EQUIDAD CONSULTORES Jorge Oroza M. Jorge.oroza@hotmail.

com

Lima, September 6, 2013

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EQUIDAD is interested in finding resources to promote human rights, especially children's rights. The reduction of non-public resources in Latin America is irreversible. It is vital to include it in the agenda, and deal with it systematically in the long term, with the risk of losing much of what was gained. There are very valuable efforts that need to be systematized and draw the lessons learned. Next steps, tasks and challenges. Annexes

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NEW AGENDA

There are initial advances in the search for financing.

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This is an institution with the mission of promoting public policies for the observance of human rights in Latin America. It promotes the development of civil society organizations in the topic of macroeconomics and public policies. They are working on financing and fundraising mechanisms for organizations working towards human rights, especially of children.

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They have systematized the experiences and have this line of studies. They provide specialized advisory in fundraising and institutional development to qualified organizations. They are planning to initiate fundraising mechanisms on a significant scale. They have long-term agreements and alliances on the topic. Brazil, Paraguay and Peru, for the time being.

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There is a growing and irreversible reduction of resources for the development in Latin America This reduction is estimated in about 2.5 billion dollars. That is to say 33%. There is also a shift in destinations, countries and recipients. The importance of resources for development is gradually lower compared to the GDP in Latin America.

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There are more than 2,700 organizations in Latin America working for children's rights which are currently in crisis and trying to face this new scenario.
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Some countries in the region have started to develop programs to aid the development of other countries in the region. These are the cases of Mexico, Chile, Brazil and Argentina.
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There has been economic growth and poverty reduction in the past decade. ECLAC Most countries in LA have medium incomes. Inequitable public policies on the distribution of income remain. ECLAC The State plays no role in income redistribution. The military expenditure has been increasing. It increased from 39,000 to 73,000 million in 2011. (SIPRI) Social programs have increased and improved their efficiency. ECLAC

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Tax polices are regressive. Sectors with lower income are paying higher taxes. There are abundant internal resources in the region. It is estimated that 375 million people have medium and high incomes, which represent a developing market. At the same time, there are 167 million of poor people, 78 million of which are in extreme poverty. 80 million of poor children and 32 million children in extreme poverty. More than 40 million young people are neither studying nor working, and growing.

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Big sources of financing have closed or reduced significantly: food monetization, debt-for-social programs swap, fight against insurgent movements, fight against drugs, and the collection of developed countries, due to the crisis. There is a reduction of cooperation programs in the USA, Canada, the European Union, mainly Spain, and others.

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The destinations have been modified: there is more direct implementation and/or outsourcing. (emergencies, fight against drugs, terrorism). Countries with bilateral agreements are the major recipients.

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Funds have been redirected and are focused on prioritized countries and issues, such as Haiti (emergencies), Colombia, Peru and Mexico (drug dealing and political alliances), and some countries in Central America.

Aid for development is gradually less important in absolute terms (less resources) and in relative terms (less importance compared to the GDP, Social Programs and for non public organizations)

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Work the topic professionally and systematically, jointly and allocate resources. We are responsible for attending the demands of our associates: supporting the inclusion of the topic in their agendas, financing studies and systematizing the advances, financing the transition to the new scenario, incorporating them in developing and implementing the new fundraising mechanisms and methods.
USAID in view of the reduction of food monetization programs (PL 480) financed the transition responsibly. Example. Care, CRS, Caritas and CMI,

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Know the traditional fundraising mechanisms and their feasibility. Develop non conventional fundraising joint and specialized mechanisms. Discuss fundraising strategies. Advance towards a sustainable plan. Define the tasks to be performed and the decisions to be taken.

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Toward a shared sustainability of the civil society

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TRENDS OF FINANCING CIVIL SOCIETY ORGANIZATIONS

SUSTAINABLE RESOURCES STAGE

Resources from the States. Food monetization. Resources from families, religious groups.

IMPACT RESOURCES STAGE

Resources from the States with conditions. Food monetization for transition. Resources via loans Resources from families, religious groups.

New fundraising mechanisms

"LIBERATED " PUBLIC RESOURCES STAGE

Resources from the States with conditions and prioritized impacts Debt-for-social programs swap Resources via loans. Resources from corporate social responsibility. Resources from families, religious groups.

1975 TO 2000

2000 TO 2008

2009 TO DATE

STAGES IN THE ORIGIN OF RESOURCES FOR THE CIVIL SOCIETY

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Jorge Oroza M. Jorge.oroza@hotmail.com

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Food monetization-forsocial programs swap Debt-for-social programs swap Works-for-taxes swap.

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% of personal taxes for social programs.

Machines and tools monetization programs. Export promotion-forsocial programs swap

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Creation of micro finances and real estate investing institutions.

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Sponsorship. Teletn and similar. Concerts. Football games. % of exports for child programs. Taxes on passports and specific goods and services. Resources from seizures and smuggling.

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Direct payroll deduction. A percentage of the earnings from savings or investments. % of sales for education. Internet fundraising. Donation from hotels. Contributions with credit cards. Funds for children with public and/or private sources. Credits. X-Y income minus contribution from people. Agreement with associates.

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25. 26. 27. 28. 29. 30. 31. 32.

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Loose change from purchases in supermarkets. A kilo of help. Selling diaries and promotional articles. Raffles, prize draws and lotteries. Festivals. Flea markets. Fine art sales. Promotional dinners. Yellow pages. Agreements and sale of services to the states. Letters of guarantee. Second-hand clothes sale. Fundraising from public Collection of bottles, plastic, etc. Collection of medicines. Sale of services such as market studies, contracts with the State.

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There are other mechanisms yet to know.

A task to follow is to study each one in detail and the possibility of replicating them.
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NAME OF THE MECHANISM

BRIEF DESCRIPTION

USED BY

TARGET GROUP

AMOUNT OF FUNDS RAISED

INVESTMENT NEEDED

STRENGTHS

THREATS

STRENGTHS

WEAKNESSES

INSTITUTIONAL REFERENCES

Others

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Relations between agents and financing

COMPANIES

CIVIL SOCIETY

THE STATE

FAMILIES

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International Cooperation

Companies

Companies

Own sources

Civil Society

People

Rendering of Services

Social Organization

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Participation. Investing Is there room for everyone? Foreigners raising funds? Change and new skills. State resources versus incidence. CTI contribute to raise funds.
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DECIDE TO FACE THE ISSUE INDIVIDUALLY OR JOINTLY.

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TAKE THE DECISION TO FORMULATE A SUSTAINABILITY AND FUNDRAISING PLAN.

INVEST IN THIS NEW TASK

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Specific studies from experiences, protocols and replicability.

Develop current and new joint mechanisms

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