The proper aim of giving is to put the recipients in a state where they no longer need our gifts.'

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The proper aim of giving is to put the recipients in a state where they no longer need our gifts.'
Spring 2018

‘The proper aim of giving is to put the
 recipients in a state where they no longer
 need our gifts.’
                                                                      C. S. Lewis

Nine years ago, the release of the book Dead Aid, by Zambia-born former Goldman
Sachs economist Dr Dambisa Moyo provoked a huge public debate around the
world about the failure of global aid. In her book, Dambisa Moyo, challenged the
efficiency of global aid programs arguing for a new radical approach for Africa.

Since then, there have been significant geopolitical changes and the rise of pop-
ulism and growing inequalities has shed light on the flaws and challenges threat-
ening to weaken modern democracies. In this perspective, we were very pleased
to have the opportunity to discuss with Dambisa Moyo on her understanding of
the current state of the world and her views on how to tackle the most pressing
issues. In this edition of the Philanthropy Letter, you can read the inspiring
insights from one of the most respected critical thinkers of our times.

Luxembourg is one of the countries that has been named by the OECD as an
example in terms of the quality of its aid programs and for being one of the few
countries that respect and even exceed the OECD development target of 0,7 %
of GDP. In this context, we discussed with Manuel Tonnar, recently appointed
Director for Development Cooperation and Humanitarian Affairs at the
Luxembourg Ministry of Foreign and European Affairs, who shares with us the
specifics of the Grand-Duchy’s approach to development cooperation.

As an umbrella foundation, our mission is to accompany donors in the manage-
ment of their personalized foundations. This also involves helping them select the
most appropriate organizations to carry out the projects they chose to support. In
this perspective, we interviewed Guy Declercq, President of Belgium-based NGO
Médecins Sans Vacances, supported by the Fondation Jos & Mimieke under the
aegis of Fondation de Luxembourg. In the interview, he explains their important
work of sending Belgian doctors as volunteers during their vacations, with the
purpose of training their colleagues in developing countries, through sharing of
skills and expertise.

We wish you a pleasant reading,

Tonika Hirdman

2 A conversation with                      6 The Luxembourg model for
  Dr. Dambisa Moyo about the                 development cooperation
  current state of the world               8 Founders of corporate foundations
4 De Bruxelles à Kinshasa, sur le            share their motivations behind their
  chemin des médecins sans vacances          philanthropic engagement
The proper aim of giving is to put the recipients in a state where they no longer need our gifts.'
2    Fondation de Luxembourg Philanthropy Letter Spring 2018

A conversation with Dr. Dambisa Moyo
about the current state of the world

                                           One of the things that people say           An increasing number of development
                                           about me, is that I am someone with         projects focus on women empower-
                                           a strong appetite for the truth. I don’t    ment, how do you see the current state
                                           accept the common understanding of          of women’s equality?
                                           things as being the standard. I am a
                                           scientist by background so I like to go     We can put a man on the moon, so I
                                           into the details.                           am rather confident that we can solve
                                                                                       issues such as poverty or economic
                                           Living in a time of constant changes        growth. Some important achieve-
                                           driven by innovation, I am really inter-    ments have been made with regard
                                           ested in understanding how innova-          to women’s equality. But that doesn’t
                                           tions are affecting us at a global scale.   mean we are done. If women gain ac-
                                                                                       cess to education or to capital to start
                                           You are recognized worldwide for            a business, in whatever area, that is
                                           being a critical thinker on globaliza-      the best for the world long-term.
                                           tion, what are the current issues that
                                           you are most worried about?                 In 2009, you wrote a book called
  Dr. Dambisa Moyo
                                                                                       Dead Aid, in which you criticized
  is a global economist and author         One area I am very concerned about is       the huge flows of development aid
  who analyzes the macroeconomy            the prospects for democracies. In the       money that according to you created
  and international affairs. She           West we are keen to criticize every-        more problems than solutions for
  serves on a number of boards             thing that we judge as un-democratic,       Africa. Have you seen a change in
  of global corporations. She was          but it has been a very long time since      the approach of large development
  named by TIME Magazine as                I read a well-articulated view concern-     agencies since then?
  one of the “100 Most Influential         ing the flaws of our own democratic
  People in the World,” and authored       systems. I am actually just about to        The narratives have definitely
  three NY Times Bestsellers. Her          release a new book, Edge of Chaos, on       changed, and this is mainly due to a
  new book, “Edge of Chaos:                this topic. The goal of democracy is        changing world. Since the financial
  Why Democracy Fails to ­D eliver         that as many people as possible should      crisis, many of the developed coun-
  ­Economic Growth and How to              vote based on objective information,        tries are experiencing economic prob-
   Fix It” will be published in            and this is not currently the case, as      lems, such as large levels of debts and
   2018.                                   we saw during the US presidential           demographic issues. China’s growing
                                           campaign or the Brexit. We need to re-      importance as a global decision-
                                           visit, challenge and question ourselves     maker has also changed the debate
                                           about how to make democracies more          considerably.
Could you tell us something about          effective and respected.
your background and what has                                                           The problem of brain drain has been
influenced you the most?                   What could be the approach to               particularly damaging in Africa, where
                                           address this?                               an increasing number of educated
I was born and raised in Africa, but I                                                 people chose to live in the European
spent the majority of my life travelling   The fundamental problem with democ-         Union, the US or elsewhere. How can
the world, I have been to more than 80     racies is the short-termism in the minds    this negative trend be reversed?
countries. I did my Master of Public       of the politicians. One way to solve this
Administration at Harvard and my           is to create a better match between         There is a subtle view in the West that
PhD in Oxford. I am originally from        long-term economic issues like jobs,        people from some parts of the world
Zambia, but I feel very much like a        technology or income inequalities, and      just want to leave their home. I think
global citizen.                            short-term political cycles.                this is a misunderstanding. People
The proper aim of giving is to put the recipients in a state where they no longer need our gifts.'
3

  Dr. Dambisa Moyo – TED Talk, Edinburgh, Scotland

want to live with their family, be with   How can new technology help in ensu-       What is your primary wish for the
their friends and be integrated in the    ring a sustainable development that        world in 2018?
culture they are from. The decision to    benefit all?
move away from home is not some-                                                     Given all the current political and
thing that is taken lightly.              Technology has already transformed         geopolitical tensions, a real de-escala-
                                          how we communicate, travel, and even       tion in some of the combative narra-
Lately, there has been some evidence      date! Our ability to deliver education     tives we heard would be very positive.
of people from Africa increasingly        or healthcare solutions is now closely
returning to their home. When there       linked to the development of technol-
are economic prospects, and the coun-     ogy. I am therefore very optimistic on
try is moving in the right direction,     the prospects of technology and how it
people are inclined to return and try     will benefit us in the future.               ‘We need to revisit,
their fortune in the habitat they are                                                  challenge and
most familiar with.                       What should be the approach of phi-
                                          lanthropy and in particular corpora-         question ourselves
In this context, what should the global   tions in working towards achieving the       about how to
community do in poorer countries to       Sustainable Development Goals?
ensure that they are economically                                                      make democracies
viable and politically stable? In my      The goal of philanthropy should be to        more effective and
view it is essential to make sure that    look ahead of times with the ultimate
developed countries are engaging          aim to cease to exist. I think this          respected.’
through trade in a fair way, thereby      would bring tremendous change in
                                                                                       Dr. Dambisa Moyo
improving the livelihood of the poor-     the relations between donors and
est countries.                            recipients, but also ultimately in terms
                                          of generating better outcomes.
The proper aim of giving is to put the recipients in a state where they no longer need our gifts.'
4    Fondation de Luxembourg Philanthropy Letter Spring 2018

Multi-stakeholder partnerships for
effective development cooperation

                                          Indeed, Luxembourg met the ODA                 nation and results based management
                                          commitment of 0,7% of GNI already              are some of the important criteria.
                                          in the year 2000 and even increased
                                          it to 1% since 2010. Alongside with            As of January this year, a revision
                                          quantity, the Directorate for Develop-         of the law on development coopera-
                                          ment Cooperation and Humanitarian              tion sets the cofinancing rate to 80%
                                          Action has always put great emphasis           for projects in partner countries and
                                          on quality of aid. Real partnerships,          LDCs, and to 60% for projects in
                                          strong ownership and alignment with            other countries. Different modalities
                                          national and local priorities are es-          apply to different NGOs, ranging from
                                          sential in this regard.                        single project cofinancing to multian-
                                                                                         nual partnership frameworks.
                                          One of the main factors of success
                                          of Luxembourg’s ODA has been the               With the Sustainable Development
                                          geographic and sectorial concentra-            Goals and the Agenda 2030, adopted
  Manuel Tonnar                           tion. In order to maximize impact,             in 2015, the architecture of aid has
                                          we have deliberately chosen to focus           substantially changed. New alliances
  is Director for Development Coop-       our public aid on a limited number             are concluded between public actors
  eration and Humanitarian Affairs        of partner countries 2, mainly least           and the private sector, with civil
  in the Ministry of Foreign and          developed countries (LDC) and with             society, foundations, universities and
  European Affairs. He joined the         a special attention to Sub-Saharan             research institutions. With regard to
  Directorate in 2004, where he was       Africa. Luxembourg’s aid is further-           an ever more complex and interlinked
  consecutively in charge of differ-      more concentrated on the three social          world and the enormous needs in
  ent departments before being ap-        sectors of health, education and vo-           developing countries, effective multi-
  pointed Deputy Director in 2013.        cational training, as well as rural and        stakeholder partnerships have become
  Before entering the MoFA, Manuel        local development. Two areas where             a necessity. Luxembourg can play an
  worked for the United Nations as        Luxembourg has specific expertise              essential role to foster such partner-
  a program officer in Vietnam and        complement these sectors: inclusive            ships, notably as a financial center,
  Mali. Manuel is Vice-President          finance and ICT.                               capable of leveraging considerable
  of the Boards of Directors of Lux-                                                     private funding through public incen-
  Development and LuxFlag and he          The fact that Luxembourg serves                tives. This is remarkably the case in
  is Alternate governor of the In-        as a model in development coopera-             microfinance but also in the area of
  ternational Fund for Agricultural       tion has however its roots in another          green bonds or responsible investment
  Development.                            particularity, notably the remarkable          funds, to name only those.
                                          engagement of its people, its civil
                                          society and the private sector.                In our partner countries, ODA re-
                                          An impressive number of 93 non-                mains of capital importance, espe-
                                          governmental organisations have a              cially in the social sectors, but it has
The OECD DAC 1 peer review in 2017        ministerial accreditation as develop-          to be complemented by foreign direct
concluded that Luxembourg is a relia-     ment NGOs. This means that their               investment and transfer of knowledge
ble and innovative partner in develop-    projects and programmes are eligible           and capacities. Corporate Social
ment cooperation, with great impact,      for public cofinancing, if certain qual-       Responsibility and investment in pro
visibility and influence. This confirms   ity criteria are met. Funding requests
the relevance of the longstanding en-     are checked against their relevance,
                                                                                     1
                                                                                         Development Assistance Committee
gagement of our country in matters of     efficiency, effectiveness and sustain-     2
                                                                                         Burkina Faso, Cabo Verde, Laos, Mali, Nicaragua,
official development assistance (ODA).    able impact. Local ownership, coordi-          Niger, Senegal.
The proper aim of giving is to put the recipients in a state where they no longer need our gifts.'
5

                                                                                                       ‘Development coop­
                                                                                                       eration is no longer
                                                                                                       only about ­charity
                                                                                                       but about real
                                                                                                       philanthropy, it is
                                                                                                       about connecting
                                                                                                       people and resources
                                                                                                       for mutual and sus­
                                                                                                       tainable benefits for
                                                                                                       humanity.’
                                                                                                       Manuel Tonnar
  Photo © SIP / Jean-Christophe Verhaegen

poor growth play a crucial role in                   organized an economic forum during             multifaceted socio-economic, political,
poverty alleviation and sustainable                  the visit with a robust participation of       environmental and security challenges
development.                                         the Luxembourg business community.             at national and regional level. Talking
                                                     This is a relevant illustration of how         to our very devoted staff and partners
A recent example of our new way of                   development aid, the fight against             in Bamako, I realized once again how
working is the official visit of H.R.H.              climate change and economic devel-             important it is that we work on crisis
the Grand Duke to Senegal, in                        opment go hand in hand to achieve              prevention and resilience and that
January this year. Whereas relations                 sustainable development.                       we address the security-development
between Luxembourg and Senegal re-                                                                  nexus.
main predominantly based on develop-                 After Senegal, I moved on to Bamako,
ment cooperation, the delegation of the              Mali. A once peaceful country where            These are the challenges for the fu-
Grand Duke counted, alongside the                    I used to live and work some twenty            ture. The long-term trends that are al-
development minister Romain Schnei-                  years ago, that is now prone to insta-         ready reshaping the global landscape,
der, also the minister of environment                bility, terrorist attacks, illicit traffick-   from climate change to demographics,
Carole Dieschbourg and the secretary                 ing and growing criminality. They              from the slowdown in emerging market
of state for foreign trade Francine                  are the consequence of the country’s           economies to migration, from public
Closener. The Chamber of Commerce                    insufficient developmental efforts and         health crises to fragile states and ter-
                                                                                                    rorism. Only by joining efforts at all
                                                                                                    levels, in a holistic and coordinated
                                                                                                    approach may we address these chal-
Relationship between ODA and GNI 1985-2016                                                          lenges. Development cooperation is
                                                                                                    no longer only about charity but about
1,20%
                                                                                                    real philanthropy, about connecting
1,00%                                                                                               people and resources for mutual and
0,80%
                                                                                                    sustainable benefits for humanity.
                                                                                                    Development cooperation has become
0,60%                                                                                               a main pillar of our foreign affairs
0,40%                                                                                               policy, chiefly supported by Parlia-
                                                                                                    ment. The opportunities are there and
0,20%
                                                                                                    the world of today has the required
0,00%                                                                                               financial resources, capacities and
                                                                                                    technology to end poverty and stop
        2000

        2004

        2006

        2008
        2009
        2003

        2005
        2002

        2007
        1990

        1999
        1996
        1988

        1994

        1998
        1986

        1992

        1997

        2001
        1985

        1993
        1989

        1995
        1987

        2012
        1991

        2013

        2015
        2011
        2010

        2016
        2014

                                                                                                    climate change. So let’s make it
        ODA: Official Development Assistance GNI: Gross National Income
                                                                                                    happen!
        Source: Luxembourg’s development cooperation Annual Report 2016
6    Fondation de Luxembourg Philanthropy Letter Spring 2018

De Bruxelles à Kinshasa, sur le chemin
des médecins sans vacances

                                           Peu à peu, ils ont réussi à convaincre     journée de mission. L’équipe locale
                                           des collègues partageant les mêmes         pose le diagnostic avec l’équipe MSV et
                                           valeurs de rejoindre l’équipe. Au fil      déterminent ensemble le traitement, le
                                           des années, l’approche s’est profes-       suivi ainsi que le programme opératoire
                                           sionnalisée et l’accent a été mis sur la   à venir. Les activités comprennent
                                           durabilité en renforçant les capacités     également l’installation d’appareils bio-
                                           des partenaires.                           médicaux, la formation des utilisateurs
                                                                                      et même la mise en place de groupes
                                           Quelles sont vos activités principales     électrogènes ou de panneaux solaires.
                                           et comment évaluez-vous les besoins        Nous conseillons enfin nos hôpitaux
                                           locaux en amont des missions ?             partenaires sur la gestion des soins,
                                                                                      le dossier médical unique, l’hygiène
                                           MSV travaille toujours à la demande        hospitalière, etc.
                                           de nos hôpitaux partenaires locaux.
                                           Nous déterminons ensemble les              Comment est organisé le suivi des
                                           besoins et la meilleure approche pour      projets?
  Guy Declercq                             une collaboration à long terme. Nous
                                           avons établi un trajet de renforcement     Les rapports d’évaluation sont rédigés
  est médecin spécialiste ORL              de capacités avec la plupart de nos 40     par toute l’équipe de bénévoles ainsi
  (nez-gorge-oreilles) à l’hôpital         partenaires. Nous évaluons les points      que par le personnel de l’hôpital parte-
  Maria Middelares à Gand,                 forts et les améliorations possibles.      naire pour vérifier si les objectifs ont
  ­Belgique. Il est volontaire de          Ensuite, l’hôpital fait une autoévalua-    été atteints. Ces évaluations servent de
   terrain chez Médecins Sans              tion approfondie après quoi une liste      base de travail à la prochaine équipe
   ­Vacances depuis 2007 et a              des priorités sur trois niveaux - (para)   qui partira et poursuivra le processus
    déjà fait 11 missions, toutes          médical, matériel et technique, et         de renforcement des capacités avec le
    en République Démocratique             organisationnel – est établie.             partenaire.
    du Congo, plus précisément au
    Sud-Kivu. Membre du Conseil            Comment se déroule une mission de
    d’Administration depuis 2010, il       renforcement des capacités chez vos
    a été élu président en juin 2017.      partenaires locaux ?

                                           Avant le début de la mission, les
                                           termes de référence sont fixés par
Comment est né Médecins Sans               MSV en collaboration avec la direc-
Vacances et comment l’organisation         tion de l’hôpital partenaire et une
a-t-elle évolué depuis sa création en      équipe de bénévoles est formée.
1981 ?                                     Quelques semaines avant la mission,
                                           l’équipe se réunit afin de passer en
Lors de vacances au Cameroun, les          revue ce que nous voulons réaliser. La
médecins flamands Frans De Weer et         plupart se concentrent sur le « on-the-
Johan Mattelaer avaient été frappés        job training ». Nous organisons égale-
par le besoin fondamental d’aide mé-       ment des formations, en regroupant le
dicale. Un an plus tard en 1981, MSV       personnel de plusieurs hôpitaux mais          Dr Guy Declercq et
voit le jour et lors de la première mis-   aussi des échanges Sud-Sud.                   Dr Patrick Balungwe,
sion, la population locale accueille les                                                 Hôpital de Bukavu, République
deux médecins avec enthousiasme, les       Les malades identifiés sont invités           ­Démocratique du Congo
appelant “Médecins Sans Vacances”.         à se présenter pendant la première
7

                                                                                        ‘Je suis moi-même
                                                                                        bénévole depuis onze
                                                                                        ans et je peux vous
                                                                                        assurer que partir
                                                                                        en mission n’est pas
                                                                                        un sacrifice, mais
                                                                                        un enrichissement.
                                                                                        Partager ses
                                                                                        connaissances, et
                                                                                        améliorer avec nos
                                                                                        partenaires la qualité
                                                                                        des soins, donne une
                                                                                        énorme satisfaction.’
  Patients de l’Hôpital Mumbumbano en République Démocratique du Congo.                 Guy Declercq
  © Médecins Sans Vacances

Quelles sont selon vous les motivations    Quels sont les évolutions et les           besoin de notre aide, comme ce sera
des médecins et paramédicaux qui           défis des systèmes de santé que vous       le cas avec le Dr Balungwe à l’hôpital
décident de s’engager à vos côtés en       constatez dans les pays dans lesquels      de Bukavu.
sacrifiant leurs vacances ?                vous êtes actifs ?
                                                                                      Vous recevez le soutien de la
Je suis moi-même bénévole depuis           Malheureusement, il y a toujours           ­Fondation Jos et Mimieke, abritée
onze ans et je peux vous assurer que       un manque de personnel qualifié et          sous l’égide de la Fondation de
partir en mission n’est pas un sacri-      de matériel médical adapté. Je suis         Luxembourg, quelle est pour vous
fice, mais un enrichissement. Partager     à chaque fois impressionné par la           l’importance de ce soutien ?
ses connaissances, et améliorer avec       créativité et la persévérance de mes
nos partenaires la qualité des soins,      collègues locaux. Ils t­ ravaillent dans   Le soutien que nous recevons de
donne une énorme satisfaction.             des conditions difficiles, souvent         la Fondation Jos et Mimieke est
                                           mal ou non rémunérés, mais restent         particulièrement important pour
Auriez-vous un témoignage d’un mé-         déterminés à aider leurs patients.         MSV. Il renforce notre partenariat
decin local, ayant bénéficié de l’enca-    L’absence d’un système de mutuelles        avec l’hôpital congolais de Mubum-
drement de Médecins Sans Vacances          de santé rend par ailleurs l’accès aux     bano au Sud Kivu, qui pourra ainsi
lors d’une mission, à partager ?           soins très difficile pour la population.   améliorer les capacités de soins
                                                                                      qualitatifs en urgences obstétricales,
Absolument ! Pendant mes missions          Comment mesurez-vous l’impact à            néonatales et pédiatriques. En 2017
ORL dans la région de Bukavu, j’ai         court et long terme de vos actions ?       nous y avons réalisé six missions.
eu la chance d’accompagner le Dr                                                      Grâce aux panneaux solaires que
Patrick Balungwe, un jeune médecin         À court terme, il est important de         nous avons pu installer à l’hôpital,
ORL local. J’ai assuré sa formation de     vérifier que les objectifs d’une mis-      l’approvisionnement en énergie
spécialiste ORL et pour le moment il       sion ont été atteints et que l’équipe      est garanti et le prix facturé aux
est le seul dans la région. Cette année,   médicale locale a appris de nouvelles      patients a sensiblement diminué.
nous terminerons le trajet de renforce-    techniques et protocoles de travail. À     Tout cela n’aurait pas été possible
ment de capacités avec lui et son staff.   long terme, pouvoir finaliser notre par-   sans le soutien de la Fondation Jos
Dr Patrick fait un excellent travail et    tenariat avec un hôpital une fois notre    et Mimieke.
il est aujourd’hui en mesure de former     travail terminé est ­fondamental. Cela
d’autres collègues.                        veut dire que l’équipe locale n’a plus
8    Fondation de Luxembourg Philanthropy Letter Spring 2018

What were the motivations that led to
the creation of a corporate foundation?
  Keith O’Donnell – Managing partner                               Pit Hentgen – Administrateur-délégué
  ATOZ                                                             Compagnie Financière La Luxembourgeoise

                      When we created the ATOZ Founda-                                In 2012, Compagnie Financière La
                      tion, our goal was to find a practical                          Luxembourgeoise realized an extra­
                      way to give back to the community, with                         ordinary profit on restructuring its
                      targeted actions aligned with the values                        insurance business and decided to set
                      of our firm. We chose the corporate                             up a foundation to channel back some
                      foundation model to enjoy a certain lev-                        of its surpluses to society. Inspired by
                      el of flexibility while benefitting from                        its founders’ commitment to economic
                      the framework and ethical safeguards                            growth and social cohesion focusing on
provided by the Fondation de Luxembourg. Supporting initi-       education, Fondation La Luxembourgeoise seeks to
atives that seek to nurture the minds of children and young      support the University of Luxembourg. In 2015, it com-
adults, we believe education to be the single most important     pleted the construction of a student residence on the Belval
element needed to make our world a better place. We don’t        campus, offering 45 student accommodations. Currently, it
expect to change the world, but in the words of Tanzanian        is leading a research project on the history of Lalux and its
proverb, “Little by little, a little becomes a lot.”             interaction with society, for a better understanding of the
                                                                 role of insurance throughout the different phases of eco-
                                                                 nomic development and the emergence of new risks.

  Anne-Sophie Minaldo – Head of Corporate                          Hugo Mahieu – CEO
  Citizenship at KPMG and member of the                            The Mangrove Foundation 2.0
  KPMG Foundation                                                  under the aegis of Fondation de Luxembourg

                     The KPMG Foundation was cre-                                     The Mangrove Foundation is an
                     ated as an extension of our values. We                           initiative of Mangrove Capital Part-
                     believe in unleashing the full potential                         ners, which has decided to act for the
                     of our people by giving back through                             planet’s and mankind’s survival by
                     volunteerism, education, and corporate                           giving money to worthy causes its part-
                     giving. Each of our projects encourages                          ners collectively feel strongly about.
                     achieving progress towards the UN                                Launched in 2009, its goal is to im-
                     Sustainable Development Goals. While                             prove the living conditions of 500,000
these goals cover a range of issues, our main focus is qual-     people, by contributing funds and expert advice to projects
ity education and lifelong learning, ensuring healthy lives      run by selected NGOs in the fields of environment and
and well-being for all ages and decent work and economic         women empowerment. The Mangrove Foundation has since
growth. We view the KPMG Foundation as an essential and          its inception supported seven projects around the World,
strategic investment that applies our people’s skills, values    and recently decided to give projects another dimension by
and passions to enable change.                                   dedicating a full time resource to manage it and make it
                                                                 one of the most impactful foundations in its area.

                                                                                                   B.P. 281 L-2012 Luxembourg
                                                                                  Tel. (+352) 274 748 1 Fax (+352) 274 748 279
                                                                                                     secr@fdlux.lu www.fdlux.lu
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