Wendy Glass finds out about the life-changing work of charity Givedirectly
Wendy Glass finds out about the life-changing work being done by Givedirectly.
GIVEDIRECTLY is transforming the lives of many thousands of desperately poor African families by giving them $1,000 – no strings attached.
While most charities help people living in abject poverty by providing aid in the form of food, shelter, medical aid, running water or education, Givedirectly was established in 2009 with the aim of sending money directly to the extreme poor.
“At Givedirectly, we trust people to decide the best possible way to improve their family’s wellbeing and development,” Joanna Mcrae, Givedirectly’s Director for UK and European Partnerships, explains.
“They may use it to waterproof their home, pay school fees so their children can obtain an education, set up a new business or repair a broken-down tractor.
“By giving desperately poor people cash, they can prioritise their needs in a way that it would be very difficult for a traditional charity to do.”
“Since I started running my business, I can pay school fees for my children, buy them clothing, eat and drink well.” Flore.
Givedirectly was set up in 2009 by four American economics graduates who had researched the effectiveness of aid provided by charities.
“They found significant evidence that giving poor people cash was a very effective way of helping them, so they tested this theory by donating a thousand dollars to several poor families in Kenya.”
The experiment worked. The families used their windfalls – the equivalent of a year’s income for a typical Kenyan household – to improve their homes, their health and their prospects.
“The economists were so impressed they founded Givedirectly so other people could donate money that would go directly to families in desperate need,” Joanna continues. “So far, we’ve handed out over sixty-five
million dollars through our projects in Kenya, Uganda and Rwanda.”
Joanna explains that Givedirectly has a strict set of criteria for selecting recipients of this potentially life-changing financial aid.
“We use government and World Bank data to identify villages with a very high incidence of extreme poverty. We then visit these villages and assess every household, including the material used in the house’s roof – families whose homes have a thatched roof are more likely to be living in extreme poverty than those living in a home with a corrugated iron roof.”
This information enables Givedirectly to select its recipients.
“Families participating in this programme are usually surviving – but only just – on pennies per day,” Joanna says. “Receiving this sum of money makes a massive difference to their lives.
“When families find out they’ve been selected by Givedirectly, they’re usually very excited – but they also feel empowered and trusted.
“By providing aid in this way, we’re moving away from doing things for and to poor people by allowing them to make choices about their lives.
“And the evidence shows that they make good choices about how they will use their money, at least as good as those more traditional charities often make on their behalf.”
Givedirectly provides financial support to people of all ages, which Joanna reveals highlights the different needs of people living in poverty.
“Older people sometimes use the money they receive to improve their home or purchase healthcare, while younger people tend to be more interested in developing their livelihoods.
“They might buy a piece of
land so they can grow crops, they might invest in training so they can become a hairdresser or a tailor, or they might replace their thatched roof with a corrugated iron one.
“We often find that a new roof is one of the first things our recipients invest in. Thatched roofs need to be replaced regularly while a corrugated iron one will last for at least ten years, so, if they can afford to make the
“We now have a boat which my husband uses to fish, unlike before when I was doing odd jobs to put food on the table.” Elizabeth.
change, a family will save money in the long run.
“You can also catch rainwater from a corrugated roof and keep your family dry in the rainy season, which is very important for health – and for dignity.”
Joanna explains that the money is paid in instalments, with Givedirectly sending money to a recipient’s phone via their country’s mobile money system.
The recipient can then use that money within the mobile money system or they can withdraw it as cash from a local agent.
Givedirectly then contacts each recipient to check they’ve received the latest instalment and to see how they’re spending it.
“I’m continually amazed by the investments our recipients make,” Joanna says.
“One man bought instruments and now has a band which plays at weddings, enabling him to earn enough money to meet his family’s needs.
“Another man invested in eucalyptus seedlings which will grow into trees he can sell for fuel, while a woman who had recently been widowed and left homeless built a house for her family and bought poultry.”
Givedirectly is funded by online donations and grants from governments, organisations, trusts and global businesses such as Google.
“We recently received our first grant from Comic Relief,” Joanna says, adding that about 90% of the donations the charity receives goes directly to people living in poverty.
“Whatever you donate to Givedirectly, almost all of it goes to people who really need it – and when they receive this money, it’s usually the first time they’ve had a serious choice in their life.
“This is their chance to find a pathway out of extreme poverty – and it’s a chance they really appreciate.” n
For more information, visit www.givedirectly.org.