The changing face of Development: the role of the private sector

Care International hosted this debate about the private sector’s role in development, testament to their ‘sleeves up’ approach to fighting poverty in over 70 countries. Early on in this discussion, chaired by Alistair Stewart from ITN, we heard that things have changed; no longer do committed companies trot out a CSR report with a yearly update to the board. Kraft’s Associate Director Cadbury Cocoa Partnership said that this approach was no longer enough –support needed to be about deep partnerships with the locals. Moving beyond the ‘extract and sell’ philosophy dominant in the past, innovation is rife including Vodafone’s work in Tanzania, mobile phone banking and local micro finance schemes. But few people have heard about these schemes. People are inspired by ideas and stories which represents a much-needed new face to development. Africa is often portrayed in one dimension and addressing people’s perceptions was seen as key. Communicating entrepreneurial schemes is surely the gateway to mobilising more private support. There is little collaboration and sharing of experiences between corporations and NGOs. The evening also touched on some of the other challenges of private sector investment in countries like Rwanda, such as the increased violence against women who gain an increased income, the environmental balance between local product sourcing and assisting development needs, and being realistic about what the private sector can deliver – it’s unlikely to take over the social services. Craig Hardie, who set up Malawi Mangoes three and half years ago after a senior career in Marketing, believes that by looking after the smallhoder farms (with profits fed back into the community, improving their provisions), you also maintain the quality of the fruit. From Mangoes to cocoa – new models like this are addressing development issues and with over 2.6 billion people living on less than two dollars a day, let’s hope others follow.