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from:The Importance of Financial Planning for Social Development Services
Social development refers to the establishment of social infrastructures to eradicate poverty in third world countries. In many Asian, African and South American countries, social development encompasses the areas of health care, education and social health. It goes without saying that the implementation of social development services requires massive amounts of money. This is where financial planning for social development services becomes crucial to a successful social development program.
While the World Bank, UN, NGOs and NPOs do their part in providing financial assistance to the developing countries to aid the process of social development, it is up to the governments to ensure that the funds are appropriated well. Without a concrete plan where there is strong vision and sound financial planning for social development services, most of the funds will go into the wrong pockets, thus, robbing the people of their benefits. There must be solid leadership at the top of the social development department. A system of transparent accountability of the flow of funds and its impact on social development must be put in place to ensure the money goes to the right places. It’s a well known fact that corruption is rampant in most third world countries. Sound financial planning for social development services is integral to the success of the programs.
Another concern for developing countries is the escalation of population. This creates more pressure on the social development services as the need to meet the basic needs of the people mounts with each passing day. In some extremely poor countries in Africa, health concerns are extremely urgent. Vaccinations for newborns have to be given out by the governments. Schools have to be built and teachers have to be trained. Some villages don’t even have proper basic supply of clean drinking water. Diseases are of epidemic dimensions. A lot of money is needed to take care of these problems. Without good financial planning for social development services, the problems will only get worse.
Perhaps, it’s best that the social development departments of these countries take seriously the importance of financial planning. The people who handle the finances of the development programs must be skilled and knowledgeable about the different tools of financial planning so proper investments of funds can be made to grow the funds. Expenses have to be covered by profits derived from smart investment. Financial planning for social development services may be as important if not more important than the programs itself. What’s the use of pouring millions of dollars into the programs if there are no returns? It’s just digging the same hole without any directions. Proper planning of resources will ensure that there’s water in the well.
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