Autocrats in Central and Eastern Europe are obsessed with independent journalism. They badmouth the press and label them as ‘opposition’ every chance they get. They create Foreign Agent Laws to starve independent outlets of their funding. They resort to legal intimidation, physical threats and murder to silence the truth. They understand and fear the power of information and will spare no expense to control it. On the flipside, our Philea membership survey points to journalism as the least chosen topic of interest two years in a row. Are philanthropists missing a trick? Are we not valuing journalism as much as the likes of Orban? Or are we unconvinced that our support could make a difference?

Last week at KoneKtor, I brought together a panel of journalists and journalism funders in the CEE region to help foundations understand why supporting journalism has become more indispensable and meaningful than ever before.

A politicised market model

In 2011, Tamas Bodoky founded atlatszo.hu – “atlatszo” means transparent in Hungarian – as the first Hungarian investigative journalism non-profit. While Tamas left his former publisher and established Atlatszo to be free from political influence, the challenge to retain editorial independence remains. In Hungary, where mainstream media is captured by the state and critical voices are labelled as opposition, advertising revenue doesn’t follow the market model, but political logic. With businesses afraid of being associated with critical reporting, sustaining an investigative outlet solely on ad revenue is simply infeasible.

To finance their work, some outlets experiment with forms of paywalls. For journalism non-profits established to promote transparency, accountability, and freedom of information, using paywalls feels contradictory to their goal. It would also mean losing even more readers to propaganda news, which is freely available. Instead, many critical outlets turn to crowdfunding. Yet the pressure to choose a side remains. Whilst the situation in the Czech Republic is not as alarming as that in Hungary, polarisation creates a highly volatile readership… to quote Pavla Holcová, “We are not publishing stories about local kittens”.

The kind of stories published at Investigace.cz are bound to create strong opinions and spark emotions. As investigative outlets naturally report more often on those in power, especially the ones spending taxpayer money, they attract more readers and donors that align with the opposition or are unwillingly identified or branded as against the reigning party. When they inevitably produce an article that criticises someone in the opposition, the result can be a devastating loss of donors and readership, and accusations of having been bought up by ‘the other side’.

Polarisation doesn’t only endanger the editorial independence of investigative journalism. Politicised and contentious reporting gets more traction and is actively promoted by Big Tech platforms. In contrast, general interest media focused on keeping the public informed and engaged in their local and national environments have a hard time ‘selling’ their non-politicised content to the public, and also attract less funders.  David Klimeš understands foundations favouring specific outlets, especially when they align with their personal or organisational values. With the Endowment Fund for Independent Journalism however, David is on a mission to help local donors (e.g. business owners) understand that a model of concentrated ownership where public opinion is swayed by the highest bidder can easily backfire when in the ‘wrong’ hands. In other words, a stable and independent media is good for business. While project funding or targeted funding for a specific outlet can serve as a great entry point for funders new to journalism, the NFNZ brings local funding together and invests in media pluralism, balancing support for a specific issue or outlet versus support for the sector as a whole. Additionally, it is now also looking to redirect more support to local media outside major cities where the only access to information is through outlets owned by local majors.

Scare tactics

My main takeaway from the conversation at KoneKtor is that in times of state sponsored polarisation, philanthropic support is a more crucial source of income than it ever was. It alleviates the pressure on independent media outlets to conform to a polarised readership or a market logic that serves the political agenda. It promotes nuanced reporting, critical yet party-neutral investigations and it safeguards the access to general interest information.

This last lifeline is exactly what Orban and other autocratic regimes in the CEE are now trying to cut. With a recent surge in ‘Foreign Agent’-style laws, European autocrats have added a dangerous instrument to their playbook. Despite the official communication that Hungary’s new Sovereignty Protection Office was established to stop domestic political actors from accepting foreign funds, one of the first targets they cracked down on was the independent media outlet Atlatszo. Not only do these laws impose crippling monitoring and reporting requirements, they are an obvious attempt at delegitimising their target’s work in the eyes of the public and scare off funders.

We at Philea will continue to voice our concerns over the rise of Foreign Agent Laws; their detrimental effects on targeted grantees should be taken seriously. Fortunately, the message from journalism funders at KoneKtor was resoundingly clear: these laws will not stop international funding from reaching independent media in Central and Eastern Europe. They will not deter foundations already active in the region and some have even ramped up their support.  Yet much more funding is needed if we want independent journalism in Europe to endure. If you are not supporting journalism yet, let Orban’s obsession be all the proof you need of the power and value of a free press.

In a world where the pillars of democracy face unprecedented challenges, the relationship between philanthropy and journalism is mutually beneficial. While independent media grapples with daunting challenges and crises, the decision to fund journalism emerges not merely as an act of altruism but as an indispensable strategic imperative, wielding profound influence in shaping societal narratives and driving transformative change.

The significance of journalism often gets overshadowed by the buzz of social media, flashy headlines, and the discussions on misinformation. Yet, on 15 March, at the annual conference of the Journalism Funders Forum, where funders can engage in an interactive and proactive manner, representatives from the philanthropic world gathered in Amsterdam to discuss why independent media and philanthropies mutually need each other, how journalism strengthens the impact of philanthropies, and the importance of new players entering the journalism funding field.

Journalism as a Tool for Societal Objectives

Quality journalism and media organisations face numerous substantial challenges. Media capture, where media are controlled by governments and/or non-state groups with vested interests, the general decline in trust in the media, and the rise of social media platforms are just a few examples. Additionally, the media industry has struggled to recover from the 2008/09 financial crisis as its traditional business model crumbled. While there is a continuous rise in global advertising expenditure, a significant portion of it is monopolised by tech behemoths, therefore, the biggest challenge lies in financial sustainability – maintaining operations without relying excessively on external funding sources – highlighting the need for journalism grants. As Jonathan Heawood, Executive Director, the Public Interest News Foundation argued, “80 percent of the headspace of brilliant journalists is taken away by worrying about bills.”

This stark reality underscores the critical need for more funders, especially new players in the field, to step forward and support journalism. However, convincing potential funders has proven to be a daunting task, as many of them carry a prevailing reluctance to invest in media, often perceived as a failing enterprise. Moreover, journalists themselves may not always be the most effective advocates for their own cause. Compounding these challenges is the general erosion of trust in traditional media, fuelled by the proliferation of mis- and disinformation. Despite these hurdles, the imperative to fund journalism remains clear.

For philanthropy seeking to champion press freedom, the rationale for funding journalism is self-evident. However, even for those with different philanthropic goals, investing in journalism can serve as a powerful means to achieve broader societal objectives. This might prompt potential funders to consider thematic funding, involving grants for reporting on specific topics such as social justice, healthcare, or environmental concerns.

As Jonathan Heawood argued, while this approach may lead to some immediate or medium-term improvements, achieving long-term impact necessitates considering the sustainability of journalism. He urged a deeper understanding of the underlying ecosystem. Just as biological ecosystems require productivity, resilience, and organisation, the information ecosystem must also be nurtured to yield the desired outcome: democracy. Adrian Arena, Director of International Human Rights, the Oak Foundation, echoed this sentiment, emphasising that at its core, the endeavour to fund journalism is fundamentally about safeguarding democracy.

Harnessing the Power of Journalism

However, selling the concept of democracy as a noble cause has become increasingly challenging. Democratic rights are under attack by populist movements and authoritarian governments across various regions. Programs promoting such rights often result in backlash, leading to the stigmatisation of involved organisations. For instance, many countries employ narratives that label such organisations as foreign agents meddling in sovereignty, with civil society organisations and independent media being vilified as adversaries and frequently subjected to smear campaigns. Consequently, for some philanthropies, the perceived risks associated with supporting democracy, human rights, or journalism in certain regions may deter their involvement.

Still, regardless their focus, it is imperative for every philanthropy to engage the public, creating critical pressure and fostering long-term results. Public outreach and storytelling are indispensable elements of every successful program, which underscores the critical role of journalists in defining narratives. As a conference participant argued, to achieve systemic changes, decision-makers need to feel responsible and inspired to act, and a powerful driving force behind this is evidence-based, balanced and solutions-driven narratives driven by independent journalism.

The power of influencing hearts and minds cannot be overstated, and media serves as a very potent avenue for achieving this goal. Failure to harness the potential of journalism means missing out on a significant opportunity for outreach and impact. Furthermore, even a relatively modest investment in journalism funding can yield substantial results, making a meaningful impact on society.

Speaking of impact, Miguel Castro, Head of Global Media Partnerships, the Bill and Melinda Gates Foundation, emphasised the critical importance of demonstrating impact to convince potential funders, highlighting its dual role as also a tool for media outlets to attract subscribers by showcasing the value of their journalistic product.

However, measuring the impact of journalism funding projects presents challenges due to the difficulty in establishing causal relationships between positive impact and journalists’ publications, given journalism’s multifaceted nature which encompasses informing the public, shaping opinion, fostering accountability, and influencing policy, with these effects often being indirect and hard to quantify. Fortunately, various metrics, such as public revelations, can be utilised, with journalism funding projects proving relatively easy to monitor due to their daily publication cycle, facilitating continuous monitoring.

The ultimate impact of journalism funding, however, extends beyond mere metrics, encompassing discourse shifts and policy changes. The unique ability of journalism to elevate issues onto the agenda creates fertile ground for tangible policy transformations.

Navigating Challenges and Strategies for Effective Funding

Navigating the landscape of journalism funding requires a strategic approach, but, as a participant emphasised, it is not as daunting as it may seem, and it works similarly to other fields. Prospective funders must clarify their objectives from the outset. It is paramount to collaborate with local consultants and partners possessing in-depth knowledge of the media landscape and organisations, whether they are trustworthy and produce quality journalism. Due diligence is also important, particularly in regions with high levels of media capture and limited press freedom.

Engaging with other funders fosters mutual learning and advocacy efforts. Coordination among funders is essential not only to prevent unnecessary overlaps but also to share experiences and insights. Additionally, coordination can extend beyond information sharing: pooled funds offer an alternative entry point, facilitating more significant capital involvement and expertise aggregation. Adrian Arena highlighted their benefits, including expanded geographic reach and collective peer strength in managing potentially sensitive programming.

Journalists’ sensitivity to editorial independence is paramount, necessitating programs built on mutual trust and respect for the autonomy of news organisations. While financial support is crucial, capacity building can be equally vital for sustainability, encompassing legal counselling and assistance with SLAPPs (Strategic Lawsuits Against Public Participation), brought by individuals and entities to deter their critics from continuing to produce negative publicity. In certain cases, even psychological support can be valuable. In conclusion, while funding journalism might seem daunting, it presents an opportunity also for new players and thematic funders to make a significant impact. The Journalism Funders Forum stands as an entry point for funders new to the field, providing a space for European philanthropies to engage proactively in supporting independent, quality journalism and its role in democracy, harnessing its power to shape narratives, drive systemic change, and foster accountability.

Philanthropic support for media and journalism has been growing in recent years and is seen as a way to strengthen democracy and civic engagement. However, there are still many challenges and opportunities for both funders and recipients of this support.

On 28 April Philea, in collaboration with GFMD, organised the 13^th edition of “Philanthropy for Ukraine” sessions with a focus on journalism in the context of the war. During the session, four Ukrainian media experts shared their insights on the challenges and opportunities for international donors to support the media.

Ievgeniia Oliinyk, Program Director of the Media Development Foundation, shared about the MDF’s experience of collaborating with local media outlets by presenting the main findings of their new annual research on the state of local news outlets in Ukraine. The report shows that regional media have survived and resisted the war, despite the massive staff turnover, the constant threat of violence, the propaganda and misinformation, and the lack of resources. The MDF report also praises the role of regional journalists in documenting war crimes, debunking fake news, telling human stories, and helping Ukrainians stay sane and informed. It calls for more support and solidarity from the international community, the government, and civil society to protect and empower regional media as a vital pillar of democracy and peace. Ievgeniia also highlighted the importance of avoiding news deserts in Ukraine and providing additional support to the regions with such a tendency.

Discussing the state of the media at a national scale, Andrey Boborykin, Executive Director of Ukrainska Pravda, shared the newspaper’s experience. He noted that advertising spending across Ukraine has declined due to the economic crisis and the war, and this has forced Ukrainska Pravda to fundraise with the international donor community, which was not something that they were actively involved in before the war.

The media viability concept has to be rethought in the context of Ukraine, where media outlets face economic hardships and need to adapt to a changing and challenging environment, noted Olga Myrovych, the CEO of Lviv Media Forum. She argued that supporting the Ukrainian media is vital for the country’s recovery and justice and that the international community should recognize and amplify the voice of Ukrainian journalists and editors. Olga also addresses the issue of mental health among journalists in Ukraine, who have been exposed to trauma due to the ongoing war. In particular, Lviv Media Forum has offered psychological support to more than 150 media professionals to help them cope and restore their psychological resilience.

Continuing the discussion on the main issues that affect the media industry in Ukraine, Jakub Parusinski, Co-founder and Editor of The Fix Media, and CFO of The Kyiv Independent, highlighted that one of the main problems that media organizations in Ukraine encounter is the lack of qualified journalists, editors, project managers, sales managers and other media professionals. The current generation of journalists has suffered a significant attrition rate due to psychological breakdown, volunteering causes, frontline work, and the inability to work in the sector. This problem is exacerbated by a demographic problem in Ukraine, with only a quarter of a million graduates a year, down by half from over half a million in 2010. How can media organizations overcome this shortage? Jakub suggests that shared service centres could be a solution. He also argues that the media themselves should invest in training programs, work with universities, and create career development opportunities for their staff.

Another challenge that media organizations face is how to reintegrate veterans as content creators, audiences, and workers. Jakub Parusinski believes that media can play a vital role in helping veterans reintegrate into society. A third issue that media organisations have to deal with is how to connect with the millions of Ukrainians who had to flee abroad. Parusinski argues that the media has a significant responsibility to preserve Ukrainian culture and ties within Ukrainian communities and fight against Russia’s attempt to destroy it.

Based on their experience of being a recipient of media support, speakers shared their ideas and advice on how philanthropic or foundation support for media and journalism could be improved:

• Reduce bureaucracy and increase flexibility. Jakub Parusinski says anything that reduces bureaucracy is a good thing, as many media outlets have to hire fundraisers and grant managers to deal with the administrative burden of applying for and reporting on grants. He suggests that funders should simplify their application and reporting processes, and allow more room for adaptation. 
• Consider flexible long-term funding for local media. Olga Myrovich noted that short-term grants with extensive reporting procedures are not suitable for many media outlets, especially local ones, that have limited managerial capacity and face financial insecurity. In this case, long-term funding with flexible conditions is more sustainable and allows media outlets to focus on their core mission and audience.
• Support capacity building and education. Many media outlets in Ukraine, especially local ones, lack the skills and knowledge to manage their organizations effectively, diversify their revenue streams, and engage with their audiences. Olga says that funders should support educational programs that work with the management of local media outlets, as well as media support organizations that can provide mentoring, training, and networking opportunities. Ievgeniia Oliiynyk echoes this point, saying that supporting educational programs that work with community leaders is essential, as they can help local media outlets improve their governance, editorial standards, and business models.
• Fund more research. Jakub highlights that more data-driven decision-making for donors and media support organisations.
• Consider the local context and needs. Ievgeniia says that funders should be more aware of the local context and needs of the media outlets they support. Funders should listen to the media outlets and their audiences, and tailor their support accordingly. It is important to make individual direct connections with both local media and civil society sector organisations, to have a better understanding.
• Coordinate and avoid duplication. Andrey Boborykin agrees, saying that funders should be more strategic and collaborative in their support for media and journalism, and coordinate with other donors and stakeholders to avoid duplication or fragmentation of efforts.
• Support programmes safeguarding culture in the media. Andrey points out that while there are some programmes from various foundations that aim to decolonize Ukrainian culture or support Ukrainian artists, the media are largely missing from this perspective. He adds that he has not seen a programme about Ukrainian culture in the media for a long time. Jakub agrees that media play a crucial role in documenting and disseminating Ukrainian culture, especially in the context of the war. Olga emphasizes that niche media outlets are often overlooked by donors, although they have a lot of potential in terms of promoting the narrative and reaching out to audiences abroad.

A reflection on the Journalism Funders Forum’s in-person event, 16 February, Brussels
By Are We Europe

On 16 February, Philea and the Journalism Funders Forum (JFF) held their first ever in-person event together, bringing together representatives of foundations to discuss their mission of supporting public interest journalism in Europe.

The role of independent journalism in society has never been more important than in the current moment. It is what builds a bridge between communities and ensures balanced information is available to all. Over the past decade, media oppression has been on the rise in both authoritarian states and open societies in Europe. Media organisations and freelance journalists alike increasingly turn to philanthropic funders for support to continue their work despite increasingly difficult conditions.

JFF aims to support the funding landscape for journalism in Europe through three strands of work. Firstly, by improving learning opportunities and knowledge about journalism funding across the continent. Secondly, the forum works to diversify and increase the number of journalism funders in Europe, as well as foster connections between them. Thirdly, the forum strives to help build a more effective, transparent and equitable funding environment for journalism in Europe.

At the event in Brussels, funders had the opportunity to share successful strategies, learnings and challenges that they face in supporting public interest journalism. Openly sharing one’s challenges and hopes is the only way to entice other funders that are not yet active in journalism to do so. Just like in journalism, honesty is key.

A pillar of democracy

While many would hope that quality journalism can fund itself, the past few decades have irreversibly damaged most media outlets’ business models. The internet is the straw that broke the proverbial camel’s back, paving the way for higher outreach but also forcing many publications to put their content behind a paywall in order to remain sustainable. Some would say the latter hinders journalism’s duty to contribute to public discourse.

Throughout the day, an ever-present topic on the discussions was democracy. After all, journalists and their work are essential contributors to informed communities. While many foundations do not explicitly name journalism in their mission statements, it is through their commitment to upholding democracy that they, too, should support this field. Independent, quality journalism contributes to a healthy democracy. And journalism should be free from any influence that may impact their editorial output. Protecting this independence plays a crucial role in what philanthropic funding can do for journalism today. But how can this work be funded sustainably? 

The challenges to funding independent journalism are not unheard of. Funders, of course, need to find quality journalism to support. In turn, many journalists would argue that they simply do not know the relevant funding organisations to contact. The interdependence between journalists and their funders is evident, but it is discussions around the type of funding needed, and how funders can work together to maximise impact, that made the gathering in Brussels so uniquely impactful.

Stability is key

When investigating the ways in which philanthropy can support media organisations, core funding is of great importance. Core funding allows for the necessary breathing room between projects that contributes to better journalistic output. It furthers the creation of sustainable structures within a media outlet and offers opportunities for professional development. It also removes the incentive some might receive from project-based grants to just “go for the money” to survive. Simply put, not worrying about whether they can break even next month allows journalists to thrive. Stability is key. 

This very stability is the one that can allow for the time and resources for journalists to tackle extensive or sensitive topics that can often be more labour-intensive. Unrestricted support from a funding body can help to bring out the best of what journalism can do, speaking truth to power and contributing to societal change. 

The case for pluralism and funder collaboration

As much as cross-border journalism is becoming a reality in newsrooms today, collaboration should be of equal importance among funders. Like most things in life, it’s a two-way street. Pluralism in funding is essential to a system in which pluriform media thrives. And media diversity is vital. When funders act as a group, they send a clear message of support.

While stability is vital to journalists, it is equally important to funds. But there are solutions. Pooled funds are aggregated funds that allow interested parties to fund journalism without being experts on the topic. As the idiom goes, there is safety in numbers. Pooled funding creates quality assurance among funders who may not have the requisite knowledge to select suitable projects. It essentially creates a comfort zone for those who would otherwise hesitate to begin funding journalism. The hope however is that in the future more funders will become comfortable enough to begin funding journalism outside of the access point of a pooled fund.

However, this is not the only way in which funders can collaborate. In sharing knowledge and expertise across the European funding landscape, philanthropic organisations can work together to co-create new projects and grantmaking initiatives. In this sense, funders can co-fund projects independently but work side by side collaboratively. This kind of collaborative decision-making also accounts for the disparate geographic landscape of funding. For example, a country like the Netherlands is comparatively well-funded compared to other regions in Europe like Italy or Spain. Through collaborative processes, funders can contribute to journalistic diversity in landscapes and languages they might not be familiar with. It is a matter of shared trust. 

Looking forward

The first in-person meeting of the Journalism Funders Forum, since it found its new home with Philea, clearly showed that foundations are eager to connect more often. There is a drive to have funders communicate with one another in a casual setting, but also to facilitate communication between funders and potential grantees and partners. The repeated mentions of how difficult it is to communicate, match the need for better understanding between those who support journalism and those who create it. Both JFF and Philea are strengthened in their resolve to keep building connections between journalism funders in Europe and to advocate for the crucial role that philanthropy plays in safeguarding independent media.

Speaker list

• Delphine Moralis, CEO, Philea
• Abhijit Das, co-chair, Journalism Funders Forum, Stichting Democratie en Media
• Saskia van den Dool, co-chair, Journalism Funders Forum, Adessium Foundation
• Jennifer Anastasiou-Prins, European Press Prize
• Paul Radu, Organized Crime and Corruption Reporting Project
• Brigitte Alfter, Arena for Journalism in Europe
• Marcin Gadzinski, Media Development Investment Fund