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his is with reference to the article “Cash-strapped govt turns to philanthropists for development” which appeared in The Jakarta Post Oct. 15, 2016.

The article talks about the availability of limited funds for public welfare and development in the national coffers. It further builds a case for the paramount role that philanthropists can play. Yes, it is true that planned giving by philanthropists can aid and support the government’s duty in delivering development for citizens and should receive a fillip from the authorities e.g. via tax rebates. This will help in growing the quantum of giving for social causes in the country and should be welcomed.

In my two decades of working for UN and other leading international organizations in the area of philanthropy and Corporate Social Responsibility, my colleagues and I have realized that nobody can and should start a parallel system for social development to the one run by the government. This is especially pertinent in emerging economies like Indonesia.

The funds from philanthropists should help in initiating pilots that generate evidence and data. The government then should use that evidence and data to budget for replicating these projects using its own funds. This way the developmental programs will be long lasting and sustainable.

Otherwise, a program will last till a philanthropist gives and then collapses. This recent call for philanthropists to join should be best treated as a “support to existing or planned program” and not an attempt to create a parallel structure to the governmental services e.g. helping an existing government school to deliver quality education than starting a new school for the purpose.

Indonesia is an economic powerhouse and not a sub-Saharan country where philanthropists have to create their own systems for social development. Therefore, in the new presidential regulation, it will more sustainable if the philanthropic funds are used as a catalyst and not to fulfill the fiscal deficit for developmental programs.

Anup Tiwari
Jakarta