The new web does not only offer a great potential for development in different domains, it also has its implications for traditional development aid, said Giulio Quaggiotto and Pierre Wielezynski in their recent article, “Development 2.0: A New Paradigm for the Non-Profit Sector?” The authors highlight different facets of web2.0 (e.g. free development data, the long tail and collective intelligence) and how it has already changed the nonprofit sector.

In my opinion, particular NGOs and new webbased actors redefine development and challenge traditional development agencies, such is the example of Kiva with its microfinance approach. “Kiva lets you connect with and loan money to unique small businesses in the developing world.” Starting from $25 everybody can contribute to a small microcredit loan. A lender give funding without interest rates and with a minimum of administration costs. The benifitor invests the money in its own little business, pays back over a certain period of time and informs the lender directly about the progresses via email. Run by a small team in San Francico, Kiva cooperates with local NGOs. Interview and podcast with the founder of kiva.org.

Another example is Globalgiving, which lets potential recipients post ideas on the website to seek funders. This plattform founded by former Worldbank staff brings together “givers” and “project leaders” to realize projects worldwide. Globalgiving is basically a marketplace for development aid which builds a network between social entrepreneurs, development organizations and donors, and leads to “community driven social change”. Every project can be followed over its different stages and enables direct feedback.

These are only two examples of new websites which still have to prove their results. Kiva for instance is criticized for giving loans without interest rates. From my point of view, there will be other more inspiring networks that users can build up themeselves to cooperate with projects on a peer2per basis, which are driven through the open source philosophy. “These new collaborations will not only serve commercial interests, they will help people do public-spirited things like cure genetic diseases, predict global climate change”, argue Dan Tapscott and Anthony Williams in their book wikinomics.

What is your opinion? Do the platforms above present a better approach for development aid? Can the collaborative web create new modes for development?

2 Responses to “What effects does web2.0 have on development aid?”

  1. on 23 Oct 2007 at 6:38 pm Michael Howden

    I wrote a couple of posts about this topic on my blog earlier in the year: Not for Profit 2.0 and Aid 2.0 (the second probably being more interesting.

    It’s great that there are more people working on this.

  2. on 24 Jan 2008 at 5:43 pm Open source and Aid « Web4Dev

    […] What effects does web2.0 have on development aid? […]

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