This document proposes the Diaspora Collaborative Fund, which would target expatriates from a specific country and allow them to donate amounts between $1,000-$100,000. The funds would be invested in impact finance and social enterprises in the target country to generate returns. Returns would then be donated to development projects in that country, voted on by donors and locals, with the original donations remaining in the fund. A pilot program for Tunisians is suggested, with a local fund and partners already contacted.

1. Hatem Mahbouli
(hm289@georgetown.edu)
Suhail Ahmad
Ashley Silverio
DIASPORA
COLLABORATIVE FUND
The Impact Challenge Proposal

2. Background
Individuals can donate to a friend’s cause or a renown non-
profit. They can also donate to support their home country
projects.
There is a huge potential among the expatriates all around
the world: they are often educated people with good status
coming from low income countries that need investments and
donations
A country-specific programs can strongly motivate the
Diaspora of this very country
Diaspora awareness and money can be leveraged to help
communities in their home countries. They also know better
about the nation’s development priorities.

3. The Diaspora Collaborative Fund:
The Concept (1)
The fund will target the expatriates of one specific
country
The participants will agree to put amounts in the
fund from $1000 to $100000
These participations constitute a sustainable
financial asset to generate return
Only returns are donated to finance development
projects in the home country. Original
participations stay in the fund.

4. The Diaspora Collaborative Fund:
The Concept (2)
The funds raised through the diaspora
participations can be invested in:
return generating projects in the concerned country
(social enterprises)
Impact finance markets
The return on investment is donated for
development projects or as grants for local
entrepreneurs

5. Collaborative Fund
(Web Platform)
investing
Impact Finance
+
Social Enterprises
Donating returns
on investments
The Diaspora Collaborative Fund – Example of Tunisia

6. Reducing Transactions Costs
The Diaspora will be reached through associations,
embassies , banks and the media that target this
specific community abroad.
The investor-donor connects to the fund website,
creates a profile and fills in the form to credit the
chosen amount
Beside individuals, organizations and development
agencies interested by the country can participate
in the fund

7. Value-driven Allocations
Projects to be financed are proposed by organizations that are
active in that country
The fund selects the most valuable and displays them on the website
Clear metrics will be displayed to guide the donor’s choice: Budget
of the project/timeline/number of beneficiaries…
The participants vote the appropriate one to be financed
Experts and people living in the country connect to the website and
vote the best project too. They can communicate and express their
concerns and goals directly to the donors.
The donor-investor not only gives financial support to his country
but also discusses and receives direct feedbacks from his
compatriots

8. Donors/Social Investors
Vote
Project 1 Project 2 Project 3 Project 4 Project 5
Vote
Locals and future recipients

9. Transparency and “Refund” Policy
The participant commits to keep his participation for
at least 3 years in the fund, so it can be
appropriately invested
In case of dissatisfaction with the projects and the
fund policy, he can withdraw his participation
after 3 years he can renounce donating the
return on investment and leave the fund
The fund is therefore incented to support efficient
projects

10. Innovative ideas
The projects contains many new ideas that can be
applied in other initiatives:
Gathering a fund and only donating its generated
revenue
Targeting a specific country so we can leverage the
tremendous diasporas financial potential and their
country-related ideas and networks
Enable the future beneficiaries to vote the project and
to discuss directly with the donors
The “refund policy” to achieve efficiency

11. Appendix: The Tunisian Pilot
Local fund in local currency
Tunisians Tounesna- International
abroad Fund.org* Maghreb
Merchant
Tunisia
Bank**
PADIL NGOs
Development
services** Cooperatives
Local development partner
*website in process
** contacts already made