1. NURTURING PARTNERSHIPS FOR DEVELOPING SUSTAINABLE CIVIL SOCIETY ORGANIZATIONS Capacity Building Workshop Resource Mobilisation 19 Feb 2010 Delhi

2. AIM of this Presentation AIM of this Presentation To share the fundraising scenario in India Opportunities-Challenges What we all need to and can do about it To unleash our full potential-Our Prime Minister

3. Evolution of Fundraising in India ??

4. Every organization wants to raise more and spend less to do it Every organization can raise more by being more strategic But most organisations are dependent on Foreign donors and Government

5. What is Fundraising? “The art of getting people to give you what you want, where and when you want it, for the work of you do” Fundraising is not only about money-It is about RELATIONSHIPS

6. Giving in USA and UK (2008) Population U.S.A. 300 million U.K. 60 million Amount Given US $306 billionUS $51 billion Amount Per Head of Population US $1020US $850

8. India Individuals/Corporates- Rs 9000 cr Funds from Abroad(FCRA)-Rs 12,000 cr (Home Ministry) Government- Rs 18,000 cr (258 Departments) Potential > $ 15 Billion or Rs 70,000 cr

9. POOR FUNDRAISING--WHY SO??  Governance/Board/Leadership?  No Investment  Strategic Direction  Lack of Training facility  Not perceived as CAREER option  Dependence - on government and foreign funding  Inadequate Communication?

10. Limitations with current situation Breeds dependency Does not build local support for causes Creates the perception that NGOs receive a lot-- don't need local support Public is unaware of social issues/needs/role Boards and leadership are seldom actively supportive Every one wants big bucks without working towards it

12. 28 years of high growth 1.0 3.5 6.0 8.9 Average annual GDP growth 0 2 4 6 8 10 1900-19501950-19801980-20022002-2007 (%)

13. Population growth is slowing Sources: 1900-1990: Angus Maddison (1995), Monitoring the World Economy, 1990-2000:Census of India (2001) 1.0 2.2 2.1 1.8 1.5 0 0.5 1.0 1.5 2.0 2.5 1901-19501951-19801981-19901991-2000 2001-2010 (%)

14. Literacy is rising Source: Census of India (2001) 17 52 65 80 0 20 40 60 80 100 195019902000 2010 (proj) (%)

15. Middle class-Rising Rapidly Source: The Consuming Class, National Council of Applied Economic Research, 2002 65 220 368 8% 22% 32% 0 100 200 300 400 19802000 2010 mn

16. 50% India will gradually turn middle-class 8% 22% 32% 19802000201020202040 West of the Kanpur- Chennai line East of the Kanpur- Chennai line Chennai Kanpur-

17. Poverty is declining 46 26 16 1% of the people have been crossing poverty line each year for 25 years Equals ~ 200m 0 10 20 30 40 50 19802000 2010 (%)

18. India has a vibrant private space –100 Indian Companies have market cap of US$ 1bn –1,000 Indian Companies have received foreign institutional investment –125 Fortune 500 companies have R&D bases in India –390 Fortune 500 companies have outsourced software development to India –2% bad loans in Indian banks (v~20% in China) –80% credit goes to private sector (v~10% in China)

19. Rise of globally competitive Indian companies

20. Per capita income gains US$ ppp 2005 3,051 1980 1,178 Source: World Bank

21. Per capita income 2,100 3,050 5,800 16,800 37,000 20002005202020402066 0 10 20 30 40 ($000)

22. Resent or Recognise

23. People who benefit from economic growth cannot be oblivious of their obligations to the state. -Sonia Gandhi

24. We need not just a literate youth but a skilled youth, with skills which can fetch them gainful employment. As our economy booms….. Our PM Aug 06

25. A country of dazzling prosperity is also a country of dehumanizing poverty. A land of perpetual struggle is also a land of bursting opportunities. -Sonia Gandhi

26. Indian Scene  Upwardly - mobile society  OVER A MILLION HIGH NET WORTH INDIVIDUALS BUT NO ONE ADDRESSING THEM  Many hundred thousand MILLIONAIRES IN DOLLAR TERMS  Non Resident Indians support extensive-Rs 9000 crore each in 2005, 2006, 2007 & 2008

27. Indian Scene contd..  Media - state of the art mass communication available  NGO – sector is big but not very well organised  Lack of support for Fundraising  Fundraising Territory almost virgin

28. Scenario  Fundraisers - Only a fraction of 1% of NGO’s have one. This need to change  India needs a “Leap Frog Strategy” for creating fundraisers urgently Quantity-Quickly-Quality

29. Writing on the wall  Self Sustainability – Everyone identifies that there is an immediate need Promoting Credibility  All over the world NGOs have their own fundraising agenda and their credibility is evaluated by the number of ‘Individual Supporters‘ ??  Low percentage of the donors money reaches the community

30. People give because they are asked!

31. Collecting viz-a-viz Fundraising

33. Success in Fundraising-1 A systematic and planned approach Investment in staff and support Investment in building relationships? Patience combined with action? Readiness to listen

34. Success in Fundraising-2 A strong and exciting case for support? A Urgent and compelling needs Realistic and potential donors Strong internal and external leadership? Readiness for fundraising

35. Good fundraising rests on four foundations

36. Successes UNICEF, WV,GP,CRY,Oxfam,HI,SC Akshaya Patra Pratham Jago Re

37. Are you ready? Are you well Governed and Managed? Do you have a strategic plan? (Vision, Mission, Values and Strategy) Are you clear exactly what you want and for what? Can you demonstrate results? Do people know you? Can you provide donors with what they require in return?

38. What Next?  Make Fundraising a PRIORITY.  “The route to crores of Rupees and lakhon naukrian is through Fundraising”  “No one can stop an idea whose time has come”-Our PM  Can we do without this? Only at our own peril.

39. The best way for any NGO to get more money is to show that the money it raised is well used. which means clever fund-raising, cautious spending and the precise measurement of outcomes

40. People often describe Activities, instead of Achievements. Activities do not make headlines- Achievements do

41. Change the World You can change the fundraising scenario in India in such a way, that it is beyond what we can foresee today.

42. So who is doing what?? Government?? Corporates Funding Agencies Media NGOs Philanthropists

43. Questions