When Gerhard Pries reports that he “cut his teeth equally at PricewaterhouseCoopers (PWC) and at the feet of Mother Teresa," it begs the question: Huh?
But for Pries, MEDA's chief financial officer and director of Investment Fund Development (IFD), they are two sides of the social equation that have made a significant contribution to who he is today – someone whose life's work is to establish private investment as an effective solution to global poverty.
"I started with political right leanings, studying commerce at university, then working as an accountant and advisor at one of PWC's founding organizations. Riding the bus to work in downtown Winnipeg, I began reading the works of Mother Teresa and progressive evangelicals such as Jim Wallis and Rich Sider. Getting off the bus, I'd be approached by panhandlers.
"One day, I was talking with one of them as I approached the door to my office building, where security guards allowed me in, but barred the panhandler from entering. I was intrigued by that scenario – how they knew I 'belonged,' but he didn't. I decided then that I needed to see how the other side of the world lives, and in the process, made the proverbial journey from the right to the left."
Visiting Mother Teresa and the Sisters of Charity in Calcutta, India, Gerhard had an 'ah-hah' moment. "Looking around, I recognized that almost every poor person in that poverty-stricken city put food on the table through trade and commerce, not through employment, and not through aid – and I was quickly jerked back to the political center.
"This revelation made me wonder how one could apply business principles to poverty alleviation, and in 1984, brought me to MEDA, where I saw an opportunity to develop investment funds that benefit poor communities."
On the face of it, IFD channels private capital to meet demand around the globe and help the poor. But behind it, says Gerhard, MEDA is addressing the inherently unhealthy relationship of giver and receiver that Western nations often have with developing countries, where the donor has all the power. "We are trying to change that to a business relationship, which is more balanced and even."
"Economists tell us that, in all of recorded human history, there has not been a single case of substantial poverty reduction without a concomitant growth in the local economy. Economic growth and vibrancy create opportunities for the poor. You need economic growth for viability and long-term benefit, so people have the opportunity to contribute to their society and to the global economy."
MEDA has been proving this for over 50 years, having started as a group to invest private capital to spawn economic development. "Now, the rest of the world has caught on – MEDA is no longer as novel as it once was, and the world has caught up to us. We have defined ourselves as leaders, on the cutting edge, but will we be innovative enough and creative enough to remain at the front edge?," he asks.
But it's a rhetorical question, for Gerhard knows that the business community, represented by MEDA members, makes that happen. "They keep us on our toes, from becoming stodgy. Through their involvement on the board, as investors and advisors, MEDA members bring a lot of expertise and ideas. As a result, MEDA will continue to develop new ways of thinking, new initiatives and new opportunities."
