India, a land with boundless generosity and immense needs, finds its philanthropic sector at a crucial inflexion point. While contributions from individuals and CSR spending have shown promising growth, rising by 13% and 8%, respectively, over the past five years, there is much more to be done.
NITI Aayog estimates that India falls significantly short of the funds needed to achieve UN Sustainable Development Goals by 2030, requiring an annual investment totalling roughly 13% of the nation’s GDP. In this landscape, the call for transparency emerges as a guiding principle. Building upon a narrative of transparency, it is necessary to make a fundamental shift in philanthropic practices.
The future of philanthropy depends on achieving efficiency, having a positive impact, and building trust. Thankfully, technology has already brought in some of these benefits and can continue to do so. It can integrate itself into philanthropy and lead us towards a brighter future where transparency is not just a virtue but the actual currency of change.
Expanding Reach & Engagement
Building upon this narrative of transparency, technology emerges as a beacon of hope, bridging the gap between donors and NGOs. Digital platforms connect donors from metropolitan areas to remote villages, ensuring that their contributions reach even the farthest and neediest corners of the country. Social media platforms foster dynamic communities where impactful stories are shared, igniting collective action.
Mobile wallets and online giving platforms democratise philanthropy, empowering even the smallest contributions to make a meaningful difference. The seamless integration of technology into philanthropic endeavours not only expands the reach of donors but also fosters stronger connections between donors and those they support, propelling us toward a future where every act of giving leaves a lasting impact.
Tailored Connections for Meaningful Impact
Digital technologies have ushered in a new era of philanthropy. Artificial Intelligence (AI) holds the potential to revolutionise fundraising, enhance operational efficiencies, and maximise impact. AI-driven recommendations serve as intelligent matchmakers, aligning donors with causes that resonate deeply with their values.
For example, organisations utilise AI to inform regular donors about the impact of their contributions, fostering both transparency and accountability. Additionally, AI personalises donor experiences by analysing past giving patterns, interests, and social media activity, suggesting causes aligned with their philanthropic ethos.
This tailored approach not only deepens engagement but also introduces donors to new causes, broadening the reach of philanthropy. Furthermore, AI caters to Millennials and Gen Z preferences for personalised experiences and social impact, connecting their talents and passions with pressing societal needs. By facilitating meaningful connections, AI inspires a new generation of changemakers committed to driving positive change.
Impact Amplified
The transformation from anecdotal to data-driven storytelling now underpins the impact narrative. Technology can empower NGOs with tools that help to transform programme monitoring and evaluation leading to informed decision-making. Several not-for-profit organisations today are using Big Data to measure the impact of their work. This data is then used to showcase the difference donations make, attracting donors who value accountability and transparency.
Real-time dashboards offer transparency, highlighting progress, identifying areas for improvement, and ultimately, measuring the ripple effect of their efforts. And where human reach may falter, AI-powered chatbots step in, offering 24/7 support and resources, ensuring programme accessibility remains constant.
Transparency through Technology
Yet, the most significant power of technology is its ability to create trust. In the past, trust in philanthropy was built on reputation and hope. Today, technology provides an exceptional opportunity to transform that trust into a tangible reality. Technology acts as a bridge that weaves transparency and credibility into the very fabric of giving. Technologies such as Blockchain ensure donations are secure, traceable, and effectively utilised. Big data guides NGOs in making informed resource allocation and programme design decisions. This triangle of access, impact, and trust forms the foundation of a new era of philanthropy.
Shaping a Just and Equitable Future
As we embark on a philanthropic journey guided by principles of social justice, addressing literacy gaps and infrastructure limitations emerges as paramount. Empowering NGOs with essential technological literacy and fostering collaborations between tech companies and social sector organisations represent potent alliances capable of nurturing an ecosystem of transformative change within the philanthropic sector.
Revolutionising the philanthropic landscape towards a fairer and more equitable India hinges on cultivating trust and nurturing collaboration. When wielded with intention and accountability, technology becomes the driving force behind this transformation. It is imperative for NGOs to embrace tech-enabled practices, each in their unique way, to build transparency, trust, and credibility. This collective adoption of technological advancements will not only enhance the effectiveness of individual organisations but also contribute to the overall integrity and impact of the philanthropic sector as a whole.
—The author, Jayant Rastogi, is Global CEO, Magic Bus India Foundation, a leading education NGO for children. The views expressed are personal.
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