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Can you get a 10x return on your donation?
This is exactly what a global group is proposing with a new project called the Decasphere.
Their goal is to engage the donor in the results of their benevolence, so they will see a demonstrated 10x return on their funds in the humanitarian sector.
So what does a 10x return look like?
If you take a look at Africa as an example, many countries have ties to China that they now regret.
While China demonstrated on home turf that tens of billions of dollars investment in roads lifted it from a feudal economy to a pseudo free enterprise economy, it has not exactly done the same for Africa.
China’s forecasts trillion-dollar investment in their Belt and Road
Initiative naturally has the same fundamentals. Rebuild the Silk Road and they can grow their own economy.
The challenge in Africa was that as China offered to delay payments on infrastructure projects in exchange for BOT (Built Operate Transfer) structures, they also negotiated back-room deals for resource extraction and agriculture that benefited only … the Chinese.
As soon as a project was secured, China flew in its best consultants and employees and fenced off the project largely to their own nationals.
The opposite of that is the ability to invest $1 million in a development project and see a $10-million return.
For example, if the objective is to lift a community out of poverty, one that is isolated from other communities and markets because of a lack of road infrastructure, can you expect to see a ten-fold investment on your donation.
The answer, if the project is well thought through is a resounding yes.
That road can drive an economy, give access to education, communication, health and social support to the extent that the community can lift itself out of poverty and become self-sustaining. There is no question that over time the roads will pay back ten fold.
The same principles can show returns in environmental projects, and any of the SDG goals agreed to by the UN.
This article is written by or on behalf of an outsourced columnist and does not necessarily reflect the views of Castanet.
