OCT 23 — We live in times of unexpected change and on the verge of a global financial crisis. In these times of change, our assumptions about economic development and about development cooperation are fundamentally challenged.

The old development paradigm of North-South cooperation is no longer effective. The typical World Bank argument of transferring money from the developed “North” to the developing “South” accompanied by a set of governance reforms is seen to be producing uncertain results. And in providing this North-South flow of assistance, the focus on narrow set of governmental actors needs to be changed.

It so happens that when loans are disposed from North to South, we often hear about newly built schools without textbooks or newly built health clinics without medical drugs.

Today, the world is fundamentally different in many ways. For instance, the after-effect of financial crisis is creating pressures on traditional assistance programmes, in producing concrete and tangible results. Citizen movements like Arab Spring have underscored powerfully that people want accountability. They exposed the fact that development is not just a matter of regime change but also development change in itself. The rise of information and communications technology, have dramatically changed the way we work, the way we think, the way we connect and the way we involve everyone in development. And finally the rise of South-South cooperation has resulted in a move towards open development.

Programmes like Mexico’s Oportunidades, Brazil’s Bolsa Familia, are not only inspiring countries in South like Indonesia, Philippines but also North’s United States in reducing poverty by making welfare programmes conditional upon the receiver’s actions. Websites like checkmyschool.org developed by Government of Philippines has helped citizens to gain access to information, send feedback, and resolve issues on education services. Mobile applications like Huduma in Kenya, ensures citizens that national government services are available and accessible to every citizen. Likewise, SMS based Ureport in Uganada — benefits citizens to speak out on what’s happening in communities across the country, and work together with other community leaders for a positive change.

These programmes represent a new series of development success stories, for other developing nations. These countries represent new sources of South-South knowledge and investments that were not present just a decade ago. South-South exchanges can shape vision, give practical know-how, build ownership and enhance capacity building in ways the traditional North-South paradigm could not achieve.

By inverting the old paradigm created by Bretton Woods institutions, countries in the South are increasingly developing a new approach that focuses on supporting country-led reforms by building the capacity of domestic leaders to themselves tackle development challenges. However, care should be taken that dubious leaders like India’s very own Narendra Modi, who advocates for development without considering open governance, should not occupy the space created. Open Governance is not only in the form of accountability and transparency but also in the form of inclusive governance. Websites like data.gov created under White House’s Open Government Directive fosters greater public participation and collaboration in government processes and policymaking.

Developing countries in the South are becoming susceptible to the solutions offered by US, Europe or other countries in the North. Southern countries are gradually seeking inspiration, hope, and vision from other successfully emerging economics within the South. Countries like Indonesia are interested in knowing how Maldives reduced its maternal mortality rate from 900 in 1990 to less than 70 in 2010. While these knowledge transfers are taking place, more south based donor institutions are emerging. Donor communities in the west, like World Bank, IMF should learn to lead in collaborative actions between state and non-state actors, recognising the growing importance of citizen voice and participation. And to build the capacity of these actors, multiple sources of channels with multiple sources of knowledge and innovation, especially from the South is needed. Moreover, these connections will lead to possession, motivation and exchange of practical know-how, which will subsequently help creating a new set of network linkages i.e. Open Network.

In the context of increasing pressures on traditional assistance, need for leverage aid to achieve stronger and more visible results, while broadening sources of finance, including South-South investments as well as grants from foundations to build the capacity of non-state actors is vital. Furthermore, engaging citizens in the planning and delivery of development programs will also steer towards the fundamental goal of enhancing social accountability and public service delivery.

As a move towards open development, institutions like Asian Development Bank are progressively opening up their data’s and projects for public scrutiny. Usage of tools like Geo-mapping help in visualising the locations of financed projects to monitor better development impact, improve assistance effectiveness, coordination, and enhance transparency and social accountability. To this end, amalgamation of open assistance with open governance will upshot in strengthening the capacity of citizens and other stakeholders to use and respond to development data.

Therefore, the troika of Open Governance, Open Network and Open Assistance can result in formulation of a new open development paradigm and can bring regimes closer to the vision of a more inclusive, democratic and effective development.

* This is the personal opinion of the columnist.