DIASPORA PHILANTHROPY IN BANGLADESH Diaspora Philanthropy in Bangladesh Selected case studies, profiles and database Editors Rashida Ahmad Safi Rahman Khan Mazharul Islam Case studies Rashida Ahmad, Mohammad Yousuf Database & information collection Md. Feroz Ahmmead, Sadia Faruque Publisher & Copyright Bangladesh Freedom Foundation Level 5, 6/5 A, Sir Syed Road Mohammadpur, Dhaka, Bangladesh E-mail: [email protected] Website: www.freedomfound.org Design and cover photo Mithu Ahmed Printer: Chowdhury Printers and Supply 48/A/1, Badda Nagar, Pilkhana, Dhaka Price: BDT 350 The views, analysis and assessments contained in this publication do not necessarily reflect the views of the publisher and the publisher does not guarantee the accuracy of the data and information included in the book and accepts no responsibility for any consequences of their use. The research and publication of this book was supported by the Asia Pacific Philanthropy Consortium (APPC), Philippines as part of a proposal submitted by the Bangladesh Freedom Foundation and Drishtipat. ISBN: 978-984-33-1803-9 May 2010 2 FOREWORD The last two decades and more have seen significant changes in migration from Bangladesh with the demand for labor in the Middle East and Southeast Asia fuelling rapid growth in temporary migration to those regions. Prior to this, migration was largely directed towards the United Kingdom and the United States. It is now estimated that the number of Bangladeshis and/or people of Bangladesh origin living abroad on a temporary or permanent basis stands between 7 to 8 million. The contribution of remittances from migrants, particularly those relocating temporarily, is critical to the Bangladesh economy. It is shown to be higher than net foreign direct investment, foreign aid, and even higher than earnings from the ready-made garment (RMG) sector, the country's largest export earner, when RMG earnings are adjusted against the cost of imported raw materials. According to the Bangladesh Bank figures, official remittances stood at just over US$ 10.9 billion during the period April 2009 to March 2010. A substantial amount also comes in through unofficial non-banking channels. While most of the remittances are directed at the household level, it is estimated that a very small portion is transferred as charity towards poorer relatives and village residents or community development through faith based institutions. There is also a gradual increase in the number of Bangladeshi diaspora groups organizing and arranging for collective transfer of resources for philanthropic purposes in their home country beyond individual to individual giving. 3 Diaspora Philanthropy in Bangladesh This aspect of philanthropy, i.e. diaspora philanthropy, remains a largely untapped and poorly documented area with significant knowledge gaps existing on both the supply and demand end. To address this gap the Bangladesh Freedom Foundation, an independent grant-making organization, and Drishtipat, a non-profit and non-partisan volunteer diaspora organization committed to safeguarding human rights in Bangladesh, responded to a call for proposals by the Asia Pacific Philanthropy Consortium (APPC) based in the Philippines, to undertake research for developing select case studies, profiles and a database of Bangladeshi diaspora philanthropic organizations. APPC's call for proposals was a follow-up of its conference on Diaspora Giving held in Hanoi, Vietnam in May 2008. The Bangladesh team at this conference was led by the executive director of the Bangladesh Freedom Foundation who also wrote the Bangladesh country paper. It is hoped that this publication will shed some light on diaspora philanthropy in Bangladesh as well as motivate others to further delve into this area so that it can be better organized and its potential further realized. I would like to thank the Asia Pacific Philanthropy Consortium for their financial support, to the diaspora organizations that provided access to their projects sites, shared information and in some cases met with our researchers, to the diaspora members who responded to our emails and telephone calls, and to all the researchers and participants who contributed their energy and enthusiasm in making this project a success. Syed Manzur Elahi Chairperson Bangladesh Freedom Foundation 4 CONTENTS Foreword 3 Introduction 7 The Context 8 Methodology 10 Case Studies Adhunika 13 Agami 17 Bangla Aid, UK 22 Bangladesh Environment Network (BEN) 25 Friends of Khasdobir Bangladesh 31 Imdad-Sitara Khan Foundation 36 Mati 41 Stichting Land Ontwikkelings Project Bangladesh(SLOPB) 46 SpaandanB 51 The Optimists 57 UK Children Aid Trust Fund 63 Volunteers Association for Bangladesh 66 Profiles 77 Database 91 5 6 INTRODUCTION Diaspora philanthropy remains a largely untapped source of funds for social projects in Bangladesh, with strong potential for further expansion given that the Bangladeshi diaspora has reached a certain size whose remittances could, if better organised, have a greater impact on people and communities in the home country. However, significant knowledge gaps exist on both the supply and demand end, while there remain certain regulatory bottlenecks against efficient and convenient transfer of resources to potential partner organizations in Bangladesh for philanthropic projects. There is very little information available to Bangladeshi organizations regarding the number and scope of diaspora organizations, while diaspora organizations themselves may not necessarily have the means or mechanisms to identify potential partners to work with in Bangladesh. 1 The present publication, based on six months’ research , attempts to address this knowledge gap through preparing a select number of case studies, profiles and database of diaspora philanthropic organizations for dissemination among the extensive network of social sector organizations in Bangladesh. The provisional database of 350 2 organizations based mainly in the United States and United Kingdom is also possibly the first attempt to develop a central depository of Bangladeshi diaspora philanthropic organizations. 7 Diaspora Philanthropy in Bangladesh It has three parts including case studies of 12 of these organizations based in the UK, US and also mainland Europe. These cases describe the origins, goals, activities, organization, funding practices and self- perceived successes of the profiled diaspora groups. The organizations vary in size, age, ambition and scope, supporting work in fields as far ranging as education, environment and health to child sponsorship programs, women’s empowerment and community development. 3 The Context Recent decades have seen a rise in the migration and movement of people as economic and cultural globalization, ease of travel and communication grows. One of the consequences of this rise is greater transfer of resources by expatriates back to families and communities in their country of origin, generally flowing from developed destination countries to developing home countries. A World Bank study estimated that remittances to developing countries totalled US$167 billion in 2005, up 73% from 2001. A separate study found worldwide remittances to total US$275 billion in 2006, of which $206 billion flowed to developing countries. Many developing countries are thus attaching greater importance to the earnings of their migrant populations. In countries such as Bangladesh, there may be a tendency to recognize this potential primarily in terms of remittances to families of migrants. Yet some of the flow also goes to philanthropic activities ranging from financing of schools and clinics to developing community programs. Remittances from migrants are critical to the Bangladesh economy with its contribution to the development budget ranging from 30% to 50%. It is higher than net foreign direct investment, foreign aid, and is even higher than earnings from the largest export earner, the Ready-Made Garments (RMG) sector when its earnings are adjusted against the cost of raw materials. Remittances are also said to positively impact on national income GNP, consumption, investment, and imports. 8 Introduction According to the Bangladesh Bank, remittances from overseas workers crossed the $10 billion mark for the first time in 2009, up a hefty 20 percent from the previous year. But many analysts are of the opinion that factoring in remittances through unofficial, non-banking channels means the total more likely stands at between US$16 to US$17 billion. Even though most of this flow is directed at the household level, it is estimated that a very small portion, approximately 1% or US$160 to US$170 million, is transferred primarily as charity directed towards poorer relatives and village residents or community development through faith based institutions. But there has also been a gradual increase in the number of Bangladeshi diaspora groups organizing funds for philanthropic purposes in their home country beyond individual-to- individual giving. This form of social investment, however, has hardly been studied outside 4 of a handful of countries. According to one author , it is among the “least understood components of the philanthropic landscape.” 5 A 2008 Bangladesh paper on ‘Diaspora Giving’ has, however, attempted to present “some understanding on the social contribution of migrant populations—termed as ‘diaspora philanthropy’—in the context of Bangladesh”. More specifically, the paper looked at the migration patterns of Bangladeshis; their philanthropic practices; related