By James Wakahiu
Global capitalism cannot establish the appropriate level of moral, social, and material balance in the world, particularly during the present times of the Covid-19 pandemic.
Prof Muhammad Yunus, a Bangladeshi social entrepreneur, banker, economist and civil society leader who was awarded the Nobel Peace Prize for founding the Graeme Bank and pioneering the concepts of micro-credit and micro-
Addressing two global but related conferences held in person and virtually last week, Prof Yunus said the current system was not designed to have any moral responsibility.
“The stock market, which is the ultimate judge of business success, does not grade businesses on the basis of its moral commitment. Moral issues were never included in their reporting template,” he said.
The pioneer banker
Photo/MKU VC, Prof-Deogratius Jaganyi“serif”; font-size: 18pt;”>has been proposing and practising a new kind of business which is based on selflessness, replacing selfishness, of human beings. This type of business runs parallel to the selfishness-driven business that rules the world. “Conventional business is personal- profit seeking business. The new business is a personal profit-forsaking business. It is a for-profit business, but personal-profit forsaking business,” he added.
In this model, the owner can take back his investment money, but nothing beyond that. After getting the investment money back all profit is ploughed back into the business to make it better and bigger. It stands between charity and conventional business. It is designed with the objectives of charity and carried out with the methodology of business, but delinked from personal profit-taking.
Prof Yunus said while charity is a great concept to help people, and has been in use since time immemorial, it is not sustainable. “Charity money goes out, does a wonderful job, but does not come back. Social business money gets the job done and then comes back. As a result, this money can be re-used endlessly. It creates independent self- sustaining enterprises, which have their own lives. These enterprises become self-fuelled entities,” he said.
The icon was addressing the Yunus Social Business Academic Conference (November 4th to 6th) and the Yunus Global Social Business Summit (November 6th to 10th). Delegates from Thika-based Mount Kenya University (MKU) participated in the two global business forums.
The in-person and virtual interdisciplinary meeting attracted researchers, academics, and students from around the globe to discuss academic papers, practitioner cases, and concept notes on innovative ideas on any issues related to social business. The seminar was hosted by MKU’s School of Business and Economics and Graduate Enterprise Academy under the theme: “Planting the seeds towards a new economy”.
The conference was officially opened by Prof Yunus. Welcoming Prof Yunus earlier, MKU Vice-Chancellor Prof Deogratius Jaganyi said MKU is the global United Nations Academic Impact SDG 10 Hub on Reduced Inequalities. “We are happy to be enjoined with Prof Yunus and his global campaign for a world of three zeros – zero poverty, zero hunger and z
Photo/Dr. Vincent Gaitho
The VC said MKU has started a campaign to have the 3 Zero clubs at all its’ campuses as well as at the local communities. The institution has already established a Yunus Social Business Centre in collaboration with Prof Yunus and his global Yunus Social Business Centre Network in achieving a world of three zeroes. “Together we shall indeed create a world of 3 Zeros,” said the Vice Chancellor.
Yunus Centre organises the annual conferences. This year’s meeting was focused on the academic curriculum on social business and research opportunities with a special focus on the East African region. The forum entailed paper presentations from academicians from all over the world.
The main presentations focused on introduction to Yunus, activities and values as it relates to the Africa region as well as Yunus academic and social entrepreneurship programmes.
The Global Social Business Summit (GSBS) 2021 meeting was held under the theme: Planting the Seeds Towards a New Economy: Time is Now. The summit was organised by, among others, Prof Mwangi Peter Wanderi (PhD.) Principal CorporateServices at MKU.
Prof Yunus said the damage that the Corona pandemic is causing the world is just mind boggling. However despite this massive damage it offers us an unparalleled opportunity. “Until Coronavirus became the news, the whole world was screaming about all the terrible things which are about to happen to the world …climate catastrophe; massive unemployment created by artificial intelligence; how wealth concentration was reaching an explosive level,” he said.
However, Coronavirus suddenly changed the context and calculus of the whole world. “It has opened up audacious possibilities which never existed before. Suddenly we can go any direction we want. What an unbelievable freedom of choice! No Going Back,” Prof Yunus said.
He called for a fresh restart of the global economy. “The point of departure for the post-Corona
Photo/Prof Muhammad Yunus
Addressing the distinguished guests during the closing ceremony, MKU Pro-Chancellor Dr Gaitho said it was an opportune time to ponder Prof Yunus’ statement: “Will the present economic system be able to establish an appropriate level of moral, social and material balance in the world?.
He asked: “Is the present entrepreneur whose motivation is profit maximisation ready to transform towards social business whose greatest return is solving human problems?”
Gaitho said global realities of climate change, pandemic and technology offer a window to examine more sustainable ways of sharing our only common heritage; the Earth. “It is time to rethink the dominant attitude of our times and embrace stewardship,” he said.
Gaitho said the concentration of wealth among the majority poor should awaken the vanity of the transient nature of man. “The disruption of global supply systems during the COVID Pandemic is a wakeup call for establishment of regional supply systems which may not only be participatory but sustainable,” he noted.
Dr Gaitho said the global meeting and its diversity confirmed that if we cared for each other, the world would be a better place to live in. “We must accept the reality that the present generation is not the only purpose of creation or existence of the earth but are stewards to pass it on,” he said.
