This document summarizes characteristics of global philanthropists and their engagement in development efforts. It finds that while philanthropic giving represents a small portion of overall development funding, it is growing and distributed globally with a focus on health, education, agriculture and disaster relief. The largest philanthropic contributions come from US-based foundations like the Bill & Melinda Gates Foundation, but European philanthropic engagement is also increasing. The document recommends that European development actors strengthen engagement with philanthropists by promoting transparency in reporting, facilitating knowledge sharing between public and private actors, and improving coordination among European donors to maximize complementarity with philanthropic efforts.
Development Cooperation Forum Philanthropy Issues note+421 Foundation
Private philanthropic organizations have become in a very short period of time a key source of development finance. They complement flows from other providers and play a vital role in meeting needs in critical sectors, such as health and education. There is need to better understand the role they can play in international development cooperation and their impact on development results. The MDG Summit in 2010 recognized that and called on foundations to enhance their role in supporting national development efforts and the achievement of the MDGs.
President of the United Nations Economic and Social Council Ambassador Milos Koterec of Slovakia opened on Monday 27th February 2012 the first Dialogue of Development Cooperation Forum (DCF) with private philanthropic organizations. The Development Cooperation Forum, established by the 2005 World Summit in response to the changes in development cooperation as well as to the growing role taken by non-traditional actors, has an important role in spurring global discussions among foundations and United Nations Member States. The meeting focused on issues of comparative advantages and good practices of philantropic organizations and on promoting partnerships to achieve better development results. It enjoyed participation of important stakeholder like President of Ford Foundation Luis Ubinas, Executive Director of Trust Africa Akwasi Aidoo, Founder of Education for Employment network Ron Bruder, Vice President for Strategic Philantropy Foundation Center Lisa Philip, Bakery Kone of the African Capacity Building Foundation, Managing Director of Rockefeller Foundation Rob Garris and many others, as well as representatives of member states.
Global Philanthropy Report. Perspectives on the global foundation sectorDominique Gross
Report: Perspectives on the global foundation sector
seeks to develop a knowledge base to address the size,
scope, and practice of institutional philanthropy across
the globe. This inaugural report represents a first step
in an attempt to understand worldwide philanthropic
practices and trends; provide comparative analysis across
countries and regions; begin to develop a picture of the
magnitude of global philanthropic investment; and help
create an evidence-based discussion on global philanthropy.
We hope to publish the report biennially, adding additional
countries and reporting increasingly comprehensive
data within countries in future editions. Importantly, national
collaborators are publishing more in-depth reports
on philanthropy in their individual countries.
Private Philanthropy: An Overview On Giving in The U.S. and WorldwideAndrew Tulchin
Private philanthropic giving from individuals, corporations and foundations contri-butes a significant proportion to value flows related to development aid and other social change efforts. Private sector actors are important sources of funding to NGOs and multilateral organizations – either working for causes in their home societies or seeking to improve the lives of poorer groups in developing countries. In many cases, they provide occasional donations, and also establish long-term partnerships with non-profits, foundations, and government stakeholders.
This white paper provides an overview on giving practices in the private sector. By summarizing existing literature and drawing on secondary data, it explores the variety of private philanthropy across regions and by donor type. Additionally, it outlines emerging new waves and concerns for private philanthropy.
As a result of the frustration of not being let join the top table of the Bretton Woods institutions, the BRICS grouping and its members have gone about setting up their own new IFIs in recent years, as an implicit challenge to the hegemony and financial control of traditional Western powers. While they have often used the language of South-‐South solidarity, and of transforming global dynamics to more genuinely address and include the needs and wants of the majority of the world living in the Global South, but many still see the BRICS financial projects as reflecting not a desire for radical economic transformation, but a wish to establish themselves as new hegemonic global powers, and assert the same control of international economic dynamics that Western powers previously had.
The Centre for Financial Accountability aims to strengthen and improve financial accountability within India by engaging in critical analysis, monitoring and critique of the role of financial institutions – national and international, and their impact on development, human rights and the environment, amongst other areas.
For more information visit http://www.cenfa.org Get in touch with us at info@cenfa.org
We also publish Finance Matters, a weekly newsletter on the development finance.
The archive can be accessed at http://www.cenfa.org/newsletter-archive/ To subscribe, email us at newsletter@cenfa.org
1. Paying for success models can catalyze private investment in development by making subsidies conditional on performance results. This approach avoids issues like moral hazard, improves targeting of funds, and promotes competition that come with traditional subsidies and guarantees.
2. Impact bonds and development impact bonds are examples of paying for success models that have been used to fund girls' education in India and reduce recidivism in the UK. There is large potential to expand these models given private wealth that will be inherited in coming decades.
3. Careful design is needed to ensure subsidies through paying for success models incentivize additionality and are not distortionary. Examples from Peru in the 1990s show such models can mobilize more than 10
The document discusses state lottery programs and their social effects. It describes two major state lottery scholarship programs, the HOPE Grant lottery in Georgia and similar programs in Kentucky and Florida. These lotteries are credited with expanding access to higher education. Lotteries exist in most countries worldwide except Antarctica. In the US, they are legal in 42 states and raise money for public good in lieu of increased taxes, though some oppose them for religious or moral reasons.
Challenges for International Development CooperationDr Lendy Spires
Brazil has emerged as an influential regional power and global actor, advocating for developing countries. While still facing development challenges itself, Brazil provides development aid and engages in South-South cooperation to strengthen relationships with other developing nations. Brazil sees its development cooperation as an instrument of its foreign policy, using it to expand South-South cooperation and shape global governance structures. As an emerging donor, Brazil presents both opportunities and risks for international development that warrant further analysis.
Foreign aid - Transparency and Accountability - October 2017paul young cpa, cga
- Paul Young is a CPA and expert in areas including risk management, reporting, public policy, supply chain management, and business strategy.
- The document discusses definitions of foreign aid and outlines the UN's position that donor countries have failed to meet their commitments of giving 0.7% of GNI as foreign aid annually. It also notes issues with how aid is often spent and potential for corruption.
- Specific sections cover Canada's foreign aid budget and policies, as well as issues around transparency and oversight of foreign aid spending by countries like the UK, US, and Canada. Key recipient countries discussed include Haiti, North Korea, Africa, Palestine, and Mali.
Development Cooperation Forum Philanthropy Issues note+421 Foundation
Private philanthropic organizations have become in a very short period of time a key source of development finance. They complement flows from other providers and play a vital role in meeting needs in critical sectors, such as health and education. There is need to better understand the role they can play in international development cooperation and their impact on development results. The MDG Summit in 2010 recognized that and called on foundations to enhance their role in supporting national development efforts and the achievement of the MDGs.
President of the United Nations Economic and Social Council Ambassador Milos Koterec of Slovakia opened on Monday 27th February 2012 the first Dialogue of Development Cooperation Forum (DCF) with private philanthropic organizations. The Development Cooperation Forum, established by the 2005 World Summit in response to the changes in development cooperation as well as to the growing role taken by non-traditional actors, has an important role in spurring global discussions among foundations and United Nations Member States. The meeting focused on issues of comparative advantages and good practices of philantropic organizations and on promoting partnerships to achieve better development results. It enjoyed participation of important stakeholder like President of Ford Foundation Luis Ubinas, Executive Director of Trust Africa Akwasi Aidoo, Founder of Education for Employment network Ron Bruder, Vice President for Strategic Philantropy Foundation Center Lisa Philip, Bakery Kone of the African Capacity Building Foundation, Managing Director of Rockefeller Foundation Rob Garris and many others, as well as representatives of member states.
Global Philanthropy Report. Perspectives on the global foundation sectorDominique Gross
Report: Perspectives on the global foundation sector
seeks to develop a knowledge base to address the size,
scope, and practice of institutional philanthropy across
the globe. This inaugural report represents a first step
in an attempt to understand worldwide philanthropic
practices and trends; provide comparative analysis across
countries and regions; begin to develop a picture of the
magnitude of global philanthropic investment; and help
create an evidence-based discussion on global philanthropy.
We hope to publish the report biennially, adding additional
countries and reporting increasingly comprehensive
data within countries in future editions. Importantly, national
collaborators are publishing more in-depth reports
on philanthropy in their individual countries.
Private Philanthropy: An Overview On Giving in The U.S. and WorldwideAndrew Tulchin
Private philanthropic giving from individuals, corporations and foundations contri-butes a significant proportion to value flows related to development aid and other social change efforts. Private sector actors are important sources of funding to NGOs and multilateral organizations – either working for causes in their home societies or seeking to improve the lives of poorer groups in developing countries. In many cases, they provide occasional donations, and also establish long-term partnerships with non-profits, foundations, and government stakeholders.
This white paper provides an overview on giving practices in the private sector. By summarizing existing literature and drawing on secondary data, it explores the variety of private philanthropy across regions and by donor type. Additionally, it outlines emerging new waves and concerns for private philanthropy.
As a result of the frustration of not being let join the top table of the Bretton Woods institutions, the BRICS grouping and its members have gone about setting up their own new IFIs in recent years, as an implicit challenge to the hegemony and financial control of traditional Western powers. While they have often used the language of South-‐South solidarity, and of transforming global dynamics to more genuinely address and include the needs and wants of the majority of the world living in the Global South, but many still see the BRICS financial projects as reflecting not a desire for radical economic transformation, but a wish to establish themselves as new hegemonic global powers, and assert the same control of international economic dynamics that Western powers previously had.
The Centre for Financial Accountability aims to strengthen and improve financial accountability within India by engaging in critical analysis, monitoring and critique of the role of financial institutions – national and international, and their impact on development, human rights and the environment, amongst other areas.
For more information visit http://www.cenfa.org Get in touch with us at info@cenfa.org
We also publish Finance Matters, a weekly newsletter on the development finance.
The archive can be accessed at http://www.cenfa.org/newsletter-archive/ To subscribe, email us at newsletter@cenfa.org
1. Paying for success models can catalyze private investment in development by making subsidies conditional on performance results. This approach avoids issues like moral hazard, improves targeting of funds, and promotes competition that come with traditional subsidies and guarantees.
2. Impact bonds and development impact bonds are examples of paying for success models that have been used to fund girls' education in India and reduce recidivism in the UK. There is large potential to expand these models given private wealth that will be inherited in coming decades.
3. Careful design is needed to ensure subsidies through paying for success models incentivize additionality and are not distortionary. Examples from Peru in the 1990s show such models can mobilize more than 10
The document discusses state lottery programs and their social effects. It describes two major state lottery scholarship programs, the HOPE Grant lottery in Georgia and similar programs in Kentucky and Florida. These lotteries are credited with expanding access to higher education. Lotteries exist in most countries worldwide except Antarctica. In the US, they are legal in 42 states and raise money for public good in lieu of increased taxes, though some oppose them for religious or moral reasons.
Challenges for International Development CooperationDr Lendy Spires
Brazil has emerged as an influential regional power and global actor, advocating for developing countries. While still facing development challenges itself, Brazil provides development aid and engages in South-South cooperation to strengthen relationships with other developing nations. Brazil sees its development cooperation as an instrument of its foreign policy, using it to expand South-South cooperation and shape global governance structures. As an emerging donor, Brazil presents both opportunities and risks for international development that warrant further analysis.
Foreign aid - Transparency and Accountability - October 2017paul young cpa, cga
- Paul Young is a CPA and expert in areas including risk management, reporting, public policy, supply chain management, and business strategy.
- The document discusses definitions of foreign aid and outlines the UN's position that donor countries have failed to meet their commitments of giving 0.7% of GNI as foreign aid annually. It also notes issues with how aid is often spent and potential for corruption.
- Specific sections cover Canada's foreign aid budget and policies, as well as issues around transparency and oversight of foreign aid spending by countries like the UK, US, and Canada. Key recipient countries discussed include Haiti, North Korea, Africa, Palestine, and Mali.
This document provides resources for non-profits to search for grant opportunities, including online directories of foundations and grants, as well as some potential grant sources. It recommends first understanding your organization's eligibility and the funder's priorities. Then it lists several online databases of foundations and grants, including some focused on North Carolina. It also provides some examples of specific grant opportunities. Finally, it offers additional fundraising resources beyond just grants.
Williams, monica why hbcu presidents need entrepreneurial focusWilliam Kritsonis
This document discusses the importance of presidential involvement in fundraising at Historically Black Colleges and Universities (HBCUs). It notes that HBCU presidents need to develop an entrepreneurial spirit to encourage private fundraising, as public support is decreasing. The president's direct involvement in donor cultivation and stewardship is crucial to creating sustained giving. However, many HBCU presidents fail to engage donors. For HBCUs to survive, presidents must embrace fundraising and cultivate meaningful relationships with satisfied donors.
This document discusses resources for non-governmental organizations (NGOs) to search for international grants and funding online. It outlines several major international databases that provide profiles of corporate and independent foundations that fund work globally. These databases include the European Foundation Centre, Imagine Canada, United States International Grantmaking, and Grantmakers Without Borders. Membership fees are required to access full profiles of funders on some of these databases. The profiles provide important information for NGOs to determine if funders align with their work and decide which to initially contact.
Foreign aid - Transparency and Accountability - June 2017paul young cpa, cga
- Paul Young is a CPA and expert in risk management, business strategy, supply chain management and public policy.
- The document discusses definitions of foreign aid and outlines the UN's goals for foreign aid contributions from wealthy nations. However, it notes donor countries often fail to meet the 0.7% GNI target and aid comes with conditions that benefit donor countries over recipients.
- It then outlines transparency issues with foreign aid contractors' salaries and profits. Several countries' foreign aid programs and budgets are examined, including criticism of a lack of transparency in Canada's system.
This document provides an overview of different types of grants including capital grants, operating grants, and program/project grants. It also discusses different types of funders such as government agencies and private and public foundations. Key points of each type of funder are summarized. The document concludes with pointers for non-profits to get grant ready and lists resources for additional information.
1) The document discusses moving from viewing fragile situations as "fragile states" and instead focusing on "states of fragility" to acknowledge fragility as an issue that can affect any state.
2) It notes reducing poverty in fragile contexts will require building resilient institutions, as fragile states are less likely to achieve goals like the Millennium Development Goals.
3) The allocation of development assistance needs to be better targeted, as currently only a small portion goes to areas like security, justice and political reform that directly address fragility.
The International Consortium on Governmental Financial Management (ICGFM) is a non-profit founded in 1978 that brings together leaders and practitioners in public financial management (PFM) to facilitate sharing best practices. It works to improve PFM at local, state/provincial, and national government levels through exchanging information via conferences, training programs, and its journal. The ICGFM also develops guidance on PFM topics like accrual-based IPSAS implementation. It has members from both organizations and individuals working in the PFM field.
Letter to Congressional Taskforce on Economic Growth in Puerto Rico10 14-16Nancy Santiago Negrón
Policy recommendations to Congress to stimulate economic growth in Puerto Rico: CRA incentives, 8A small business designation for all Puerto Rico based businesses, waiver of dollar-for-dollar match for federal grants, HubZone extension for Puerto Rico.
This document summarizes a research paper that analyzes factors associated with greater financial inclusion, defined as the use of formal bank accounts, using individual-level data from 123 countries. The study finds that greater account ownership is associated with a better enabling environment like lower account costs and greater access to financial institutions. Policies targeted at promoting inclusion, such as requiring low-cost basic accounts or using accounts for government payments, may be especially effective for the poor and rural residents who are most likely to be excluded. The study also analyzes perceived barriers to account ownership among the financially excluded and finds lower reported barriers in countries with lower account costs and more widespread financial institutions.
This document discusses the financing needs for achieving sustainable development goals after 2015. It identifies several components of post-2015 development finance, including domestic public and private financing as well as international public and private financing. Official development assistance remains crucial, especially for low-income countries, but domestic resource mobilization and private capital will also be important. A variety of financing sources are needed and should be seen as complements rather than substitutes. Ensuring adequate financing from all sources will be key to achieving post-2015 development goals.
PAYING FOR ZERO: Global Development Finance and the Post-2015 AgendaDr Lendy Spires
This document discusses the financing needs for achieving sustainable development goals after 2015. It identifies several components of post-2015 development finance, including domestic public and private financing as well as international public and private financing. Official development assistance remains an important source of financing, especially for low-income countries, but domestic resource mobilization and private capital will also be crucial. A variety of financing sources will be needed to meet needs across different sectors. Public policies are needed to incentivize private investment at sufficient scale where it is desired. Overall financing requirements cannot yet be precisely estimated before post-2015 goals are set, but resources will need to align with goals to achieve them.
The document summarizes a study that found donor motivations for charitable giving vary based on income and education level rather than region. Lower-income donors were more motivated by helping meet basic needs or helping the poor help themselves, while middle-income donors wanted to make the world better. Higher-income donors cited motivations like those with more should help those with less or making their community better. Non-profits are advised to tailor fundraising messages and strategies based on understanding donor motivations related to factors like income rather than just geography.
This document summarizes a research paper that analyzes the relationship between foreign aid disbursements and offshore bank deposits. The paper finds that aid disbursements to highly aid-dependent countries are associated with sharp increases in bank deposits in offshore financial centers known for secrecy, but not in other financial centers. Specifically, a 1% of GDP increase in aid is correlated with a 3.4% increase in offshore deposits. This pattern is consistent with some aid being diverted or captured by economic elites in recipient countries. The paper considers various alternative explanations but finds elite capture to be the most plausible. It estimates an average leakage rate of foreign aid into offshore accounts of around 7.5%, though this varies depending on country characteristics
This document discusses perspectives on foreign aid and development policy. It outlines different types of aid and perspectives on its effectiveness. There are seen to be three main perspectives: radicals who reject aid as post-colonial guilt; sceptics who believe aid often does more harm than good by creating dependencies and hindering free markets; and optimists who believe aid can be effective if countries have ownership over projects and goals. The document also discusses the Paris Declaration which established principles to improve aid effectiveness through country ownership, donor coordination, and mutual accountability.
Development Cooperation post COVID-19: Calling for a New Type of Global Solid...Francois Stepman
Presentation by Zhang Chuanhong, China Institute for South-South Cooperation in Agriculture, Beijing, China, 9 April 2020. UNDP Seoul Policy Centre (USPC) Webinar Series. Post-COVID-19: Implications for International (Development) Cooperation
This document aims at raising awareness of college students who receive their first introductory training course on international development. At the end of this course, the students will understand the need for synergies between the public and private sectors in order to increase available fund to fulfill the Sustainable Development Goals (SDGs). It is of the utmost importance that the international community mobilizes itself towards the fulfillment of the SDGs within the next 15 years. The self-explanatory figure explains the process of financing for development while the short text brings an overall explanation.
Development Cooperation post COVID-19: Possible Implications of the Current C...Francois Stepman
Presentation by Jonathan Glennie, Writer and Consultant, Barranquilla, Colombia. 9 April 2020. UNDP Seoul Policy Centre (USPC) Webinar Series. Post-COVID-19: Implications for International (Development) Cooperation
This document summarizes the report of the UN Special Rapporteur on the rights of indigenous peoples regarding the situation of the Sami people living in Norway, Sweden, and Finland. It provides an overview of the Sami people, including their traditional territories, population, livelihoods, and forms of social organization. It also describes the general legal and policy frameworks in each country. The report examines areas of concern regarding Sami self-determination, lands and resource rights, language preservation, and culturally appropriate education. It concludes with recommendations to strengthen protections and fulfillment of Sami rights in accordance with international standards.
I os and peer pressure an examination of the development assistance committee...Dr Lendy Spires
This document discusses a study examining whether international organizations can influence the foreign policies of member states. Specifically, it analyzes the Development Assistance Committee (DAC) of the Organization for Economic Cooperation and Development (OECD), which uses a formal peer review process to assess member states' development aid programs. Through archival research and interviews, the study models the interaction between DAC and member states like the UK. It aims to determine if peer pressure is an effective tool for DAC to influence aid policies in line with agreements like the Paris Declaration.
Opportunities and Obstacles to Financial inclusion 110708 finalDr Lendy Spires
The document is a survey report from the Center for Financial Inclusion on opportunities and obstacles to financial inclusion.
1. The top opportunity identified was financial education to improve client financial literacy. The top obstacle was also limited financial literacy among clients. This highlights the need to better understand client needs in order to expand the product range and ensure clients can safely benefit from services.
2. Participants recognize they have lacked focus on actual client needs and benefits, instead prioritizing their own operations and known products. This reveals a gap between providers and clients. Bridging this will require expanding products, ensuring quality, and building industry capacity.
3. Achieving full financial inclusion requires access to a range of affordable, convenient quality
This document provides resources for non-profits to search for grant opportunities, including online directories of foundations and grants, as well as some potential grant sources. It recommends first understanding your organization's eligibility and the funder's priorities. Then it lists several online databases of foundations and grants, including some focused on North Carolina. It also provides some examples of specific grant opportunities. Finally, it offers additional fundraising resources beyond just grants.
Williams, monica why hbcu presidents need entrepreneurial focusWilliam Kritsonis
This document discusses the importance of presidential involvement in fundraising at Historically Black Colleges and Universities (HBCUs). It notes that HBCU presidents need to develop an entrepreneurial spirit to encourage private fundraising, as public support is decreasing. The president's direct involvement in donor cultivation and stewardship is crucial to creating sustained giving. However, many HBCU presidents fail to engage donors. For HBCUs to survive, presidents must embrace fundraising and cultivate meaningful relationships with satisfied donors.
This document discusses resources for non-governmental organizations (NGOs) to search for international grants and funding online. It outlines several major international databases that provide profiles of corporate and independent foundations that fund work globally. These databases include the European Foundation Centre, Imagine Canada, United States International Grantmaking, and Grantmakers Without Borders. Membership fees are required to access full profiles of funders on some of these databases. The profiles provide important information for NGOs to determine if funders align with their work and decide which to initially contact.
Foreign aid - Transparency and Accountability - June 2017paul young cpa, cga
- Paul Young is a CPA and expert in risk management, business strategy, supply chain management and public policy.
- The document discusses definitions of foreign aid and outlines the UN's goals for foreign aid contributions from wealthy nations. However, it notes donor countries often fail to meet the 0.7% GNI target and aid comes with conditions that benefit donor countries over recipients.
- It then outlines transparency issues with foreign aid contractors' salaries and profits. Several countries' foreign aid programs and budgets are examined, including criticism of a lack of transparency in Canada's system.
This document provides an overview of different types of grants including capital grants, operating grants, and program/project grants. It also discusses different types of funders such as government agencies and private and public foundations. Key points of each type of funder are summarized. The document concludes with pointers for non-profits to get grant ready and lists resources for additional information.
1) The document discusses moving from viewing fragile situations as "fragile states" and instead focusing on "states of fragility" to acknowledge fragility as an issue that can affect any state.
2) It notes reducing poverty in fragile contexts will require building resilient institutions, as fragile states are less likely to achieve goals like the Millennium Development Goals.
3) The allocation of development assistance needs to be better targeted, as currently only a small portion goes to areas like security, justice and political reform that directly address fragility.
The International Consortium on Governmental Financial Management (ICGFM) is a non-profit founded in 1978 that brings together leaders and practitioners in public financial management (PFM) to facilitate sharing best practices. It works to improve PFM at local, state/provincial, and national government levels through exchanging information via conferences, training programs, and its journal. The ICGFM also develops guidance on PFM topics like accrual-based IPSAS implementation. It has members from both organizations and individuals working in the PFM field.
Letter to Congressional Taskforce on Economic Growth in Puerto Rico10 14-16Nancy Santiago Negrón
Policy recommendations to Congress to stimulate economic growth in Puerto Rico: CRA incentives, 8A small business designation for all Puerto Rico based businesses, waiver of dollar-for-dollar match for federal grants, HubZone extension for Puerto Rico.
This document summarizes a research paper that analyzes factors associated with greater financial inclusion, defined as the use of formal bank accounts, using individual-level data from 123 countries. The study finds that greater account ownership is associated with a better enabling environment like lower account costs and greater access to financial institutions. Policies targeted at promoting inclusion, such as requiring low-cost basic accounts or using accounts for government payments, may be especially effective for the poor and rural residents who are most likely to be excluded. The study also analyzes perceived barriers to account ownership among the financially excluded and finds lower reported barriers in countries with lower account costs and more widespread financial institutions.
This document discusses the financing needs for achieving sustainable development goals after 2015. It identifies several components of post-2015 development finance, including domestic public and private financing as well as international public and private financing. Official development assistance remains crucial, especially for low-income countries, but domestic resource mobilization and private capital will also be important. A variety of financing sources are needed and should be seen as complements rather than substitutes. Ensuring adequate financing from all sources will be key to achieving post-2015 development goals.
PAYING FOR ZERO: Global Development Finance and the Post-2015 AgendaDr Lendy Spires
This document discusses the financing needs for achieving sustainable development goals after 2015. It identifies several components of post-2015 development finance, including domestic public and private financing as well as international public and private financing. Official development assistance remains an important source of financing, especially for low-income countries, but domestic resource mobilization and private capital will also be crucial. A variety of financing sources will be needed to meet needs across different sectors. Public policies are needed to incentivize private investment at sufficient scale where it is desired. Overall financing requirements cannot yet be precisely estimated before post-2015 goals are set, but resources will need to align with goals to achieve them.
The document summarizes a study that found donor motivations for charitable giving vary based on income and education level rather than region. Lower-income donors were more motivated by helping meet basic needs or helping the poor help themselves, while middle-income donors wanted to make the world better. Higher-income donors cited motivations like those with more should help those with less or making their community better. Non-profits are advised to tailor fundraising messages and strategies based on understanding donor motivations related to factors like income rather than just geography.
This document summarizes a research paper that analyzes the relationship between foreign aid disbursements and offshore bank deposits. The paper finds that aid disbursements to highly aid-dependent countries are associated with sharp increases in bank deposits in offshore financial centers known for secrecy, but not in other financial centers. Specifically, a 1% of GDP increase in aid is correlated with a 3.4% increase in offshore deposits. This pattern is consistent with some aid being diverted or captured by economic elites in recipient countries. The paper considers various alternative explanations but finds elite capture to be the most plausible. It estimates an average leakage rate of foreign aid into offshore accounts of around 7.5%, though this varies depending on country characteristics
This document discusses perspectives on foreign aid and development policy. It outlines different types of aid and perspectives on its effectiveness. There are seen to be three main perspectives: radicals who reject aid as post-colonial guilt; sceptics who believe aid often does more harm than good by creating dependencies and hindering free markets; and optimists who believe aid can be effective if countries have ownership over projects and goals. The document also discusses the Paris Declaration which established principles to improve aid effectiveness through country ownership, donor coordination, and mutual accountability.
Development Cooperation post COVID-19: Calling for a New Type of Global Solid...Francois Stepman
Presentation by Zhang Chuanhong, China Institute for South-South Cooperation in Agriculture, Beijing, China, 9 April 2020. UNDP Seoul Policy Centre (USPC) Webinar Series. Post-COVID-19: Implications for International (Development) Cooperation
This document aims at raising awareness of college students who receive their first introductory training course on international development. At the end of this course, the students will understand the need for synergies between the public and private sectors in order to increase available fund to fulfill the Sustainable Development Goals (SDGs). It is of the utmost importance that the international community mobilizes itself towards the fulfillment of the SDGs within the next 15 years. The self-explanatory figure explains the process of financing for development while the short text brings an overall explanation.
Development Cooperation post COVID-19: Possible Implications of the Current C...Francois Stepman
Presentation by Jonathan Glennie, Writer and Consultant, Barranquilla, Colombia. 9 April 2020. UNDP Seoul Policy Centre (USPC) Webinar Series. Post-COVID-19: Implications for International (Development) Cooperation
This document summarizes the report of the UN Special Rapporteur on the rights of indigenous peoples regarding the situation of the Sami people living in Norway, Sweden, and Finland. It provides an overview of the Sami people, including their traditional territories, population, livelihoods, and forms of social organization. It also describes the general legal and policy frameworks in each country. The report examines areas of concern regarding Sami self-determination, lands and resource rights, language preservation, and culturally appropriate education. It concludes with recommendations to strengthen protections and fulfillment of Sami rights in accordance with international standards.
I os and peer pressure an examination of the development assistance committee...Dr Lendy Spires
This document discusses a study examining whether international organizations can influence the foreign policies of member states. Specifically, it analyzes the Development Assistance Committee (DAC) of the Organization for Economic Cooperation and Development (OECD), which uses a formal peer review process to assess member states' development aid programs. Through archival research and interviews, the study models the interaction between DAC and member states like the UK. It aims to determine if peer pressure is an effective tool for DAC to influence aid policies in line with agreements like the Paris Declaration.
Opportunities and Obstacles to Financial inclusion 110708 finalDr Lendy Spires
The document is a survey report from the Center for Financial Inclusion on opportunities and obstacles to financial inclusion.
1. The top opportunity identified was financial education to improve client financial literacy. The top obstacle was also limited financial literacy among clients. This highlights the need to better understand client needs in order to expand the product range and ensure clients can safely benefit from services.
2. Participants recognize they have lacked focus on actual client needs and benefits, instead prioritizing their own operations and known products. This reveals a gap between providers and clients. Bridging this will require expanding products, ensuring quality, and building industry capacity.
3. Achieving full financial inclusion requires access to a range of affordable, convenient quality
This document provides an evaluation of PACT's Women's Empowerment Program (WEP) in Nepal, which established over 6,500 savings and credit groups comprising 130,000 women within its first year of operation. The evaluation found that WEP used a novel microfinance model based on building equity in the groups rather than incurring debt. Each group loaned its own savings to members and others in the village, with interest paid to the group and savers. Literacy training was fully integrated into the program. The evaluation collected data from 200 group interviews and 500 individual questionnaires to measure group performance and the program's impact. It found that WEP helped thousands of groups evolve into well-managed, member-controlled savings and
1) The report examines the situation of indigenous peoples in Botswana, focusing on groups that have been historically marginalized and remain non-dominant. It acknowledges some positive government initiatives but notes ongoing shortcomings.
2) While the government has developed cultural recognition programs, it needs programs that genuinely respect cultural diversity in areas like political structures and land use. Initiatives often reflect the dominant Tswana tribes to the exclusion of others.
3) Marginalized indigenous peoples continue confronting issues from historical land losses. Significant tribal lands were lost during and after colonization, especially for the Basarwa people. Failure to adequately address these grievances profoundly impacts indigenous peoples today.
This document is a manual for training indigenous community members on community-based REDD+.
It aims to provide indigenous community trainers with the knowledge and skills needed to educate community members about REDD+ and help assess whether REDD+ projects are appropriate for their communities.
The manual covers basic concepts around REDD+, community participation and empowerment. It also provides practical guidance on assessing land use options, setting up community-based carbon monitoring, community forest management, and evaluating readiness for REDD+.
The goal is to build community capacity and agency so that indigenous peoples can make informed decisions about whether and how to engage with REDD+ in a way that respects their rights and interests.
Mobile phones, human rights and social justice in africaDr Lendy Spires
This document summarizes research conducted on the use of mobile phones by civil society organizations in Africa for human rights and social justice work. Over 50 organizations were identified that are using mobile phones for communication, networking, advocacy and services, though the actual number is likely much higher. While mobile phones have enabled unprecedented connectivity, organizations still face challenges like high costs, lack of electricity in rural areas, and limited technical capacity. The workshop this document refers to aims to help organizations overcome isolation, share experiences using mobile technology, and establish an ongoing support network.
This document provides an annual monitoring report on financial inclusion in the UK from 2013-2017. It summarizes key findings from recent data on topics like household finances, bank account access, savings, borrowing, and debt. The economic crisis has significantly impacted unemployment, wages, and incomes in the UK. While fewer people lack bank accounts, nearly 2 million adults remain unbanked. Most households have little capacity to handle unexpected expenses and many are struggling to make ends meet through cutting spending or falling into problem debt. Future reports will continue tracking changes in these financial inclusion indicators through 2017.
The book „Development Cooperation and Emerging Powers - New Partners or Old Patterns?“ Existing global frameworks for development cooperation are heavily dominated by the experiences of industrialized countries. However, emerging economies have begun to accelerate their development cooperation with other developing countries, and attempts to bring them into existing aid models have been met with caution and reservation. This expert and topical volume explores the development cooperation policies of China, India, Brazil and South Africa and compares them with those of Mexico and Western actors. In exploring the motivation and execution of these countries' development policies, the volume analyzes how South-South cooperation has evolved, and where it differs from traditional development cooperation. This vital new collection brings together first-hand experience from a range of national experts from these countries and provides a forward-looking analysis of global frameworks and the evolution of a possible convergence of traditional and 'emerging' development actors. The joint publication „Development Cooperation and Emerging Powers“ is an outcome of the Training and Dialogue Programme 'Managing Global Governance' (MGG) of the German Ministry for Economic Co-operation and Development (BMZ) and its alumni and partner organization network.
This document discusses poverty, financial exclusion, and Islamic microfinance in Islamic countries. It provides data showing that five IsDB member countries account for over half a billion people living below $2 a day, and ten countries account for over 600 million people living in poverty. It also shows that the majority of IsDB member countries rank low on development indicators. Regarding financial inclusion, it finds that in many IsDB countries, only one-fifth or less of adults have access to formal financial services. The document discusses various models of Islamic microfinance and how integrating Islamic social funds like zakat and waqf can help address issues with conventional microfinance models and enhance financial inclusion.
This document summarizes discussions from a pre-summit workshop on developing an action plan for gender lens investing and incubation of enterprises that empower women and girls. It provides context on defining high-impact enterprises and the business case for considering gender. Workshop participants then split into subgroups to discuss challenges and solutions related to different case studies. One case study examined challenges faced by a women entrepreneur and producers, including time constraints, lack of support services, and social perceptions. The other considered operational challenges of employing women as producers and distributors, such as gender roles and sexual harassment. Solutions proposed strategies like support services, sensitization workshops, collective support groups, and addressing male ego issues.
Danish development aid case study of an effective instrument complementing fo...Dr Lendy Spires
This document summarizes the Danish development aid system known as Danida. It highlights that Denmark consistently ranks highly in international assessments due to its high spending on development assistance as a percentage of gross national income. The Danish model blends development aid with other foreign policy goals like trade, security and climate change. It has a strong legal framework and enjoys broad public support. The decentralized system is cost-effective and flexible while maintaining coordination across government.
Epa policy on environmental justice for working with federally recognized tri...Dr Lendy Spires
This policy outlines 17 principles for the EPA to follow when working with federally recognized tribes and indigenous peoples to address environmental justice concerns. It aims to ensure their meaningful involvement in EPA decisions and consider impacts to their health and environment. Key aspects include consulting with tribes on actions affecting them, understanding different perspectives on health and environment, and integrating traditional knowledge where appropriate. The EPA also seeks to build tribal capacity to establish public participation and conduct environmental justice analysis for their own programs.
Indigenous and tribal peoples rights over their ancestral lands and natural r...Dr Lendy Spires
This document discusses the norms and jurisprudence around indigenous and tribal peoples' rights to their ancestral lands and natural resources in the Inter-American human rights system. It notes that indigenous peoples have a unique relationship to their traditional territories, on which their physical, cultural and spiritual vitality depends. The right to property over ancestral lands is thus fundamental to indigenous communities' culture, integrity and survival. The document examines the sources of law protecting these rights in international and domestic instruments, and analyzes the scope and content of indigenous property rights and corresponding state obligations based on rulings of the Inter-American Commission and Court of Human Rights.
This document provides an overview and guidelines for good practices in financial consumer protection. It acknowledges the increased focus on this topic by international bodies like the G20 and OECD in light of the growth in financial services usage and the financial crisis. The guidelines cover common principles for all financial services as well as specific practices for banking, securities, insurance, pensions and credit reporting. The goal is to protect consumers by ensuring they receive information, are not subject to unfair practices, and have access to dispute resolution. Financial education is also seen as important to empower consumers.
This policy brief covers a discussion on finance for sustainable development held during a full day conference at the Stockholm School of Economics on May 11, 2015. The event was organized jointly by the Stockholm Institute of Transition Economics (SITE) and the Swedish Ministry for Foreign Affairs, and was the fifth installment of Development Day – a yearly development policy conference. With the Millennium Development Goals (MDGs) expiring in 2015, the members of the United Nations are now in the process of defining a post-2015 development agenda. The Sustainable Development Goals (SDGs) build on the eight anti-poverty targets in the MDG but also include a renewed emphasis on environmental and social sustainability. Whatever targets or goals will be agreed upon in the end, we know for certain that reaching the objectives will require substantial financial resources, far beyond the current levels of official development assistance (ODA). To discuss this issue, the conference brought together a distinguished and experienced group of policy-oriented scholars and practitioners from government agencies, international organizations, civil society and the business community.
New Actors and Global Development Cooperation Dr Lendy Spires
The global financial crisis has reinforced trends of shifting wealth and power in the world economy. One expression of this changing global context is the rising role of so-called ›new‹ actors as development assistance providers. The ›new actors‹ term is a convenient (though not entirely accurate) label to describe a heterogeneous group of state and non-state actors that OECD-DAC donors increasingly recognise as interesting partners for engagement. For many partner countries these new actors have provided a welcome source of additional development finance. In the context of this work programme, the global development players China, India, and Brazil, regional players such as Mexico and South Africa, private foundations and corporate philanthropies have all been included in this group. Yet the current landscape of development cooperation also extends beyond these actors to include states as diverse as Chile, Colombia, Egypt, Indonesia, Turkey, and Vietnam, to name a few examples.1 One starting assumption in this work package was that an improved knowledge base about the priorities and activities of new actors in developing countries is a prerequisite for designing more effective European strategies for engagement. Drawing on the pub-lications from the work package, this paper paints a general portrait of the development cooperation efforts of new actors and highlights issues to guide thinking on how to respond to their growing presence. The Development Cooperation Engagement of the New Actors As the salience of new actors has risen on the global development agenda, efforts to estimate the scale of resources committed to development cooperation have also in-creased. The attention given to particular actors is not necessarily always related to the volume of development financing they provide.
Funding the UN System on Development, Environment and Humanitarian reliefDr Lendy Spires
The document discusses issues with the current fragmented and unpredictable funding model for UN development work. Only 40% of UN development funding comes as core unearmarked contributions, while the majority is earmarked voluntary funding. This leads to management challenges, unclear accountability, and limits the UN's strategic decision making. The document proposes reforming UN funding to provide more predictable multi-year funding and increase the proportion of core unearmarked contributions. This would allow the UN to better fulfill its roles in development, setting global standards, and providing global public goods.
This document discusses funding challenges faced by women's organizations. It summarizes recent research finding that while some local women's organizations have received increased funding for areas like reducing violence against women and HIV/AIDS, the majority are struggling to secure funds and sustain core activities. Only a small percentage reported increased funding since 2000. Additionally, most women's organizations are small with annual budgets under $50,000, and over half are receiving less funding than in 2000 while facing greater difficulties fundraising. The document aims to provide innovative funding ideas to strengthen the roles of women's organizations in development.
The document discusses financing for sustainable development and scaling up resources for better results. It notes that resources available to developing countries have been constrained and declining, and new financial instruments have yet to mobilize sufficient new funds. The OECD is promoting innovative financing approaches like blended finance and social impact investment to leverage private finance for development. Key opportunities discussed are shifting trillions in private resources towards sustainable development through blended finance models, linking investments to measurable impact, and transforming investments to be green. Strengthening collective efforts requires a focus on innovation, data transparency, and policies to shift resources at large scale from public and private sources for long-term sustainable development strategies.
Article7Beware Big DonorsMegafoundations used to be quiet gi.docxdavezstarr61655
Article7
Beware Big Donors
Megafoundations used to be quiet giants. Now they're noisy activists, shaping policy and politics.
In a January speech at the University of Michigan at Ann Arbor, laying out his policy for higher education, President Obama opened by noting his agenda: "How can we make sure that everybody is getting the kind of education they need to personally succeed but also to build up this nation--because in this economy, there is no greater predictor of individual success than a good education." Although the United States still has "the best network of colleges and universities in the world," he said, "the challenge is it's getting tougher and tougher to afford it." Thus his primary policy concerns were high tuition and student debt.
At Ann Arbor, President Obama captured the spirit of the megafoundation program for higher education. Should we be worried about that confluence?
First, consider how the foundation world has changed. Also in January, at the World Economic Forum in Davos, Switzerland, Bill Gates announced that the Bill & Melinda Gates Foundation was contributing $750-million to the Global Fund to Fight AIDS, Tuberculosis and Malaria. That's a big number. For purposes of comparison, on the same day Japan announced that it would contribute $340-million to the Global Fund, less than half the Gates gift. As of the end of 2010 (the last year for which figures are publicly available), the total assets of the Gates foundation were $37.4-billion, and that does not include the approximately $30-billion Warren Buffett pledged in 2006 to give the foundation. The next largest American philanthropic foundation in terms of net assets is the Ford Foundation (for decades our largest), which at the end of September 2011, had net assets of $10.3-billion.
While, at least for the moment, unique in size, Gates is also representative of an explosion in the net worth and annual-giving potential of the private-philanthropic sector in the United States. According to the Foundation Center, as of March 8, 2012, there were 65 private and community foundations in the United States with net assets of more than $1-billion, 11 private foundations with assets of more than $5-billion, and 30 with assets of more than $2-billion. Total foundation giving in the United States (circa 2010) was about $20.5-billion.
According to a recent Chronicle study, America's top 50 donors gave a total of $10.4-billion in 2011, rebounding from the $3.3-billion of the previous year, with its recession worries. Those numbers reflect the continued growth in the number of private philanthropic foundations in this country--10,093 were created in the 1990s, and more than 8,500 appeared between 2000 and 2009 (as opposed, for instance, to the 1,264 created in the 1970s). There are now more than 33,000 foundations in the United States.
But what grabs my attention is the number with megaresources, almost all of which have emerged over the past two decades. This is truly the er.
Aid effectiveness refers to how effectively development aid achieves economic and human development goals. Over time, aid became fragmented and distributed based on geopolitical goals rather than need. This reduced aid's effectiveness. In recent decades, efforts have sought to improve aid's coordination and alignment with developing countries' priorities through agreements like the Paris Declaration. However, fully implementing reforms to make aid more effective based on country ownership and systems remains a ongoing challenge.
International Financial Institutions, Middle East, North Africa a primer for ...Dr Lendy Spires
Preface What is this primer? The purpose of this Primer is to shed light on the operations and impacts of international financial institutions (IFIs) that are active in the Middle East and North Africa (MENA), such as the World Bank and the International Monetary Fund, and to reveal how individuals and communities can hold those institutions accountable. The Primer aims at helping civil society groups in the region to more actively and critically engage with those IFIs in setting the development agenda and shaping policies and investments in their countries. What is the “MENA region”? BIC’s MENA program considers the region to be made up of the following predominantly Arabic-speaking countries: Morocco, Algeria, Tunisia, Libya, Egypt, West Bank and Gaza, Jordan, Syria, Lebanon, Iraq, Kuwait, Bahrain, Qatar, United Arab Emirates, Oman, Yemen, and Saudi Arabia. BIC also includes Iran and Israel within its MENA program. However, the countries defined as “MENA” vary from one institution to another, either for political reasons or simply because of the geographic mandate of the institution. The table on Page 6 shows the countries considered part of the MENA region by each IFI discussed in this Primer. The wide range of economic and political conditions of the countries in the MENA region means that relations with IFIs vary considerably from one government to the next. Conflict-affected countries such as Lebanon, Iraq and Palestine, depend to a great extent on IFIs for financing and coordination of donor activities. A smaller number of the region’s countries that are considered “poor”, like Yemen, also rely fairly heavily on financing from IFIs. However, most countries in MENA are considered “middle income countries” by IFIs, and thus are not eligible for grants or the lowest-interest loans that the institutions offer. These countries are also better able to turn to other sources like private banks and commercial investors, to borrow money. Still other countries in the region are world-renowned for their oil riches, and thus are actually in the position of being “donor” countries rather than borrowers at
Public Sector finance as a catalyst for Private Investment for DevelopmentPhilip Ansong
This is an informative digital artifact aimed at enlightening people new to the development financing agenda and people with interest in acquiring knowledge on how development projects are financed and given direction. Here we look at how domestic and international Public Sector finance can be used as a catalyst to crowd in private financial flows for Private Investment for Development. we look at how risk/return considerations of private finance can achieve a social impact if leveraged properly by public sector finance measures.
Domestic resource mobilization a neglected factor in development strategyDr Lendy Spires
This document discusses the importance of focusing on domestic resource mobilization (DRM) for development strategies in sub-Saharan Africa. It argues that DRM deserves more emphasis as it offers advantages over mobilizing external resources by allowing for greater domestic policy ownership and coherence with local needs. The document provides a framework for analyzing factors that could enhance DRM in sub-Saharan Africa, such as improving financial systems, macroeconomic policies, mobilizing remittances and managing resource revenues. It aims to test the hypotheses that higher DRM can facilitate greater economic growth, poverty reduction, and policy autonomy through a series of country case studies.
When it comes to winning new project opportunities it’s important for you to stay ahead of what’s happening. Check out 8 global development trends to watch.
World Economic and Social Survey 2012: In Serach of New Development FinanceDr Lendy Spires
The document analyzes potential sources of innovative financing for development needs and global challenges. It finds that while some initiatives have successfully raised billions for global health programs, overall the additional funds generated have been limited. It estimates various proposed mechanisms could raise hundreds of billions annually, but realizing this potential would require international agreement and governance structures. Proposals include taxes on financial transactions, carbon emissions and billionaire wealth, as well as issuing Special Drawing Rights through the IMF. Existing earmarking of funds may limit flexibility, so governance of uses and allocation will be important to consider.
The MDBs and IMF are committed to supporting countries in achieving the ambitious new sustainable development goals by mobilizing trillions in investments from public and private sources. They currently leverage their capital to provide over $1 in financing for every $1 invested in them. Going forward, they will take steps to further increase the financing available through initiatives like exposure exchange agreements and innovative use of financial instruments. A key role of the MDBs is also helping countries increase their own domestic resources and attract private investments through policy advice and capacity building.
This document discusses using independent evaluation to help achieve development goals. It provides context on financing for development discussions since 2002 and the increased complexity with more development partners. It frames the current agenda which focuses on: 1) strengthening domestic public finance; 2) enabling private sector growth; and 3) leveraging jointly funded initiatives. The document aims to extract lessons from past evaluations on these topics to inform current efforts to transform development finance under the sustainable development goals. It focuses on financing challenges but also the importance of country ownership, policy frameworks and institutions for enabling development outcomes.
The document discusses strategies for promoting philanthropy internationally based on experiences in different countries. It outlines four main drivers that have influenced the development of philanthropy: changes in government and civil society roles; shifts in development aid priorities; initiatives by international foundations; and engagement of local actors. Challenges to growing philanthropy include legal/financial barriers, cultural attitudes, limited individual participation, and lack of nonprofit capacity/infrastructure. Effective strategies target specific audiences, employ multiple approaches, and recognize local diversity.
Ashley Sheppard - Building the Canadian Advantage, IR-MRPAshley Sheppard
The document summarizes a study on how the Canadian government has used foreign aid to promote commercial interests abroad under the Harper government. It discusses two specific projects - the Corporate Social Responsibility Strategy and Development Finance Initiative - that illustrate this shift. The paper argues that the main objective of these programs is to advance Canadian commercial interests rather than development goals, demonstrating a lack of transparency and accountability that has reduced aid effectiveness.
Similar to Global Philanthropists and European Development Cooperation (20)
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FT author
Amanda Chu
US Energy Reporter
PREMIUM
June 20 2024
Good morning and welcome back to Energy Source, coming to you from New York, where the city swelters in its first heatwave of the season.
Nearly 80 million people were under alerts in the US north-east and midwest yesterday as temperatures in some municipalities reached record highs in a test to the country’s rickety power grid.
In other news, the Financial Times has a new Big Read this morning on Russia’s grip on nuclear power. Despite sanctions on its economy, the Kremlin continues to be an unrivalled exporter of nuclear power plants, building more than half of all reactors under construction globally. Read how Moscow is using these projects to wield global influence.
Today’s Energy Source dives into the latest Statistical Review of World Energy, the industry’s annual stocktake of global energy consumption. The report was published for more than 70 years by BP before it was passed over to the Energy Institute last year. The oil major remains a contributor.
Data Drill looks at a new analysis from the World Bank showing gas flaring is at a four-year high.
Thanks for reading,
Amanda
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New report offers sobering view of the energy transition
Every year the Statistical Review of World Energy offers a behemoth of data on the state of the global energy market. This year’s findings highlight the world’s insatiable demand for energy and the need to speed up the pace of decarbonisation.
Here are our four main takeaways from this year’s report:
Fossil fuel consumption — and emissions — are at record highs
Countries burnt record amounts of oil and coal last year, sending global fossil fuel consumption and emissions to all-time highs, the Energy Institute reported. Oil demand grew 2.6 per cent, surpassing 100mn barrels per day for the first time.
Meanwhile, the share of fossil fuels in the energy mix declined slightly by half a percentage point, but still made up more than 81 per cent of consumption.
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Global Philanthropists and European Development Cooperation
1. EDC2020
[ POLICY BRIEF ]
Global Philanthropists and
European Development Cooperation1
By Erik Lundsgaarde, Research Fellow, DIE
In the summer of 2010, the American billionaires Warren Buffett and Bill and Melinda
Gates garnered media attention for their call for their most affluent compatriots to give a
majority of their accumulated wealth to charitable causes.2 The same trio has also played
an important role in drawing attention to philanthropic giving for global development
in recent years due to the sizeable resources that the Bill and Melinda Gates Foundation
has committed to addressing development goals. While Gates Foundation giving has
been an obvious focal point for interest in philanthropic engagement in development
due to a scale putting it in financial terms in the league of smaller OECD donors such
as Belgium or Switzerland and due to its upward trajectory, the philanthropic landscape
encompasses a diversity of actors including family foundations with a long track record
of engagement on development issues and philanthropies linked to private firms. Nor
is global development-oriented philanthropy a purely American enterprise: the philan-thropic
visibility of private actors from Europe and from developing countries is also
increasing.
Overview of Philanthropic Engagement in Global Development
Giving from private foundations directed to developing countries represents a relatively
small share of overall philanthropic activity, reflecting a strong preference for foundations
to give locally in the regions where they are based. Recent estimates of European
foundation giving for global development have suggested that European foundations
direct about one sixth of their funding to development, while American foundations
distribute about one fifth of their resources internationally, only a portion of which
reaches developing countries. US-based foundations are estimated to be more gener-ous
internationally than European foundations, having committed some US $3.3 billion
to developing countries in 2007 compared to the US $607 million granted by European
1 This briefing paper summarises central elements of the analysis of the development engagement of
private foundations and corporate philanthropies appearing in the paper »Emerging Non-State Actors
in Global Development: Challenges for Europe« (EDC 2020 Working Paper 7), available at http://www.
edc2020.eu.
2 See Di Mento, M. / C. Preston (2010): Wealthy Americans Urged to Give Billions to Charitable Causes.
The Chronicle of Philanthropy 16 June (http://philanthropy.com).
Project funded under the
Socio-economic Sciences and
Humanities theme
This paper outlines
general characteristics
of global philanthropists
and highlights areas for
strengthened engagement
among European devel-opment
actors to facilitate
a positive contribution of
philanthropic actors to
global development ef-forts.
Key areas for further
European engagement are
the promotion of increased
transparency in the philan-thropic
sector and the
development of knowledge
transfer mechanisms to
facilitate complementarity
among public and private
development cooperation
actors. In addition, the
more prominent role
assumed by philanthropic
actors in development
should provide a stimulus
for European donors to
reduce fragmentation
within their aid systems
and enhance internal coor-dination
efforts.
No. 8 . February 2011
1
2. foundations in 2005. In both regions foundation giving
has displayed an upward trend, indicating possibilities
for further resource mobilisation from these sources in
the future.3 While a large portion of US-based foundation
giving for global development is attributable to resource
commitments from the Gates Foundation, the higher
figures on development philanthropy in the United
States may also reflect the fact that financial reporting
requirements for American foundations are considered
more stringent in comparison to European foundations.
Reliable financial reporting provides a basis not only
for assessing general giving trends but also for tracking
foundation-funded activities in developing countries and
eventually gauging their impact.
The diversity of the foundation sector ensures that
philanthropic funding priorities in global development
are also varied. Though the financial and political
independence of foundations has in some cases led to
investments in sensitive areas such as population plan-ning
or democracy promotion where public donors have
been cautious or to a willingness to invest in global public
goods such as research on agricultural development and
public health, foundations also invest in many traditional
areas of development cooperation. Funding for the health
and education sectors has represented a special priority
for foundations overall, with other areas of engagement
including agriculture, small business development, con-tributions
to disaster relief, and good governance pro-motion.
With regard to the geographical allocation of
global development philanthropy, countries in Eastern
and Southern Africa as well as the emerging economies
of Brazil, China, India, and South Africa appear to be
privileged recipients.
Geographical priorities of foundation giving are at-tributable
in part to the relative ease of identifying
partner organisations in different operational settings.
Although some foundations have field offices to oversee
programme implementation in developing countries,
the model of foundation giving in global development
is often highly centralised, implying a detached relation-ship
between financing and implementation through
partner organisations on the ground. The distance be-tween
headquarters and country-level implementation
can encourage a supply-driven orientation in foundation
giving that does not realise potential to respond to
3 Philanthropic funding was nevertheless not immune from the
development financing downturn related to the recent global
financial crisis.
locally-determined needs. In addition, this financing
model may increase the difficulty of monitoring activities
funded by foundations and coordinating these activities
with partner country governments and other donors.
The reliance of philanthropic actors on civil society
organisations as implementing partners suggests that
critiques of non-governmental actors in development co-operation
more broadly are also relevant to the analysis
of global development philanthropy. Beyond questions
related to the transparency and accountability of the
sector, ensuring ownership of foundation-supported ac-tivities
may also be problematic at the country level, par-ticularly
where Northern civil society organisations serve
as favoured implementing partners.
The global giving landscape also includes growing
philanthropic activities associated with corporate actors.
As with foundation giving more generally, the volume of
financing coming from corporate philanthropies has been
better documented in the United States than in Europe,
with the Washington DC-based Hudson Institute estimat-ing
that American corporations provided US $6.8 billion in
global development funding in 2007. Figures on global
development-oriented giving nevertheless represent a
small share of overall philanthropic engagement from
corporations, and giving figures are also small in com-parison
to the resource wealth of business actors in
general. In example, Shell International reported revenues
of US $278.2 billion and income of US $12.7 billion in
2009, while charitable outlays from the Shell Foundation
amounted to just under US $13 million in the same year.4
Though the development community may have a direct
interest in the projects that are financed by corporate
philanthropies, corporate actors (and firms with a global
reach in particular) can be expected to continue to have
the largest development impact through their core busi-ness
operations. As a result, the promotion of business
practices integrating higher labour and environmental
standards and fostering wealth creation in developing
country economies should constitute a high priority area
for engagement between donor governments and private
sector actors, independent of efforts to more closely
monitor corporate giving trends.
4 Shell revenue and income figures for 2009 were taken from the
corporation’s website: http://www.shell.com/home/content/
aboutshell/at_a_glance/; the Shell Foundation figure comes
from the foundation’s Trustee’s Report from 2009, available
online at: http://www.shellfoundation.org/images/about_us/
Trustees%20Report%20%20Accounts%202009%20-%20FINAL%
20FOR%20SIGNING.pdf.
POLICY BRIEF . No. 8 . February 2011
2
3. Like other private philanthropic actors, corporate
philanthropists provide funding for development through
a diversity of channels and engage in a variety of sectors,
with priorities often related to the area of specialisation of
the firms with which they are associated. While analyses
of private aid allocation remain scarce, there are signs
that this linkage between business goals and philan-thropy
may reinforce differences among developing
countries in terms of their ability to attract development
financing, considering the prospect that charitable giving
from firms will follow their foreign investments.5
Private philanthropy can take the form of in-kind
donations of products, contributions to humanitarian
relief initiatives, or support for development projects im-plemented
by civil society organisations. If these channels
for giving are associated with traditional forms of devel-opment
cooperation (ie project assistance) which official
donors have moved away from over time, corporate philan-thropy
has also drawn attention due to the perception
that private actors are proposing fundamentally new
models of providing assistance characterised by the ap-plication
of business principles to charitable endeavours.
The blurring of boundaries between business activity
and philanthropic engagement has been captured by
the terms philanthrocapitalism or strategic philanthropy,
with the latter term signifying giving designed to directly
contribute to improvements in a firm’s operating environ-ment
and by extension its bottom line. Such initiatives
carry the potential to influence the adoption of more
development-friendly orientations within firms and also
offer prospects for creating and strengthening partner-ships
with public actors to address development goals.
Yet little systematic analysis exists on the development
impact of such initiatives.
Recommendations for European Engagement
with Global Philanthropists
As the above discussion suggests, descriptions of general
tendencies in global philanthropy remain tentative as a
result of an inadequate information base. One priority
area for engagement among European donors should be
5 This observation is made in a recent study of Nestlé’s global
development-oriented corporate giving. Please see: Metzger, L. /
P. Nunnenkamp / T.O. Mahmoud (2010): Is Corporate Aid Targeted
to Poor and Deserving Countries? A Case Study of Nestlé’s Aid
Allocation. World Development 38(3): 228–43.
the promotion of greater transparency within the philan-thropic
sector through support for greater data collection
efforts related to private aid provision. This goal can be
pursued in part by improving mandatory financial re-porting
on foundation activities and charitable giving
within member states and at the EU level. In parallel,
European donors can consider how to strengthen the role
of the OECD Development Assistance Committee (DAC)
in collecting data on private giving as a complement to
ongoing efforts to accurately track official aid commit-ments
and disbursements. A third avenue for improving
the knowledge base about foundation activities would
be to work more closely with the European Foundation
Centre, an independent industry association within the
philanthropic sector, or other umbrella organisations for
private actors to increase voluntary reporting on global
philanthropy.
Improving the information base on private philan-thropic
activity is important at a global level in order to in-form
donor strategies for engaging with the sector. Better
knowledge about the geographical concentration and
sectoral emphasis of private giving is a prerequisite for
determining where the greatest opportunities for building
partnerships with philanthropic actors exist, or conversely
where the potential for the emergence of goal conflicts is
strongest. More complete global portraits of the scale and
substance of philanthropic engagement could also serve
as a source of motivation to encourage private actors to
mobilise more resources in support of development efforts
in regions that they have neglected to date. At the country
level, tracking aid flows from private actors more closely is
an essential element in assessing the influence of external
assistance over development outcomes. More specifically,
efforts to improve transparency in development financ-ing
are a cornerstone of promoting greater accountability.
This not only means that private actors should be account-able
for the results that they promise to deliver, but also
that it is important to scrutinise their activities to monitor
whether their engagement has unintended negative con-sequences,
such as undermining domestic accountability
mechanisms. Regardless of their legal status in their coun-tries
of origin, global philanthropists are political actors
because the funding they provide carries the potential to
influence the distribution of opportunities in the devel-oping
world. Their country-level footprints therefore merit
greater scrutiny.
A second priority area for European donors with
regard to engagement with private philanthropists
3
4. relates to the issue of knowledge transfer. Though it is
sometimes assumed that ›new‹ actors in the devel-opment
landscape naturally bring with them refreshing
and innovative approaches to development cooper-ation,
many private actors may pursue cooperation in
a manner similar to that practiced by more traditional
development actors. Like public donors, recent private en-trants
to the development marketplace face challenges
in interpreting a complex operating environment where
political and economic framework conditions that in-fluence
the overall outcomes to which they hope to con-tribute
may be fundamentally different from those pre-vailing
in their regions of origin. Philanthropists may be
inadequately sensitised to the lessons that public actors
have accumulated through time about how to engage
in these settings to improve the effectiveness of their
interventions, and greater outreach efforts on the part
of European donors would help to facilitate knowledge
sharing with a view to combining expertise from public
actors and emerging philanthropists to produce imagin-ative
approaches for confronting development challenges
that are conscious of lessons of the past. Mechanisms
for improved knowledge transfer can include closer en-gagement
with philanthropic industry associations fos-tering
standards setting or the creation of partnerships
with private actors under the umbrella of official aid pro-grammes.
The rise of global philanthropy is an expression of
the proliferation of actors in the current development
landscape. This proliferation presents European actors
not only with a coordination challenge toward external
actors, but also adds pressure to improve coordination
within Europe, not least because criticisms of growing
fragmentation in aid delivery directed at ›new‹ philan-thropic
actors are less credible if European donors do not
progress in efforts to achieve a more efficient division of
labour among themselves.
About the author: Erik Lundsgaarde is a Research Fellow at
the German Development Institute / Deutsches Institut für
Entwicklungspolitik (DIE), where his work analyses emerging
development policy challenges. He holds a Ph.D. in Political
Science from the University of Washington.
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www.edc2020.eu
This series provides summarised research outcomes of the EDC2020
project on European Development Co-operation to 2020. This project
carries out research on three major emerging issues: new actors in inter-national
development, the linkage between energy security, democracy
and development and the impact of climate change on development.
Consortium partners: European Association of Development Research
and Training Institutes (EADI, Germany), Overseas Development In-stitute
(ODI, United Kingdom), Institute of Development Studies (IDS,
United Kingdom), German Development Institute (DIE, Germany), Fun-dación
para las Relaciones Internacionales y el Diálogo Exterior (FRIDE,
Spain), Society for International Development (SID, Netherlands).
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