While watching the Super Bowl I noticed an ad for Stella Artois where if you buy their limited edition chalice they would donate $3 which would be used to provide clean water to someone in a developing country. During the ad, I wondered how the charity worked and whether it was an example of a NGO that initially helped people but when they left the people were worse off. Specifically, I wondered if the NGO used the money to provide well digging services for free that would hurt local well digging and water service companies. However, this does not seem to be the case. I found this article providing more in depth on the organization Water.org. The NGO uses the money to provide people with loans to purchase appropriate water and sanitation for their homes. Interestingly, they found building wells was not an appropriate solution because it is expensive and once the organization leaves the wells become contaminated within a year. This allows the money to pay local infrastructure and jobs in the water services industry instead of crippling the market by offering free services. Additionally, the pay back of the loan allows additional residents to obtain a loan to help with their water infrastructure needs. I think this NGO is the type Poverty Inc. highlighted as positive similar to the bracelets example. This is because it does not devalue the local water service companies while helping families access to funding to meet their water and sanitation needs. The link below does a great job of explaining how the organization works. I would like to hear others opinions on this NGO and whether they believe it is closer to the model the movie recommends.
Mark, I think this mWater is definitely the type of organization that Poverty, Inc. found to be positive. Not only does it help the community address a local problem, it allows them to be self-sufficient and take matters into their own hands. It gives the beneficiaries autonomy to decide what they will use the loan on (a tap, containers to catch water, or hire someone to tap into water sources).
On the same topic of loans for small businesses and entrepreneurs, I wanted to highlight an organization called Village Micro Fund.
While mWater provides loans to individuals world-wide, Village Micro Fund is specifically for entrepreneurs in metro Atlanta. Not only does Village Micro Fund provide loans to entrepreneurs, it also provides classes and workshops to educate budding entrepreneurs! Check it out here: http://www.villagemicrofund.com/#home1