Global poverty is still an ongoing problem, leading to human tragedies and various related problems. Rich nations become rich faster than the poor nations develop. As a result, despite large efforts in the development aid sector, inequality in the world has increased over the last decades and the absolute share of poor nations in a growing global population remains high. A new paradigm is needed that goes beyond current improvements being made in the development aid sector. Based on the new insights presented in this research, it is proposed to innovate the development aid sector by adopting the Global Poverty framework (GPF) in combination with the Cyclic Innovation Model (CIM). With these two theoretical frameworks in mind, the actors in the development aid sector are recommended to start a fundamental reform of their organizations worldwide. It is shown that this reform can take place by integrating a nonlinear poverty forecast with a shared ambition and transition path for developing nations, leading to development programs and its projects. This research also provide an effective communication system between world institutions, national governments, NGOs, companies and consumers to improve collaboration to accelerate the reduction of global poverty.