Leveraging Innovative Financing for Development
How can development organizations leverage crowdfunding to collectively finance and advance human development outcomes worldwide?
Crowdfunding models offer disruptive examples of collective action problem-solving. Crowdfunded micro-lending initiatives like Kiva enable people all over the world to support entrepreneurs in emerging contexts. In only two years, the crowdfunding platform Kickstarter has helped hundreds of thousands of creators secure the capital they need to bring new ideas, products, services, and stories to the world. And there are many more mission-driven crowdfunding platforms: Global Giving, Crowdrise, Donors Choose, Raise 5, and Catapult, to name a few.
During the 2012 Sustainable Development Forum, the World Bank convened a cross-divisional team to explore how crowdfunding models could be deployed in their work. The World Bank engaged Reboot to design a daylong brainstorming session and to facilitate discussion about how crowdfunding can be integrated with and inform World Bank programming worldwide.
The workshop yielded a variety of practical applications for crowdfunding to support the success of World Bank initiatives. These included expanding access to capital for entrepreneurs, aggregating demand and filtering supply, enabling organizational efficiency, and capitalizing new markets. The workshop served as a valuable brainstorming exercise for the World Bank and an important step toward exploring how to realize crowdfunding’s potential in the global development space.