The events of 2020 reinforce how desperately a paradigm shift is needed in philanthropy if it hopes to create more durable solutions to the world's most complex challenges. The COVID-19 pandemic revealed how important it is to have agile, innovative organizations capable of responding quickly to shifting local contexts. At the same time, the reawakening of the social justice movement in the United States crystallized what happens when people are chronically underrepresented and left out of decisions that affect their lives.
While addressing these challenges can seem overwhelming, it's clear that one of the most effective ways funders can contribute is to support organizations built around community-driven solutions. Why? Because solutions for the people created by the people have the greatest chance of successfully changing the status quo.
While this may seem obvious, it entails a major shift in the way donors currently approach their giving — indeed, nothing less than a desire to "decolonize philanthropy." Decolonizing philanthropy, a term introduced by writer and activist Edgar Villanueva, requires philanthropists to assess to whom they choose to give as well as how their giving perpetuates the very problems they aim to solve.
Whether in the U.S. or in Kenya, where our organization, RefuSHE, operates, we see countless examples of well-intentioned donors pouring money into solutions they think should solve a problem — without checking whether the solution was created with input from the community most impacted by the problem. In the global development space, this often manifests as NGOs working in the Global South being led by leadership that sits in the Global North, far from the realities of the work and with only an anecdotal understanding of the local context. Too often, this modus operandi funnels money into short-lived solutions that feed an organizational culture of dependency rather than one of sustainability.
The approach itself is rooted in the imperialistic origins of "international development." Following World War II, the U.S. launched the Marshall Plan, introducing the building blocks for the international and humanitarian aid structure we see today. During the long decades of the Cold War, the U.S. awarded aid to other countries with the understanding that those countries would play by our rules and that the aid itself would be used in ways we approved of. At the other end of the spectrum, private philanthropic giving was driven, in part, by a "savior" mentality and the need to "lift up" poor people in other countries. In both cases, financial assistance was "given" from a place of control by people who thought they knew what was best for the communities they were trying to help. Solutions were parachuted in, communities were forced to adopt new ways, and, in many cases, the improved quality of life that was promised often failed to materialize.
To ensure greater progress toward a shared prosperity, decolonizing philanthropy presents an opportunity to make every dollar go further by centering investment in community-driven solutions. Here are three ways funders can ensure their investments are more efficient, effective, and equitable.
Invest in local leadership and programs co-designed with the communities served
Time and again, we've seen that lasting change arrives when communities have ownership of the solutions to the challenges they face. Interventions that feel forced not only tend to have a short life span but often yield less impact. The stories of PlayPumps and READ Global illustrate the difference well. The PlayPump system, a merry-go-round-like wheel that pumps water from wells as it is turned, was heavily endorsed by the international aid community and quickly scaled to more than fifteen hundred pumps in Zambia without much research or surveying of communities in advance. Not unpredictably, within two years a quarter of the installed pumps were in need of repairs. PlayPumps, it turned out, were fragile and cost four times what a traditional pump costs. What's more, many local women where the pumps had been installed reported feeling embarrassed every time they had to get water for their families, while a report by the Guardian found that children would have to "play" on the pumps twenty-seven hours a day to meet the per-pump target of delivering water to twenty-five hundred people. In short, the pumps failed to improve clean water availability in communities across Zambia, and much money and time was invested with little to show for it.
By contrast, READ Global embraced a community-driven approach that has stood the test of time. For more than twenty-five years, the organization has partnered with rural villages in Nepal, India, and Bhutan to establish community-driven libraries, resource centers, and social enterprises known as READ Centers that are owned and operated by the local community. There are now more than a hundred self-sustaining centers spread across the three countries, and not one center has closed since the first one opened in 1991.
Locally driven solutions are most effective when an organization's leadership team understands the local context first-hand and is strongly connected to the local community. Local leaders have a better understanding of how to create culturally relevant programs, how to optimize operations for the local context, and how to build trusting relationships with and beyond the community. All of which creates more opportunity for partnerships between those providing the service and those using the service.
At RefuSHE, we witnessed this first-hand when we invested in bringing on Geoffrey Thige to lead our Kenya operations as executive director. When COVID hit, having that executive presence in Kenya enabled us to navigate the public health crisis much more quickly and effectively. In fact, we were the first organization serving refugees in Kenya to move to virtual learning. And despite initial concerns that some donors might balk, seeing the tangible benefits of Geoffrey's presence in Nairobi gave us the courage to restructure our leadership and shift the majority of our executive functions to Kenya.
Funding is the biggest hurdle facing NGOs looking to similarly restructure. Donors need to trust local leadership and stop supporting organizational infrastructures that are built to cater to them more than the beneficiary communities they are intended to serve. Having an organization's CEO and "top brass" in the West is a relic of a twentieth-century donor model that has lost much of its relevance. Good intentions do not necessarily lead to good solutions. If they truly want to support effective, long-lasting solutions, donors need to move away from creating cultures of dependency that too often are perpetuated and reinforced by a "white guilt" mentality.
Fund collaboration rather than competition
The current donor incentive structure is rooted in competition. Organizations in the same field are constantly competing with one another to secure funds they need to survive. Competition for funding among NGOs working in similar spaces also stifles their ability to share information, data, and learnings. This scarcity model disincentivizes transparency and pushes organizations to keep lessons learned to themselves in order to stand out in the quest for funding.
Real, tangible impact requires collaboration. Our NGO, for instance, equips girl and women refugees with housing, education, counseling, and the vocational skills they need to reestablish some semblance of stability in their lives. While our services are rooted in a holistic approach to the plight of refugees, we don't work on resettlement cases (where refugees are formally resettled to a country like the U.S.); instead, we partner with organizations like HIAS and Refuge Point that specialize in refugee resettlement cases. When funding streams disincentivize an ecosystem of NGOs from collaborating, it is a disservice to the very communities we aim to serve.
Funding — and rewarding — organizations that work together to address the root causes of multifaceted issues enables communities to walk through all the doors of opportunity at once, rather than one door at time. Collaboration also fosters a culture where service providers share learnings and don't waste precious resources repeating mistakes. Above all, it means the people we aim to serve can more easily navigate the various services they need to establish productive, fulfilling lives.
Award unrestricted grants
All too often, funding comes with restrictions on how, when, and where it can be used. This assumes the donor knows best just because they have the money, rather than acknowledging the hard-earned insights of organizations working on the ground every day. Unrestricted funding requires trust in the organizations in which you invest. Unfortunately, this kind of trust too often is awarded to organizations led by leaders in the Global North with whom donors feel most comfortable. While many have good track records, the practice cuts out organizations that may be smaller in scale but that have more depth and experience collaborating with the communities they serve.
It's an open secret in Kenya that if you set up a nonprofit and are hoping for funding from the West, you'll have much better luck if your leaders are white and/or of Western origin. Whether in the U.S. or other developed countries, data backs up the observation that Black and African leaders are not awarded the same kind of trust. This leads to nonprofits where white, often well-connected Western leaders earn the top salaries, sucking up resources that could otherwise be used to attract top local talent that is much better suited for the job but too often undervalued.
Unrestricted funding also has the power to build more durable institutions. It allows organizations to balance how much is invested in program implementation and how much is invested in competitive salaries, technology infrastructure, and/or new facilities that can enhance the organization's operations over the long term. (We should all toast Mackenzie Scott for shattering the philanthropic establishment glass ceiling with her unprecedented giving in the form of large unrestricted grants.)
The time for change is now
As with any change, there will be those who resist it, those who say there isn't enough local talent to fill the available leadership positions, and those who say local leadership team won't get enough face time with donors if those donors are based in far-off countries. We ask those naysayers to take a critical look at how that critique is rooted in an imperialist mindset that blames communities in need for their problems rather than seeing them as the solution to those problems.
The movement to decolonize philanthropy is a big step forward in terms of making the most of every dollar invested in social good and creating inclusive, durable solutions to economic prosperity. We can make the choice to stop wasting money on short-sighted solutions. The time for change is now.
Geoffrey Thige is the current executive director and incoming CEO of RefuSHE. Jailan Adly is the organization's outgoing CEO and incoming managing director.