Catalyzing New Pathways for Young People: Inside the BHP Foundation’s Education Development Fund

by Faith Rose, Education Program Director, BHP Foundation

Around the world, millions of young people stand at a crossroads. They are ambitious, creative, and eager to learn – yet many find that the pathways available to them narrow far too early. For those from underrepresented or marginalized communities, the odds are often stacked against them long before they reach the age where they can choose a career or enter the workforce.

These inequities are neither new nor inevitable. But as global economies transform at unprecedented speed driven by technological change, new forms of industry, and shifting labor markets – the cost of leaving young people behind has never been higher.

In response, the BHP Foundation created the Education Development Fund (EDF), a US$10 million initiative designed to ignite new, early-stage solutions that reimagine what is possible for young people aged 14 to 20.

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STEM Teacher Development by TeachUNITED with Ser Maestro and Viva Peru

The Challenge

Inequality begins early and compounds over time

Despite decades of global investment in education, the playing field remains profoundly uneven. Family background continues to shape academic outcomes more than any other factor. In fact, across OECD countries, only 19% of young people whose parents did not complete upper secondary school continue into higher education or vocational pathways.

Education systems are evolving but structures of disadvantage remain entrenched

While average levels of education have increased worldwide, the most marginalized learners are not benefiting at the same rate. The proportion of low performing 15-year-olds has remained stagnant, or even increased, in many countries since 2012. Socioeconomic status continues to be one of the strongest predictors of achievement, particularly in mathematics, a gateway subject for STEM careers.

Education transition points are critical

Transitions from primary to lower secondary, lower secondary to upper secondary, and school to work are among the most vulnerable stages in a young person’s educational journey. When the support structures at these points are weak or fragmented, students who already face barriers can easily fall behind academically, repeat grades or disengage entirely.

The lifelong impact of not completing upper secondary education

Adults without upper secondary qualifications face higher unemployment, lower earnings, and reduced wellbeing throughout their lives. Women, despite often outperforming men academically, experience unique labor market disadvantages that are even more pronounced when they do not complete upper secondary education.

The Opportunity

As inequality compounds over time, intervention must begin at a pivotal stage – early enough to change a young person’s trajectory, yet timed to equip them with agency, interest, and emerging skills. The early years of secondary education offer this unique opportunity as they are a period when:

  • foundational skills can be reinforced
  • identity and aspirations are forming
  • students begin making decisions that influence long term pathways
  • targeted support can prevent disengagement before it becomes irreversible

By focusing intentionally on the most disadvantaged students, education systems can raise the floor rather than just raise averages – ensuring that improvement lifts those who have historically been left behind, not just those already positioned to succeed.

Why the EDF Was Created

The EDF is rooted in the BHP Foundation’s long-standing commitment to transforming opportunities for underserved young people. The Foundation’s education strategy is anchored in two intertwined pillars:

1. STEM Education: Building inclusive national ecosystems that support underrepresented students to pursue STEM pathways.

2. Skills for the Future: Ensuring young people gain the competencies needed to thrive in rapidly changing economies.

Together, these pillars reflect a belief that every young person deserves the chance to develop skills that lead to meaningful, fulfilling work – and that societies flourish when those opportunities are equitably distributed.

The EDF is more than a traditional grant making mechanism. It was created with three ambitions:

1. Identify and test high potential or novel ideas: Not everything promising fits neatly into existing funding channels. The EDF creates space for experimentation and innovation – for ideas that might otherwise struggle to secure early-stage investment.

2. Strengthen the global evidence base: Every pilot supported through the EDF is designed to generate actionable learning. The goal isn’t just to test ideas, but to understand why they work, for whom, and under what conditions.

3. Inform future investments for the Foundation and beyond: By uncovering what holds the most promise, the EDF helps shape where the Foundation and other donors can invest for maximum impact.

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Map representing the global scope of the Education Development Fund

Designed for Agility, Learning, and Practical Impact

Unlike large-scale programs that require years to take shape, the EDF emphasizes agile experimentation. Each pilot:

  • runs for up to 18 months
  • operates with budgets under US$1.5 million
  • is selected for its ability to deliver real-time learning and practical insight

This design ensures that the Foundation, and its partners, can quickly understand what works, iterate, and scale ideas with the strongest potential to drive systemic change.

The EDF Application Process

The EDF used a collaborative, staged application process that helped organizations strengthen their ideas rather than simply “submit and wait”. The process included exploratory conversations, an initial pilot-idea submission, iterative feedback cycles, a concise concept note, and, if progressed, a full investment proposal.

This approach has quickly become one of the Fund’s distinguishing strengths: it is supportive, iterative, and designed to help partners shape strong, contextually grounded pilots.

EDF Portfolio Progress: What Has Been Achieved So Far

Over eight months, the Foundation:

  • Explored ~40 ideas across five countries
  • Held formal discussions with 32 potential partners
  • Reviewed 25 concept notes
  • Co-developed 15 full investment proposals

As of early 2026, the EDF has invested US$10.5 million into 12 projects delivered by 11 organizations, including:

  • 7 STEM-focused pilots
  • 5 Skills-for-the-Future pilots
  • Geographic coverage: Canada (4), Chile (3), Australia (2), Peru (2), Argentina (1)

The portfolio was intentionally designed to be diverse in approach, geography, evidence-maturity, and risk tolerance.

Collectively, these pilots aim to support more than 80,000 students and over 1,000 educators over the next 18 months.

Why This Moment Matters

The EDF is a rare example of a fund designed for rapid learning and real-time decision-making. It is:

  • Testing models that could re-shape STEM and skills ecosystems
  • Building an evidence base for governments and donors
  • Supporting community- and Indigenous-led innovation
  • Demonstrating how philanthropic capital can be nimble, learning-oriented, and equity-focused

As the pilots unfold, the Foundation will share insights across its partners, sector peers, and global education networks – ensuring the lessons generated benefit far more than the projects themselves.

The EDF represents an ambitious effort to unlock the transformative potential of young people who are too often left out of the future economy. By investing early, iteratively, and with a commitment to learning, the BHP Foundation is helping to build a stronger evidence base and spark innovations that could shape education systems for years to come.

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Investing in Evidence, Empowering Education: Why the BHP Foundation’s Education Equity Program Will Matter for Decades

In 2016, as the newly established BHP Foundation explored how it could contribute meaningfully to global education, it engaged leading experts, researchers, and practitioners from around the world.

Learn more