ACCOUNTABILITY OF THE NON GOVERNMENT ORGANIZATIONS

Concerns have been raised about the accountability of NGOs particularly the adequacy of current financial reporting and oversight mechanism. NGOs play a wide variety of roles in the society. Rapid social and demographic shifts have created new demands for these activities. NGOs grow in size and number to meet the increasingly diverse needs of the public. Information about the activities, finances, fund raising activities and governance of NGOs are not easily available, and without such information, the stakeholders would not know if an organization is effective and efficient in fulfilling its mission. Therefore, it is the stakeholders’ responsibility especially powerful stakeholders to demand the NGOs to disclose such information for informed decisions. The implications for NGOs are to be more accountable and to find cost effective ways to address the information needs of the stakeholders.

Lack of accountability can lead to ineffective organizations, ones that do not accomplish their social missions; inefficient organizations, ones that get too little mileage out of the money being spent; and private inurnment, in which individuals attain excessive benefits for themselves. Even with adequate regulation, accountability of NGOs in developed countries is still being questioned. In the case of Malaysia, there is a lot to be done in regulating the NGOs. This presents a significant challenge both to the government and the stakeholders.

KHAIRUL IDZWAN IDRIS

Timbalan Pengerusi
Biro Ekonomi Dan Pembangunan Usahawan
Pergerakan Pemuda Umno Bahagian Setiawangsa
Wilayah Persekutuan