Saudi Arabia Establishes Ihsan Foundation for Charitable Work through Royal Decrees

This transformation enhances the efficiency and sustainability of the non-profit sector, aligning with broader regional philanthropic goals.

• On August 21, 2026, two royal decrees were issued in Riyadh, converting the Ihsan charitable platform into an independent non-profit foundation.
• The new Ihsan Foundation for Charitable Work aims to improve governance, innovation, and coordination within the non-profit sector.
• A Board of Trustees has been appointed for a three-year renewable term to oversee the foundation's operations.

• The Ihsan platform was established in 2021 under the Saudi Data and AI Authority (SDAIA) to enhance charitable operations through digital means.
• Over 440 million transactions have generated a total of 17 billion Saudi riyals in donations, showcasing the platform's significant impact.
• This initiative supports Saudi Vision 2030, aiming to elevate the country's philanthropic leadership and empower the charitable sector.

The royal decrees that transformed the Ihsan charitable platform into the Ihsan Foundation for Charitable Work represent a strategic shift in Saudi Arabia's approach to philanthropy. By granting the foundation greater autonomy and flexibility, the government is signaling a commitment to enhancing the efficiency and effectiveness of charitable initiatives. This move is designed to foster innovation and improve coordination between public and private entities, ultimately aiming to elevate the non-profit sector's capabilities.

The Ihsan Foundation will operate independently, allowing it to respond more swiftly to the needs of beneficiaries and donors alike. This independence is crucial for enhancing donor-beneficiary connections, enabling diverse giving options for individuals and companies, and ensuring that charitable efforts are aligned with the national development goals outlined in Saudi Vision 2030.

The establishment of a Board of Trustees, composed of influential figures from various sectors, further strengthens the foundation's governance structure. This board will oversee the foundation's operations for a renewable three-year term, ensuring that it remains accountable and responsive to the evolving landscape of charitable work. The board's diverse membership, which includes leaders from the General Authority for Awqaf and other key sectors, is expected to bring a wealth of experience and insight to the foundation's strategic direction.

The transformation also emphasizes the importance of transparency and targeted donation delivery across various sectors, including social, educational, and health initiatives. By leveraging digital tools and data-driven approaches, the Ihsan Foundation aims to empower the charitable sector and enhance its impact on society.

In summary, the transition to an independent non-profit foundation is not just a bureaucratic change; it reflects a broader vision for sustainable charitable impact in Saudi Arabia. This evolution is likely to inspire similar initiatives across the Gulf Cooperation Council (GCC) region, as countries seek to enhance their philanthropic frameworks and improve coordination in charitable efforts.

• Donors: Individuals and companies looking for efficient ways to contribute to charitable causes will benefit from improved connections and diverse giving options.
• Non-profit organizations: These entities will experience enhanced collaboration opportunities with the newly established foundation, potentially increasing their operational efficiency.
• Beneficiaries: Individuals and communities in need will see improved access to resources and support through more targeted and effective charitable initiatives.

• Increased collaboration: Monitor how the Ihsan Foundation partners with other non-profits and private entities to enhance charitable efforts.
• Innovation in philanthropy: Watch for new digital tools and platforms that may emerge as the foundation seeks to improve donor engagement and transparency.
• Regional impact: Keep an eye on how this transformation influences charitable frameworks in neighboring GCC countries, potentially leading to cross-border initiatives.