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It is a direct link to the the Enlightenment, a period in the 18th and early 19th century, being an undemocratic or authoritarian leader who exercises his or her political power for the benefit of the people rather than exclusively for his or her own self-interest or benefit, or for the benefit of only a small portion of the people. A enlightened despot, for example, may focus government priorities on matters of public importance, such as healthcare, education, population control, or general city infrastructure. He or she may be committed to peaceful relations, rather than wars or invasions of other states, and may even allow for some democratic decision-making to exist, such as through public referendums.
Enlightened despots were monarchs who distinguished themselves from regular despots by the way they governed. Enlightened despots ruled their subjects with the principles of the Enlightenment. This meant that the monarchs ruled with the purpose to develop their subjects. They didn't rule by pleasing the nobility, as regular despots did, but ruled for the well-being of their subjects.
The abolition of serfdom in Europe was achieved by enlightened rulers.
Although their reigns were based upon Enlightenment, their thought about royal power were similar to that of regular despots. Enlightened despots found that they had the right to govern by birth.
Emperor Joseph II once said: "Everything for the people, nothing by the people".