NEW FINANCIAL TRANSPARENCY AND ACCOUNTABILITY REGIME TO NGOs
(Disclosure of all sources of funds, submission of donor’s contract to Registrar, Publication of sources of funds to the Newspaper)
The Minister for Health, Community Development, Gender, Elderly and Children, Hon. Ummy A. Mwalimu has exercised the power vested to her under s. 38 of Non Governmental Organizations Act , Cap 56 by amending Non Governmental Organizations Regulations of 2004 to introduce new financial and accountability checks to NGOs . This is through the Non- Governmental Organizations Act (Amendment) Regulations, G. N No. 609 of 2018.
As said earlier, the regulations seek to enforce Financial Transparency and Accountability to NGOs. The notable checks introduced by the said Regulations are as follows:-
i. DISCLOSURE OF SOURCE OF FUND
Regulation 12 makes it mandatory for NGOs to disclose to the Public, Registrar, Council, the Board and other stake holders, all information relating to source of fund, expenditures, purpose of fund and activities to be carried from such fund, within fourteen (14) days from the date of obtaining the fund.
ii. DUTY TO PUBLISH THE FUND OBTAINED
Regulation 13 provides that, any NGO which obtained Fund exceeding twenty ( 20) Million Tshs. must publish such fund received and it’s expenditures bi-annually to the wide circulated newspaper and other media Chanels.
iii. SUBMSSION OF DONOR’S CONTRACT TO THE REGISTRAR
Regulations also oblige the NGOs to submit to the Registrar all contracts entered with Donors or person providing Grant within ten (10) days from the date such agreements were entered.
Furthermore, Regulation 15(1)(b) & (c) restrict NGOs to enter into contract which undermines Sovereignty of the state and rights of the people.
Conclusively, we can say that these Regulations introduce what we may call “ the highest level of Financial transparency and Accountability to NGOs. NGOs should do comply with these Regulations in order to ensure their smooth operation and survivorship.