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Collective Capital: How a Private Foundation is Helping People in Poverty in the Netherlands

Shasha can relate to what that means to her. She lives alone with her two children in Amsterdam Southeast and decided to join Collective Capital two years ago. This is a private foundation that wants to help people in insecurity (as they call poverty).

A few months later the redeeming word came: she was selected as one of the participants. That meant that for eight months, she and four other Amsterdammers from her postcode area received 1000 euros per month credited to her account. “I was a bit shocked when I heard it,” says Shasha to RTL Nieuws. “Really a bit of mine à propos.”

breathing space

Shasha was struggling financially at the time. She had a job, but couldn’t make ends meet. “I got into trouble because I had to rehabilitate for a while after I had meningitis. My reserves were exhausted as a result. I also no longer had a partner at that time.”

The 1000 euros a month gave her some breathing space. “I got room for other things in my head. Suddenly I didn’t have to worry about money anymore,” she says.

“I no longer felt like a failure. I no longer had to cancel a drink with friends. And when I received an invoice for a school trip from one of my children, I was no longer stressed. I was able to make plans for the future.”

Part of collective

In total Collective Capital now employs about 3000 people from all over the Netherlands. Two new rounds will soon be launched in which eight Rotterdammers and Amsterdammers, from specific postcode areas, will receive 1000 euros per month for a year. They can sign up for the experiment from 13 July through the foundation’s website.

Poverty in the Netherlands

In 2023, it is estimated that more than 830,000 people (4.9 percent) will live below the poverty line. The number of children living in poverty in our country has fallen to just under 220,000 (6.7 percent). This is evident from the latest estimates of the poverty figures for the period 2021 to 2023 from the Central Planning Bureau (CPB) and the Social and Cultural Planning Bureau (SCP).

The government aims to halve poverty compared to 2015. In concrete terms, this means that the number of children and young people living in poverty must fall to approximately 150,000 by 2025.

Being part of Collective Capital meant much more to Shasha. “Many people think: oh, it’s just 1000 euros a month and that’s it. But you really become part of a collective. You notice that it is an experiment between people.”

For the eight months, Shasha got a buddy, someone from the collective who had a cup of coffee with her every month. “It makes you look differently at money and at society. You ask yourself: what does money mean to me? What does it do to you? How do you feel now?”

Looking for connection

According to Denise Harleman, founder of Collective Capital, the experiment consists of much more than just giving money. “We are a collective of people. We ask each other: what do you need to lead a dignified life? We do not assume in advance that someone needs coaching, but that the person can ask for this themselves. we offer that. We don’t want to monitor, we want connection.”

The collective aims to build local communities. “In order not to let anyone live in insecurity anymore,” says Harleman. “We are aware of the magnitude of the problem and want to offer people something better. Integrity is the most important thing here. For example, only people from a small zip code area are allowed to register, so that we give as few people as possible false hope.”

Multiple experiments

In Tilburg and Zaanstad they take a slightly different approach: there, 150 families receive 150 euros per month for two years. Zaandam will start this fall, and it will be Tilburg’s turn from the beginning of next year. Both projects are organized by the Kansfonds, an organization that works for the homeless and people in poverty.

“Research from abroad shows that if you give money to people in poverty, you see improvement in many areas of life,” says spokesman Bas Pieck. “People have more confidence in the future. Reduced money stress also ensures more peace and thus fewer problems for children.”

According to Pieck, experiments all over the world show that ’80 or 90 percent spend well’. “The money is not thrown over the bar. We have confidence that people will spend the money in a good way.”

Right to exist

After eight months of receiving 1000 euros a month, Shasha had to go on her own again. But she didn’t find that difficult. “In the time that I received the money, I had more room to look at other work, for example. I now have a job in which I can develop myself. I have improved financially. I can now pay for everything myself.”

One of the other participants said after the experiment: I have the feeling again that I have the right to exist. “That answer carries everything,” says founder Denise.

“Yes, money gives you breathing space to explore things, to stand still free from life panic and to feel who you really are as a human being. But what is equally important is that you are seen as a fully-fledged human being.”

If you also want to become part of Collective Capital, go to www.collectiefkapitaal.nl

2023-06-08 14:47:14
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