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The Good, the Bad, & the Ugly: Foreign Finances and the Local Church
Author: Swells in the Middle Kingdom
Date: 12.08.2010
Category: Integrity & Humility, Global Generosity, Partnership
Translations
There are a number of discussions related to finances and missions taking place on the Lausanne sites. Many of these focus on the nature of the financial interactions between outsiders and the local church. Throughout these conversations, I have been particularly interested in reading the accounts of actual exchanges--the records of specific interactions, and the responses of the various parties involved.
On this page, let’s try and gather some of those experiences. I will record some of the things I have seen, both positive and negative. Please feel free to add examples from your own experiences as well. By having a broader picture of the kinds of things that are happening around the world, we should be better able to make constructive statements about what should be happening around the world.
Keywords: finance, donor, donation, giving, support, partnership, local leaders, indigenous, money, building
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China
I currently have two projects on my desk: a new initiative that is being driven by an expat new to the field. Since this is still the expat’s first term, they face little or no donor fatigue. Since it is a new initiative--and one that people overseas can easily relate to--it has been able to generate a sizable amount of donations from outside the country we serve in. The second project is entering its 8th year. It is a very successful program: inexpensive, locally welcomed, and effective by both worldly and divine standards. Now in its 2nd year of being completely managed by local colleagues it is struggling with funding. Since it targets the economically disadvantaged it is limited in its abilities to cover its costs; also, the country where it operates does not allow expatriates or expatriate organizations to receive local donations.
So what to do? Localization should entail generation of local support; but the local system makes this difficult if not even illegal. At the same time, the least localized project seems to be most able to generate income--albeit in the form of foreign donations. There are many questions and many implications that come from this scenario (and this is real, not hypothetical!). What I want to stress is this: these two situations are VERY common, and yet not so often discussed. What should we do?
05.10.2010
United States
@ Swells_in_the_Middle:
Dear Swells,
You raise a very important question. I think you are right that the two cases you present are rather common occurence.
Many have denounced the abuses and mistakes that are all too common in foreign funding, and rightly so. These abuses do a lot of damage. Yet, it would be wrong to simply abandon any and all forms of foreign funding because of the abuses.
The key is not in the source of funding as such but in making wise discerning choices in each situation. To be wise and discerning requires being knowledgeable about the dangers and possibilities in each case.
When we impose absolute rules because of particular cases of error, we may do more damage than good.
Acting with wisdom and discernment is not easy. It requires, study, dialogue and time. This should be obvious to anyone seeking to serve God well, but I am afraid too many of us are umcomfortable and inpatient with this kind of process. As a result, we embrace quick and poorly thought-through solutions that harm the cause of the gospel.
Stand firm, do your homework, get counsel, and do according to your best understanding of what pleases God in relation to the specific situation you have in front of you. That is all that you can do. And, sometimes we will make the wrong decision. That is not the end of the world. The Lord is gracious enough to work all things for the good of those who love him.
Blessings
Alex Araujo
07.10.2010
Kenya
@ Swells_in_the_Middle:
Hi Swells, This whole issue of foreign funding, if looked at closely, can sometimes be like the ’drag’ on mission work as it should be happening. My experience tells me that many believers in Africa know that it is causing problems. They continue to work with it as they really have little choice. Matthew 18:6 may pertain here: "But if anyone causes one of these little ones who believe in me to sin, it would be better for him to have a large millstone hung around his neck and to be ..." Sometimes acting as a donor can be causing others to enter into sin. Sometimes it is good to minister without money. In our home countries many ministries occur without money (e.g. a pastor visits someone who is sick but does not leave any money behind) - so why not overseas?
07.10.2010
Kenya
Excellent contribution from Swells.
Another thought: when our financial maneouvring is such that ’nationals’
also realise that the limiting factor to our operations is the amount of
money we can get, we are in effect telling them that the most important
thing they need to learn from us is how to raise funds from the West. This,
or, that for all their efforts, they need to know that in the end they are
dependent on OUR (Western missionary)’s efforts and are ’nothing’ without
us.
Related to this I ask myself - yes, there will always be stress points in
ministry. But, should those stress points be financial? If they are, then
that isn’t very ’godly’. Our stress points ’ought’ to be prayer, faith,
love, commitment, determination, peacefulness ... etc. Then the ’stress
points’ will become the ’focii’ of our ministries. The wrong stress points, will mean in effect the wrong-ministry. That is - Christian ministry is only Christian if that which ’enables’ it is faith, kind of thing.
Jim
20.09.2010
China
Thanks for so many good comments, and thanks especially for the attitude of respect that permeates this debate (kudos, especially, to mission21).
mission21 has a good observation: many churches and ministries struggle with money. Talking with people in ministry, this is certainly the case. And yet to see "get more money" as the preferred resolution to these difficulties strikes me as too simplistic and possible dangerous. Money may be a necessary component for much gospel work; but it is neither the only nor the most important resource--a fact we all too often forget. In some cases, our financial stresses come as the consequences of our own wrong actions and thus additional finances are unable to "fix" the real issues. In other cases we experience financial troubles as a testing of our faith (George Mueller’s example is well known) where God is quite intentionally leading us to live a life of limited--but divinely sufficient--provision. While it is irresponsible and ungodly to simply "let go and let God" magically take care of all our finances--we are expected to be good stewards of ALL our resources, including money--I do think living in this world but not of it at times requires us to place financial security and monetary supply lower on our list of values than the world around us might advise.
Part of what Jim Harries is criticizing (I think) is our too easy reliance on money to "fix" things. Leaving aside the simple fact that God often leaves things "broken" for a reason, this view of money reflects some very western cultural attitudes of utilitarianism and wealth: I have seen a number of ministries just throwing more and more money at problems hoping they will go away. If our God owns the cattle on 1000 hills; and if that same God chooses not to supply our financial wishes; then we may need to accept that he is not primarily concerned with our financial situation.
20.09.2010
South Africa
I’ve recently encountered two examples where outside funding (from the USA and from Europe) was suddenly pulled because of the global economic downturn - that’s the phrase doing the rounds.
The results? Hardship, suffering and in once instance, the collapse of an entire programme. It is driving those affected to their knees in prayer AND forcing them to re-evaluate approaches and structures. Not a bad outcome in the end, but hard, and God willing, something will rise from the ashes.
I’m not sure we should pretend to talk about "relationship" and "partnership" when very large amounts of money are involved because the power dynamic is too large. At best it is like a uneasy marriage, where a wife is completely subservient to the benevolence of a husband who controls the purse strings. It may be a form of relationship, but it is not a partnership...
17.09.2010
Kenya
I question this idea of ‘not sending resources too soon …’ . I hear (read) it from various people on this discussion. I do not think it is a helpful approach. Surely it is empowering the West, and frustrating the rest?
That is, if ‘they’ know that resources are coming, but that we are deliberately holding onto them first to ‘test’ the people whom we are partnering with, you very easily have an extremely artificial and potentially frustrating situation. Potential beneficiaries know they just have to hang-on in there and eventually they’ll be rewarded. In the meantime, the important thing is to please the Western partner at all costs – i.e. even if this means telling lies … etc. etc. This has become the focus of their efforts, and their true ‘ministry’ has now become secondary as they wait …
Frankly – this generating of relationship through the promise of resources is extremely destructive of true relationship.
You point out – rightly – that relationship other than on the basis of anticipated donor / recipient roles, is difficult. Yes indeed – many ask why they should relate in the first place? People tend to be interested in following up their money, but may have very little interest in an area or concern in which their money is not involved. Yet – this is the essence of true Christian love. Not following your money, but loving someone without first making them dependent (or potentially dependent) on you. That’s true Christian partnership.
This ‘following up of money’ should not mark out Christian relationships. I meet it all the time. That is – when I meet Westerners in Africa they are either bringing money, or checking up on the use of money. That’s not Christ, or Paul, or Elijah, or Moses … We need to stop, surely, giving the rest of the world the impression that our faith is our money?
08.09.2010
United States
@ Jim_Harries:
I appreciate your comment. You seem very negative about involving any financial resource. My guess is that you encountered bad cases in your midst. -maybe too many.. I gave an example in this conversation. There are such cases. But some ministries can use financial help. - even in United States! (this is a fact .)
Most of us who are involved in missions/ministries have to cope with financial aspect in our journey. -(maybe you don’t) Most churches and ministries face financial issue every year. - if not every month . And often money issue is the #1 problem in churches/ministries in every continent.
I respect your perspective and position regarding financial help. I’ve read your comments ( in other conversations ). I see that your conviction on this issue comes from your experience in Africa.
We have some differences in our perspectives. Each of us is on a journey.- different calling & task..
His blessings and guidance in your ministry,
In Christ
15.09.2010
Kenya
@ mission21:
It would be interesting to know more about how the American church does function in respect to finance. It is my personal view as a worker for the church, that I shouldn’t always be operating up to the line of money. This is because I find it contradictory and difficult to marry the demands of ’fundraising’ with those of true ministry. When the former determines the latter, then that is sad for ministry.
With blessings,
17.09.2010
United States
Partnership is a new paradigm for 21 century mission. We are still in development stage. - trying to figure out what "Parnership" is! We are not there yet. -my perspective.
The first thing in "Partnership in Mission" is "trust factor". This takes time. It is not wise to send/receive any resources to soon. Prayer and encouragement are good ways building "trust". We are invovled with a few ministires in Asia. We started as prayer partners. We encourage and share - what we are going through in our midst. ( This is not that easy - might be more difficult than sending money ). It takes humility to share what you and your ministry are going through, especially during tough times.
* about the case mentioned previously.
Leadership (from United States) were so sure/confident about project in China. They thought they had right people in China. We were not involved in that case. I knew the leadership very well. That is how I found out what happend in detail.
Reminder: this kind of case can happen in every continent, not just in China.
08.09.2010
United States
Not long ago, large sum of money was sent to a Christian ministry in China. - from a certain church in United States. Later they could not find out where the money had gone. - no trace. (true story)
We need discernment and wisdom. There are ministries that do not need help. But we can help ministries that can use outside resources.
When we discuss "Partnership", our primary focus is on money. Yes, money is an important factor. But is it all about "money"?
03.09.2010
China
@ mission21:
(sorry for the double posting--hit the wrong button)
Thank you for sharing some of your experience.
Your story is sad and, unfortunately, not unique. I have often found that many of these kinds of problems exist precisely because of the lack of partnership. As you say, while money can be an important or even essential part of a healthy partnership, a true partnership is always more than just a financial transaction. A more robust, wholistic sense of partnership would go a long way towards avoiding some of these problems. As one simple example, in situations where on-the-ground long-term representatives of one of the partners are fully engaged in the other partner’s activities, miscommunication and misrepresentation become much less likely. The existence of third parties that are known and trusted by both partners also helps mitigate against deceit.
What are some other non-financial aspects of partnership that would also have a positive effect on the financial side of things?
06.09.2010
China
Thank you for sharing some of your experience.
Your story is sad and, unfortunately, not unique. I have often found that many of these kinds of problems exist precisely because of the lack of partnership. As you say, while money can be an important or even essential part of a healthy partnership, a true partnership is always more than just a financial transaction. A more robust, wholistic sense of partnership would go a long way towards avoiding some of these problems. As one simple example, in situations where on-the-ground long-term representatives of one of the partners are fully engaged in the other partner’s activities, miscommunication and misrepresentation become much less likely. The existence of third parties that are known and trusted by both partners also helps mitigate against deceit.
What are some other non-financial aspects of partnership that would also have a positive effect on the financial side of things?
06.09.2010
China
In one local church there has been a sort of backlash against one of the pastors—a woman who previously was respected for her integrity and faithfulness. Over time, local believers told me that the main issue had to do with a recent building project undertaken by the church. In an answer to prayer, a long-disputed piece of church property had finally been recovered by the church. Within a year, the church launched plans to develop this property (highly valuable real estate) into a 30-story residential building complete with many floors of office and classroom space for the church to use. The church only had to put up a portion of the building expenses, as a developing company was willing to cover the rest of the expenses for the rights to sell a certain number of apartments (this kind of financial arrangement in China is actually quite common). The goal was to increase the church’s financial resources in order to help support a long-planned major church-building/planting campaign.
The problem for my sister stemmed from the fact that the pastors in the church decided collectively to have most of the financial procedures done in her name—largely because she was so well trusted. Of course, this placed her in the role which (outside the church) is generally recognized as the one to provide the most opportunities for graft and corruption. Lack of transparency regarding the church finances also meant that all of this information appeared to be “secret” and thus it was assumed that there must be other even more suspect internal arrangements that were being kept hidden.
As an outsider, I saw this process happening. I understood the problem. But what—in this case—is the proper balance between my love for my sister (and responsibility to care for her) and my concern to avoid interfering in local church finances? Where is the proper place to draw the line? When am I respecting and when am I avoiding responsibility? When am I helping and when am I interfering?
23.08.2010
United States
@ Swells_in_the_Middle:
Dear Swells,
Your examples below illustrate the good and the bad of foreign assistance. In my organization, which is similar to the one you described in the last example, we work very hard to take all these concerns into account without at the same time deciding that it is all too complicated and let’s give up.
Somehow, there must ways for believers to share resources across cultures in a healthy way. I know some are very hesitant to provide any assistance, while others are rather careless. We have made mistakes in the past, and have tried to learn from them. The enclosed documents reflect lessons learned. Perhaps they help the conversation?
http://www.partnersintl.org/pdf/accountabilitywithoutcontrol.pdf
http://www.partnersintl.org/pdf/christianpartnerships.pdf
Alex Araujo
Downloadable Attachments
25.08.2010
China
@ Alex_Araujo:
Alex,
Thank you for this very helpful information. The idea you raise of accountability without control is very attractive. I often wonder how much of my concept of accountability is biblical and how much of it is defined by my North American church background. As an example, accountability looks different in a collectivist society; shame-based societies also need to apply some different sensibilities to their concepts of accountability—especially as they relate to leadership.
But those are asides, and your point still stands: avoid dependence, certainly, but we must find a way to share. And I would say to share generously, as our Father expects.
Do you have any specific examples from your own or your group’s experiences that might help flesh out our understanding of these issues?
Thank you again for sharing.
25.08.2010
Kenya
Excellent topic to bring to our attention by Swells in the Middle Kingdom! One place to look for more examples and discussion on this issue is http://www.wmausa.org/default.aspx . This is an organisation, headed by Glenn Schwartz, that has been trying to tackle issues of ‘dependency’ for many years. See articles here: http://www.wmausa.org/98600.ihtml
See also http://www.jim-mission.org.uk/articles/effectiveness-of-short-term-mission-to-africa.html for an article that I wrote on short term mission.
This issue of western money in mission for me is constant. Constant. Constant. The Apostle Paul taught us a principle: when in Rome do as the Romans do. The western missionary force has turned that right around, and says ‘when in Rome force Romans do what we do using our money’.
You will find many examples of these kinds of things here: http://www.jim-mission.org.uk/journal/index.html, and more generally at www.jim-mission.org.uk as well as at www.vulnerablemission.com .
12.08.2010
China
I remember years ago hearing of an overseas China ministry organization that was devoted to providing financial support for indigenous church leaders and evangelists. The primacy of these brothers and sisters in the work of advancing the Kingdom in China has always seemed evident to me, but I was struck by the particular way in which this organization chose to contribute to this work.
Because of their understanding of the security situation in China, this group drastically limited their contact with many of those who they supported. I heard of one exchange--it may or not have been typical--where the foreigner made short trips to China a few times a year, meeting with a particular leader at a pre-arranged secret location. They would meet for a few hours, and the indigenous worker would give an oral report on what they have been doing and experiencing since the last meeting, and then the foreigners would hand over an envelope of cash before arranging their next meeting time and location. The foreign worker did not know the real name of the worker they were supporting.
Now, this may have been an isolated occurrence. And I certainly admire the foreign organization’s willingness to allow the local worker to manage the funds they received as they wish. But at what point does financial trust and respect cross the line into leading someone into temptation? The whole episode reminded me of the failed potential of Karl Gutzlaff and his Christian Union in 19th century China.
12.08.2010
China
I heard another story from one China mission organization that focuses on employing long-term expatriate and local workers to focus on holistic development in the communities where they reside.
The church where many of those workers regularly worship announced one Sunday morning that they would be taking up a donation to help with expenses for a new church building in a nearby rural township. One of the expats who has become friends with one of the local pastors inquired into the circumstances of the building. It turned out that the new building was nearly complete, but with winter coming and the rural township church’s financial resources exhausted, it looked like they might not be able to put the roof on before the season changed. With a roof, they could at least use the large space (protected from the elements) for worship. Hence the appeal: all the other costs--as well as the plan and vision to build--had come from the local Christian community. The city church new some of the leaders in that township and were eager to help their friends. The total sum to finish the roof amounted to roughly 10,000 US dollars.
The mission organization discussed amongst themselves, and decided to collect funds from overseas donors and from amongst their own members. They decided to give only 5,000 US dollars so that the city church where they worship would also be able to participate. And once the money was raised, they donated it to their city church (and received a receipt!) earmarked to be part of the total donation for the finishing of that particular rural township church’s new building. This happened almost ten years ago, and the rural township church still takes great pride in the building that they themselves built--most of them totally unaware that foreign money had anything to do with the timely completion of their facility.
12.08.2010
China
A few years back I was having dinner with a friend of mine, one of the local Chinese pastors in my city. He told me a fascinating story about how good-intentioned giving from outsiders can bring real harm to indigenous churches.
On a preaching tour in a nearby province in northern China, my friend visited a small village church that was seeing rapid growth in the surrounding countryside. Many new fellowships were forming, but without transportation it was difficult for the leader of the village church to visit with and mentor these new fellowships. At the time of my friend’s visit, a foreign organization had just offered to purchase a locally available motorbike for the village church leader in order to enable him to work with these outlying fellowships. The local leader gladly accepted.
My friend came to understand that this foreign organization was devoted to supporting indigenous leaders and evangelists. Instead of investing large amounts of money in equipping, sending and keeping expatriates overseas, this group sought to be better stewards of their resources and to recognize the ability and appropriateness of local Christian workers.
A year or so later, my friend returned to that same village for another couple days of teaching. What he discovered broke his heart. In that particular village, it seems, the local church leader was the first person to have a motorbike. Many in the church felt it was unfair, "why should he benefit from serving the Lord and not me?" Others were uncomfortable with the wealth it suggested that the church leader now had, "isn’t he supposed to give everything up for the Gospel?" The sad result, is that by the time my friend made his second visit, the Christian community in that area had already split; its first schism over a donated motorbike worth a few hundred US dollars.
12.08.2010
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