I recently read a post on the Philanthrocapitalism blog, When Aid Shrinks, which inspired some interesting thoughts about what kinds of Aid the world needs. I wrote to the author, and wanted to share with you as well:
Thank you for this clear piece on our current situation of Aid, and the need for more investments, and socially conscious investments. The developing nations’ middle class has jumped to 50% of the world population over the past 10 years, as opposed to 24%. This is an amazing testament to numerous factors which are all part of the process. Some populations of poverty need direct aid to simply eat. Others can eat, but need direct investment, and donations, to attain an education and solid healthcare. On the next level, many can receive microfinance investments to start a business. Furthering the process, a person formerly in steep poverty can attain solid job training and employment opportunities. Which then leads to the developing a middle class: A Middle Class that can care about voting, health, education and being a participatory citizen caring not only about survival, but also contributing to the growth and positive development of their community.
However, this could take generations; this trajectory does not happen rapid fire in every person’s life. We need it all: direct aid, for profit investment and philanthropy — invested at different times, and different ways, across different life times, before we can get out of the woods of poverty.