The role of NGOs in a Neoliberal Economic and Political Context

by Thomas John, JH Companionship Facilitator

The 16th Annual get-together of Chethana was held on June 8 and 9, 2011 at Vidyadeep, Bangalore. The gathering deliberated on the theme, ‘NGOs: The Way Ahead in the Neoliberal Economic and Political Context’.

Economic growth for a few

Giving the Key note address, the former country director of ActionAid India, Dr. Babu Mathew, emphasized the significant influence that the Non Governmental Organizations (NGO's)* and Civil Society Organizations (CSOs) in general wield within the democratic polity of India. Referring to the great jubilation over India’s commendable economic growth under a neo-liberal economic regime, he pointed out how it benefits only a very narrow segment of the population.

The much touted economic growth has been exclusivist; it excludes social groups like Dalits, Tribals and minority Muslim community and especially women and children within these communities from the benefits of development. Further, the growth has been one of primitive accumulation of capital into the hands of a few corporations; the plunder of valuable natural resources through mining have been pointed out as examples. Dr. Mathew referred to instances of land grab by multinational corporations within India and outside.

Poverty for disempowered masses

Dr. Mathew also pointed out how the large section of people in the informal sector still continues to remain in abject poverty, without enjoying the benefits of India’s much trumpeted economic growth. He ended his talk affirming that the NGOs in India have a role, a significant and distinct role, and that they should play this role with much humility while striving to enlarge their space and circumvent the forces of fragmentation.

The gathering further pointed out how the neoliberal economic policies of the state have created a distinctive cultural and political climate that disempowers the masses and undermines genuine democratic processes.

NGOs: service providers or advocates?

Non-governmental Organizations are encouraged by the government to step into the role of delivering services which hitherto were in the domain and responsibility of the state. Not only the government but even Civil Society Organizations and the people at large, are increasingly seeing NGO’s role and responsibility as service providers rather than that of “defending the oppressed”, “taking up the cause of the fatherless and pleading the case of the widow” and in short, the role of “seeking justice”. (Isaiah 1: 16-17) But we are faced with the important question: can we allow the government to abdicate its fundamental responsibility of meeting the survival needs of its citizens and enabling them to live in dignity with equal opportunities? Can the most vulnerable in our societies be left to the vagaries of market forces?

While these internal realities demand a redefinition of the role and strategies of NGO’s in India, externally, they are also faced with the demands of more sophisticated, elitist, and top-down international donor culture and fund constraints resulting from the global financial crisis.

Chethana's observations

This is the backdrop against which Chethana partners deliberated on the theme ‘NGOs: The Way Ahead in a Neoliberal Economic and Political Context’. The gathering further affirmed the following observations:

1. Under Globalization, decisions are made at the level of transnational financial institutions and States, resulting in multilateral trade agreements that undermine national democracy and the autonomy of the Nation State. Because the Indian State enters into these agreements without consulting its people, the consequences for small and marginal farmers, retail vendors and rural artisans are deleterious. A typical example is that of US-India Agricultural Knowledge Initiative (AKI).
2. The State is withdrawing from key service sectors that would provide protection for people, such as Public Distribution Systems (distribution of food through public outlets), public hospitals and educational institutions.
3. There is a growing distrust among the population during election time and of democratic processes in general as those who come to power soon forget the people, and become easily persuaded by corporate and other vested interests with money power.
4. Media, mostly owned by corporate business institutions, pretend the minority voice to be one of a majority. Often the voice and concerns of the middle class is projected as that of the people as a whole, while the voice and concerns of the real poor are completely marginalized.
5. A consumer- and entertainment culture, and a change in values are taking deep root, even in the minds of the same rural and poor communities that they fail to mobilize politically to address their vital needs and issues.
6. The State is more at the service of corporate interests and as such, scams involving billions of rupees take place with impunity.

Loss of political identity

The general trend is towards de-politicization of people in general and the marginalized communities in particular. A culture of acquiescence and apathy is rapidly gaining roots with all its associated vices. Even the poor are culturally inducted into the mindset of the middle class and hence, unable to organize politically with a sense of class identity. Sectarian issues of caste, religion, and region are brought forward to divide the people.

Corporatization of the Non-Profit sector

These and many other micro and macro level factors are making the task of genuine NGOs extremely difficult. A new breed of international NGOs and funding agencies is emerging with sophisticated tools and conceptual categories that very much follow the models of neo-liberal economic policies. They make it difficult for small NGOs and those that do not have this sophistication to sustain themselves with adequate funding. They either have to meet the criteria of corporatized funding sources or remain in alliance with the state as service provider in the context of the state’s withdrawal from vital service sectors. Very little space is left for another way of serving and sustaining oneself as an NGO.

Chethana: sticking to principles
Yet the gathering of Chethana partners affirmed that it is important that rights-based NGOs must strive to carve out a niche for themselves in discharging its responsibilities as watch dogs and change agents in a society riddled with multiple contradictions and gross injustices.

The resolve has been clearly articulated to resist the hegemony of capital and establish the participation of people in all decision making processes of governance, particularly at the lowest levels. National Rural Employment Guarantee Act (NREGA) and the Right to Information Act (RTI) have been reiterated as important tools that have come in handy for Chethana and other rights based NGOs as important tools for political and social change.

Perspectives through the National Rural Employment Guarantee
Mr. Dilip Kammath, a labor union activist, in his presentation highlighted the empowerment possibilities in the National Rural Employment Guarantee (NREGA):

1. Assured labor of 100 days with a minimum wage of Rs. 125 ($3) per day for people who would otherwise go without any employment
2. Equal wages for men and women
3. Labor is used for creating productive assets to the community
4. Possibility of unionizing this labor which would otherwise remain in the unorganized informal sector.
5. Possibility of bargaining for more wages outside the NREGA than the minimum wage provided within the purview of NREGA
6. Greater need to get involved in the decision making of the village council as it is the primary organ for implementing NREGA, thus empowering people with a consciousness of their rights

Affirming sustainable practices

Sustainable and organic agriculture practices were affirmed as a way to counter the monopolies in agricultural inputs such as seeds, fertilizer and insecticides, and to empower the small and marginal farmers with ownership and control over agricultural input and farming practices. This would work towards reducing the farmers’ cost of production and their contribution to global warming, and enabling them to retrieve their traditional knowledge and skills.

Resisting dis-empowering practices

One of the important problems with the present approach to farming is that it de-skills the farmer and makes him excessively dependent on external inputs and the advice from ‘experts’ in agriculture. The knowledge monopolies (academic and research institutions) in agriculture often remain subservient to the interests of corporate monopolies of agricultural inputs and ultimately that of capital. The best example is that of US-India Knowledge Initiative, where in the Indian agricultural scientists, who are sustained by Indian tax payer’s money, are made to serve the interests of such private corporate entities as Monsanto, Wal-Mart and Archer Daniels Midland (They represent the US in the advisory board of AKI). It is this hegemony that is to be resisted through sustainable and organic methods of farming.

Heeding the cry for liberation

Ultimately, in all this, what has been heard is the cry for liberation and making people subjects of their own history, preserving the integrity of creation and making both history and nature serve the God appointed end of “glorifying God and enjoying him forever”. This remains the deepest quest in all religions and it is our task to retrieve and enhance these liberative strands in all religions.

The need for cohesive alliances

The gathering delved on the need for greater linkages and alliances among Civil Society Organizations, which face fragmentation on sectarian lines. This dovetails with its commitment for the Joining Hands Initiative.

*A non-governmental organization (NGO) is any non-profit, voluntary citizens' group which is organized on a local, national or international level.