International non-governmental organisations (INGOs) are often headquartered in the Global North and operating from a position of superiority despite funds raised in the name of communities in need. These top-down models, however well-meaning, often side-lined local realities, leadership and joint stewardship of resources. Now, with aid receding, the limits of this approach are increasingly exposed. The INGOs that failed to develop national capacity are leaving communities unprepared and vulnerable.
Localisation in humanitarian action and social development has been a focal point of global discourse for over a decade, yet substantive progress remains limited. Initiatives like the Grand Bargain have sought to drive ‘power shifts’ within the humanitarian aid system, but “localisation” often remains a vague buzzword. The approach —whether it prioritises shifting power, enhancing accountability, or balancing incremental versus transformative change—remains a critical challenge.
Genuine self-governance demand empowering national actors to lead, requiring INGOs to relinquish control over resources and decision-making while encouraging trust and humility to support context-specific solutions. Despite the push by the most senior leaders of some of the largest INGOs through projects like Pledge for Change, scepticism about the financial and programmatic capacities of national actors often perpetuates power imbalances, undermining the spirit of the initiative.
Why localisation?
The lessons suggest that localisation strengthens local capacity, reduces dependency, and ensures more relevant, effective responses while redirecting resources to support national systems with intent of long-term sustainability. Localisation must evolve as an independent agenda, unshackled from being a means to bridging financing austerity. The agenda requires experimental spaces where national actors can innovate, fail, and learn without excessive oversight or a focus solely on cost efficiency.
By embracing brave, context-driven approaches, anchored in local jurisdictions and de-emphasising perceived risks, international and national actors jointly can co-create a transformative framework that prioritises local leadership and build genuine partnerships. In this regard, the experience of SOS Children’s Villages which is the world’s largest NGO focused on supporting children and young people without parental care, or at risk of losing it, offers a path to localisation, self-governance and sustainability.
Founded 76 years ago in post-war Austria, it now operates in 137 countries and territories. The impact of its work worldwide is well documented. Recognising the heavy financial dependence on European donors, SOS Children’s Villages began a significant shift in 2012, launching Sustainable Path Initiative (SPI). This involved localising governance with more responsibilities, building domestic fundraising infrastructure, and gradually reducing dependency on international transfer of funds.
Without casting divergent views on theory and practice, the SPI was not cosmetic. It required structural reform, direct investment, patience, and committed leadership from European members, especially the largest funders, the 18 Promoting and Supporting Associations.
Today, all national management positions worldwide are held by citizens of the nation in which SOS Children’s Villages operate. Expatriates are no longer appointed and deployed to national leadership roles. National governance structures now exist in 110 countries to provide oversights and accountability. While national governance practices have a varied degree of effectiveness, those self-governing members enjoy full rights, including voting rights at the General Assembly of the global federation.
Transitioning to self-governance and localisation
The transition to self-governance has been uneven, and daunting particularly in Africa, where institutional weaknesses, legal constraints, and entrenched aid dependency persist. Of the 137 associations, 24 have yet to localise their governance systems. The federation and its Secretariat are committed to advancing the financial self-sufficiency and self-governance of all its members. At least 12 national associations are currently developing local governance frameworks to be finalised within the coming two years.
Over the last decade, over 33 national associations have reached financial self-sufficiency, including a recent one that now raises its own funds through local donors, partnerships, and collaborations with local government. These associations remain part of the global federation, bound by a shared vision, brand and commitment to promote, protect and defend the rights of children and young people. They operate with autonomy but commit to collective accountability to the federation’s norms and standards.
Development ideals like inclusion, equity and empowerment must be matched by concrete reforms. Ambitions alone are not enough; sustainability must be treated as a moral and strategic imperative. To remain relevant, INGOs must therefore undergo a profound transformation. This is not about organisational survival. It is about doing development differently, and better. At the core of this systemic reform are three imperatives:
- Shift power: Genuinely transferring ownership of programs, decision-making, and leadership to national actors is essential. This includes relinquishing control, reforming governance structures, and embracing accountability to those closest to the challenges.
- Build financial self-sufficiency: This needs investing in helping local partners cultivate domestic resource mobilisation; through philanthropy, corporate partnerships, social enterprises, and government collaboration. National fundraising ecosystems, though nascent in many contexts.
- Foster local resilience: Self-sufficiency is not the absence of support; it is the presence of capacity. INGOs should serve as facilitators of knowledge exchange, skill-building, and systems strengthening. This requires time, patience, partnership, and humility.
It is essential that this shift is planned, paced, and participatory. Replacing financial subsidies overnight is neither feasible nor just. But failing to begin the transition is a negligence of responsibility. Localisation and financial sustainability are not just valuable; they are strategic necessities.
Why SPI?
The SPI case of SOS Children’s Villages demonstrates what’s possible when INGOs invest in local leadership and trust national capacity. It recognises Global South actors as co-architects of sustainability, not mere implementers of agreed projects. Most members, though some struggle, increase income and reserves for financial stability. Localisation shifts mindsets, redefines relationships, builds local confidence, and enhances resource use with local stewardship. It nurtures trust with communities, governments, donors, and partners who value empowerment.
By strategically cultivating national capacity for self-governance and prioritising community interests, humanitarian and development actors can move from aid to agency, charity to empowerment, and dependency to dignity, strengthening a global solidarity based not on transaction, but on trust.
This article is being published on behalf of SOS Children’s Villages International. The Centre would like to thank Dr. Dereje Wordofa for his valuable insights and contribution.
All images courtesy of SOS Children’s Villages International. Pictured in the blog banner: Illustrative map showing the 138 countries and territories where SOS Children’s Villages operates (last updated 2022).
Dr. Dereje Wordofa
President
SOS Children’s Villages International
Dr. Dereje Wordofa is the President of SOS Children’s Villages International. Previously he served as assistant secretary-general and deputy executive director of the United Nations Population Fund; as head of regional policy at Oxfam; and as deputy program director of Save the Children UK.
