new world
CHARITY AND DEVELOPING ECONOMIES

Toward a Brotherhood of Peoples
Unpacking Caritas in Veritate with one who has personal and global experience in the realm of economic development, AVSI–USA offers new perspective in an interview with Juan José Daboub, Managing Director of the World Bank, an El Salvadoran native who has helped his country through two crises.

By Jackie Hamm Aldrette*

On April 28, 2010, Crossroads Cultural Center and AVSI-USA co-hosted a dialogue with Mr. Juan José Daboub and His Excellency Frank Dewane, Bishop of Venice, Florida, on the topic,  “The Challenge of Development: a Conversation on Caritas in Veritate.” At the event, the speakers commented upon the provocations of Pope Benedict XVI in his latest encyclical, which called for gratuitousness and charity as necessary elements of the economy, in particular in light of the global financial crisis. While Bishop Dewane eloquently outlined some of the main concepts contained in the encyclical as framed by the historical background of the Church’s tradition of social teachings, Mr. Daboub, a Managing Director of the World Bank, reflected on the encyclical from his perspective at the Bank, a leading actor in international development assistance, as well as from the point of view of his personal and professional background in his native El Salvador.

Many issues emerged during that discussion which AVSI-USA had the opportunity to explore further with Mr. Daboub on the occasion of this interview.
Education and work have emerged as key components of integral human development and areas of common ground between the Pope’s encyclical and the World Bank. Beyond the technical expertise of the Bank is the promise that such an institution also be a place that nurtures friendship and solidarity among public and private bodies. As the Pope reminds us, “The peoples themselves have the prime responsibility to work for their own development. But they will not bring this about in isolation.”  The ideal is clear: each expression of the international community and society at all levels bringing to the table a unique set of resources which together can improve the conditions for all people to pursue their own development.

You mentioned the Pope’s affirmation that “putting the human person at the center” of development programs and policies is a starting point that people can agree on regardless of religious confession. Is this a useful concept? Do you think that the World Bank has been able to use this lens in designing programs and policies?
As we have all seen, today’s economic threats quickly become international in scale, and the poor are usually the first victims and the hardest hit.  So, it is with each family, each individual in mind that the World Bank provides support. We must recognize the importance of the ethical, holistic approaches to development that appreciate the integrity of each person, the value of personal freedom and responsibility, and appropriate use of knowledge and technology. In the past few years, I have visited World Bank–financed projects around the world, from conflict-affected places like Gaza and natural disaster–hit Haiti to slums in Brasilia and Manila, to tiny villages in Malawi, Central African Republic, and in my own country of El Salvador. I have met many people, living in very difficult conditions, many without access to basic services such as electricity, water, health, or education services, and many suffering from the negative impact of corruption that robs from them the opportunities that they would otherwise have. What I kept hearing consistently is that these people, who, by the way, are from several different faiths, do not want handouts; they want an opportunity to work, participate in the economy, and earn a living with dignity.

So it sounds like you agree with the Pope when he says, “In development programs, the principle of the centrality of the human person, as the subject primarily responsible for development, must be preserved. The principal concern must be to improve the actual living conditions of the people in a given region, thus enabling them to carry out those duties which their poverty does not presently allow them to fulfill.”
This is why we are providing technical and financial support for: 1.) fighting poverty–through creation of opportunities and well-designed social safety nets; 2.) supporting economic growth and building the foundation for recovery–by financing competitive infrastructure like in public–private partnerships; 3.) private sector development–to create jobs, the best weapon against poverty; 4.) governance and anti-corruption–to make sure that the development resources reach their intended destination.

As noted in your intervention, the power of globalization for good is clear. Economic growth, driven largely by private sector businesses and expansions in global trade, has lifted millions of people out of material poverty over the past few decades. The Pope reminds us, though, of the many dangers and risks of globalization, a few of which Bishop Dewane mentioned explicitly: financial speculation, extraction of resources, migration, inequality, and globalization of harmful social values. The Pope claims that charity is essential to sound, sustainable economics. Do you agree with this, or is charity better described as a positive, but secondary, factor that is made possible by economic growth and the accumulation of wealth?
Charity is a personal decision.  You can’t and you shouldn’t legislate on it.
As in any natural or man-made disaster or crisis, a helping hand is needed for the most vulnerable.  What kind of temporary support to individuals, how to provide such support, and for how long are the main questions.  We can all agree that neither charity nor economic solutions alone can result in true human development.  What is most important is that people have the opportunity to take their destiny into their own hands. The reality is that no government today, even in the developed world, has the resources to cope with these threats alone. International cooperation is more imperative than ever, not only in responding to crises as they arise, but also in implementing lessons learned to prevent future crises.

You mentioned an example from El Salvador where, during the violent civil war, most of the public education system stopped functioning and much was destroyed. The government of El Salvador was able to recognize the initiative of parents to educate their children and to support it through public funding. From my point of view, this is a perfect example of the subsidiarity that the Pope speaks about as an appropriate tool for integral development because it facilitates people in assuming responsibility for their own progress in total freedom. Is subsidiarity–greater inclusion of and support for grass roots actors including faith-based organizations in the delivery of essential social services–a useful and/or realistic approach for the World Bank? Are there instances you can share in which the Bank is already following this type of model?
By its own Articles of Agreement, the World Bank was set up to work with governments.  Yet, we recognize that the role of individuals and local communities is an essential part of the development process. You will see that community-driven development, conditional cash transfers, and similar approaches are often critical elements of projects financed by the World Bank. Such subsidiarity encourages, for example, the engagement of parents in making decisions about local schools. Similar approaches are increasingly being used by governments for a range of activities to increase accountability and transparency, derive better and more sustainable results, and empower people. The Educo program in El Salvador gave more decision-making authority and oversight to parents and generated excellent results in improving the availability and quality of education. Mexico and Indonesia implemented similar programs, with comparable results. Another recent example is an initiative in Nigeria for interfaith action with an initial focus on malaria prevention, at the initiative of the faith leaders.  As a result, local imams and priests are being trained to facilitate the roll-out of the country’s malaria booster program. We also have an ongoing dialogue with NGOs.  Not only do we hear from them about the issues they see, but we consult with them on major World Bank policies such as was done during world-wide consultations on governance and anti-corruption.

Can you tell us what the World Bank is doing to promote education, which, as you mentioned in concordance with the Pope, is an essential ingredient in the integral development of a people and country?
I agree that education is essential.  A country’s prospect for development is greatly influenced by the quality of its people–the skill and creativity of the work force, the capability of its leaders to govern and to manage its resources, and the ability of its adult generation to raise healthy and educated children.  Supporting investments in education is a core element of the World Bank’s work.  While the focus varies from country to country, depending on the needs (for example, it may be directed at the primary, secondary, or tertiary level; teacher training and other quality issues; or governance and accountability issues), education is a key element in empowering people to take their destiny into their own hands.

*AVSI–USA Program Manager