Concerns about delays in the distribution of lottery funding to NGOs are once again in the news. With many NGOs already taking financial strain or having to respond to ever-increasing demands for services as a result of the economic crisis, serious questions have to be raised about the ongoing inefficiencies at the National Lottery.
Much is being discussed and written about regarding the global recession. We will only be able to see the full effect of this on funding when we look back in a year or two and can calculate the actual impact. Anecdotally though, there are many stories of reduced funding from foreign donors hardest hit by the crisis, and corporate donors whose profits are down and whose giving is often based on a percentage of net profits after tax.
Funding and NGO's.
The Global Witness is accusing several of the world's largest banks of playing a role in supporting some of West Africa's most corrupt regimes.
In a report entitled "Undue Diligence", the organisation tracked the flow of money out of a number of the world's most criticised regimes. It argues that the trail leads to, and through, a handful of the world's largest international banks, including Citigroup, Barclays, and HSBC.
The global financial crisis impacts on all NGOs - big and small, urban and rural, local and international.
For some NGOs the impact is immediate, for others the real impact will only be known in months to come.
The crisis is once again highlighting the need for NGOs to review their funding and sustainability models.
The following articles capture the views and opinions expressed by various local and international commentators in recent weeks about the impact of the crisis on NGOs in South Africa and other parts of the world:
The University of KwaZulu-Natal (UKZN) has announced the closure of the Centre for Civil Society (CCS) as of 31 December 2008.
According to CCS Director, Prof Patrick Bond, he and his staff were summoned to a meeting on 30 July 2008 and advised the centre was being permanently closed at the end of the year. All CCS staff contracts, besides Bond's, would be terminated, with CCS’s "good" projects moved to the School for Development Studies at UKZN.
The ways in which funding is channelled to communities can be an effective way to address poverty and inequality and empower communities to take forward their own development. This is one of the key findings of a recent study conducted by Khanya-aicdd and its partners Concern Malawi and Practical Action Zimbabwe. The results of the review have been captured in a policy briefing published by Khanya-aicdd.
By Ann Bown : Yes, that is the question and the answer is a loud and resounding YES! Board members must take an interest in the raising of money, resources and awareness for their non-profit organisation.
With more than twenty years in the non-profit sector, I now know what makes fundraising successful, and it is not by seeking a quick fix or a Super-woman or man of fundraising to wave a magic wand with the words: abracadabra or simsalabim.
Since the last article on finding win-win alternatives for dealing with the NLDTF, we have received feedback from various sectors of civil society about how to proceed with the matter and while most of the responses have been positive, they have also highlighted the fact that there is a lack of understanding about how the various parts of the lottery puzzle actually fit together and the impact this has on civil society.
An organisation strives to reach perfection in three areas - its income, its expenses, and its impact. These three areas cover the universe of a successful NGO and summarise the executive director concerns. The three are interlocking, since each one requires the other two. Partners can help in each area and get selected for doing so.
Why the Organisation has three needs:
- Organisational Development;