African Philanthropy - Reflections On Equitable Giving

6 November 2024
analysis

Western imperialism arrived in Africa, dubiously, as philanthropy. In the 21st century, what is the meaning and impact of African philanthropy?

This summer I attended the African Philanthropy Conference in Victoria Falls and was struck by the emphasis on the non-hierarchical nature of African philanthropy; where those who give and those who receive are viewed as equals. The definition of philanthropy as the "desire to promote the welfare of others" is innate in many African communities and, therefore, has long been a deeply rooted part of the continent's history, interwoven into everyday societal relations.

When we consider the link between African philanthropy and Ubuntu (humanity to others), we can see that local giving is more than just moving money. It is deeply rooted in culture, history and community. As Theo Sowa, CBE emphasised in the Conference's opening address, "Philanthropy is not something done to Africa. It is something deep in our souls, spirited tradition and culture. When we work together, we can move things."

Historically driven power dynamics playing out today

We know there are power dynamics at play here, so we must consider the complex relationship between philanthropy and colonialism, particularly in the African context. Historically, philanthropy was an extension of imperialism, with the likes of Cecil John Rhodes using it as a tool for exploitation and control. It is why philanthropy has been criticised for being disconnected from the realities of the communities it aims to serve, focusing on finite projects rather than long-term, sustainable change.

Conversely, the give and take of support at a community level in Africa, such as traditional practices of pooling, whether savings for informal loan clubs or labour resources for sustainability, is a key driver behind African-based philanthropy. For a continent that has long been recovering from colonisation, philanthropy that favours solutions that are bottom-up rather than top-down is key to a new era of giving in Africa. At the conference, I was buoyed by the level of determination in the room to be more sensitive and deliberate with philanthropy's impact on Africans--a process reflective of a broader move to decolonise the continent's relationships with the rest of the world.

Global giving must be locally-informed and locally-led

It could be said that global philanthropy has been little more than a band aid and that long-term, positive change for the continent will only occur if giving becomes more catalytic and sustainable. After decades of philanthropic giving and foreign aid amounting to trillions of dollars, where the direction of flow and fortune has not been straightforward, Africa remains entrenched in widespread intergenerational poverty.

According to reports by the UK Government in 2021, trends suggest that by 2045, 85% of the world's poorest billion people will be in Africa. If philanthropy is to have any significant impact on reversing this trend, it needs to be rooted in empowering Africans as the engineers of change. The good news is that the direction of giving is changing. According to The Bridgespan Group, between 2010 and 2019 only 14% of large-scale giving from international donors went to African NGOs, but by 2023 this had risen to over 55%. This increase was in part a response to the impact of COVID-19, but to build back better from global shocks, we need to take this opportunity to drive sustainable change and not just become the retailers of aid.

As an African working in philanthropy, I feel proud to see more and more locally rooted organisations driving change. At IDP Foundation (IDPF) we strongly believe in localisation. Our largest staffed office is in Ghana, and we have long-standing relationships with local change-makers. However, trust-based philanthropy needs to be more than a buzzword with the move to unrestricted funding accompanied by local actors setting the agenda with confidence.

Leveraging Africa's human capital

The way forward is to rethink philanthropy and advocate for stronger, more equitable models that are inclusive of overlooked communities. To do this, it requires a focus on encouraging social entrepreneurship. Africa is rich in human capital potential and opportunities exist to support locally grown solutions to the UN's sustainable development goals. The more we can explore pathways to prosperity through social ventures in Africa the greater the impact will be for the continent, both in a developmental and economic sense. The path to African emancipation is multi-dimensional and success may be challenging, time-consuming, non-linear, and will require moving away from the traditional project-based approach. It requires taking actions that prioritise the continent's best interests, recognising that real change will come only from solutions that evolve organically from within Africa.

This year, IDPF celebrates 15 years of supporting local education entrepreneurs in Ghana through a market-based solution that is rooted in empowering local actors to be the engineers of change. Low-fee private schools are an organic response to overwhelmed public education systems, owned by independent proprietors rooted in the community. The IDPF Rising Schools Program created in partnership with Ghanian microfinance institution, Sinapi Aba Trust, supports these schools with access to finance and free training in financial literacy, school management and teacher training, that works within the Ghanaian government's educational framework. This model highlights how philanthropy can leverage private capital to address the low levels of investment in education on the continent. IDPF now works with microfinanciers in Kenya on a similar model and there is huge potential for scaling these efforts across the Global South. Focusing on country-level initiatives to drive meaningful shifts requires the global philanthropy community to acknowledge how philanthropy may have historically been incepted as a vehicle for colonial projects. This means readdressing the balance through genuine commitments to localised development.

A new era for equitable giving

According to the World Bank, by 2075, one out of every three people of working age will be African, yet Sub-Saharan Africa has over 100 million out-of-school children--the highest rate in the world. To ensure that the solutions needed to mitigate this ticking time-bomb are rooted in equity, philanthropy needs to be shaped in the image of the communities it is seeking to impact. This means calling for a new era where Africa is leading the charge in catalytic giving.

Stephen Caleb is the IDP Foundation's Regional Director for Africa.

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