Israeli local authorities and affiliated municipal foundations raised hundreds of millions of shekels in philanthropic donations in 2024, with Jerusalem topping the list at NIS 136 million, according to market research published by philanthropic platform Zoooz. The report says authorities across Israel are increasingly treating fundraising as a strategic growth tool amid budget gaps, security pressures, and rising demand for social and infrastructure services, reflecting broader trends described in recent Jerusalem Post reporting on post-October 7 philanthropy in Israel.

The Tel Aviv Foundation ranked second with NIS 57.8 million, followed by the Gush Etzion Foundation with NIS 20 million, the Sderot Development Foundation with NIS 14 million, and the Binyamin Development Foundation with NIS 13.7 million. The findings suggest that fundraising is no longer limited to nonprofit organizations, but is becoming part of how municipalities are increasingly positioned at the center of national and local resilience efforts, while also echoing strategic philanthropic models tied to local authorities and funding structures designed to support municipal initiatives.

Why municipalities are turning outward

“In recent years there has been a shift in perception among local authorities,” Zoooz CEO Shlomi Turgeman said. He said municipalities once relied almost exclusively on state budgets, government ministries, and municipal tax revenues, but now increasingly view external fundraising as a way to move faster.

Turgeman said budget shortfalls, ongoing security challenges, and growing needs in education, welfare, and infrastructure have pushed authorities to seek outside resources. According to Zoooz, fundraising success depends less on the size of the authority than on management quality, strategic planning, and the willingness of local leaders to invest in the process.

A management issue, not a size issue

The full 2024 ranking also included the Be’er Sheva Development Foundation with NIS 13 million, Sdot Negev Regional Council with NIS 8.5 million, the Ashkelon Foundation with NIS 8.2 million, the Rishon LeZion Foundation with NIS 3.3 million, and the Kiryat Gat Development Foundation with NIS 1 million. The study also showed different funding patterns, with Jerusalem raising NIS 86.5 million from abroad and NIS 49.5 million in Israel, while Gush Etzion raised a larger share domestically.

Turgeman said local leaders who succeed in philanthropy combine a clear vision, professional fundraising infrastructure, data-driven planning, and long-term donor relationships. “A head of authority who understands the process is not only raising money but building a growth engine for the authority,” he said.