GLOBAL DEVELOPMENT

Sustainable Social
Funding

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While South Africa falls under the classification of a middle-income country, it grapples with profound social issues stemming from sluggish economic growth, political instability and a growing wealth gap.

In comparison with other African nations, South Africa appears to allocate a relatively substantial portion of its budget to fundamental services such as healthcare, education and safety. However, these allocations do not necessarily translate into favourable outcomes.

South Africa and the world are currently witnessing an escalation of global geopolitical events that demand a more responsive humanitarian sector. Climate-related disasters are on the rise, affecting not only underdeveloped countries but also nations that find themselves grappling with the consequences of these disasters, including the displacement of families, children and the erosion of livelihoods. Simultaneously, ongoing conflicts between nations necessitate a robust humanitarian response to address the devastating impact on families, children and livelihoods. Moreover, the profound consequences of the COVID-19 pandemic have led to setbacks in countries' efforts to improve the quality of life for their citizens.

The crux of the problem lies in the fact that as humanitarian challenges continue to surge, they compound the pre-existing unmet societal needs. Resources available to bridge these gaps remain limited, leaving funders and humanitarian organisations struggling to cope with the constraints of both human and financial resources.

Being a middle-income country with a relatively thriving private sector, South Africa's development and humanitarian organisations face a pressing challenge: they must explore opportunities within their borders and their own organisations to secure funding and human resources to address local needs.

At the Recent GDO Roundtable event there were key take-outs from the valuable discussions:

  • Long term commitment from Donors and Governments will provide a higher impact
  • Rural areas, Townships and informal settlement are the areas that need greater investment
  • Repeat funders is key, and flexibility from donors in providing unrestricted funding is vital
  • The non-profit sector should work together, each leveraging on your own strengths
  • Addressing unemployment and supporting women and youth
  • Collaboration and partnerships are key

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