The November of 2016 stirred Indian economy. Every sector of economy received shock and was struggling to cope with the change. Entire economy is still undergoing through radical change. Social sector is no excepti-on to it.
The social sector is an important sector for India’s economy. It includes several important components such as education, health and medical care, water supply and sanitation, poverty alleviation, etc. that play a vital contribution in human development. Due to the obvious hurdles like colossal population and financial constraints, Indian government falls short of satisfying basic needs and building social infrastructure, despite of it’s immense efforts.The large number of non-governmental organisations and philanthropic individuals in India try to fill in the gap.
These organisations mainly depend on empathetic fundraising. For India, fundraising through philanthropic donations is not a new phenomenon. The culture of philanthropy is as old as India itself, which has a history spanning thousands of years which helped these organisations to survive. Most of these funds, have been raised in form of cash, or in kind. Affluent individuals, business families contributed to philanthropic giving by donating land or other assets.
And hence, it was feared that giving in India will be affected adversely. Which somewhat remained true for a brief period.
During turbulent times,
Cash strapped individuals were in no shape to give. The fear of scrutiny, coming under scanner for cash donations, made genuine donors uncomfortable too. Most chose to donate to religious institutions which were given outright exemption from any kind of scrutiny. Also the fact that current income tax regulations allow religious institutions to accept anonymous donations, a temporary surge in donations was observed as some people might have tried donating part of their black money to religious institutions.
Crowdfunding platforms saved the day!
Other NGOs and individuals in need faced liquidity crisis as did the entire nation. But what stopped it from falling into total ruins was digital giving facilitated by crowdfunding platforms in India. Crowdfunding platforms in India facilitating digital giving saved the day for thousands of NGOs and individuals in such jubilant time.
The future of fundraising in India now lies in crowdfunding.
The digital revolution in the social sector has arrived. It marks a pivotal point for the digital economy, for CSR, and for the nonprofit sector. Experts predicted in 2015 that 20% of all giving in India will occur online within two years and 50% within 10 years, according to a Charities Aid Foundation India survey. The move of demonetization has just drastically accelerated that. India’s social sector is being fired head first into the digital age and it’s going to change lives as we know it for NGOs and CSR agendas.
Almost all nations of the world are aiming to transform to cashless economies. Digitisation of financial transactions pushes accountability and transparency in an economy leading to stability and growth. The future of fundraising in India lies in crowdfunding.
If you miss out on it, you will miss the opportunity to benefit from the philanthropic trends in India which has immense potential to grow. Get the hang of how crowdfunding works, today, to ensure you are all ready to contribute to the new landscape of fundraising in India.