

Read the original Chinese article.

 

 



 

 



 

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