A new draft law presented in parliament on April 18 by Judith Uwizeye, the Minister in the Office of the President, has proposed a significant change for NGOs in Rwanda. The law requests that NGOs do not spend more than 20 per cent of their budget on operational costs.
Operational costs are essential expenses that organizations incur in their daily operations, such as rent, utilities, payroll, and supplies. The draft law aims to ensure that NGOs allocate their budgets in a way that benefits their beneficiaries.
The proposal also seeks to prevent scams by some NGOs in the country. One common form of NGO scam is the misappropriation of funds, where donations collected for a noble cause are used for personal expenses.
According to the draft law, NGOs will be required to keep documents regarding the use of property in the country for at least 10 years. Additionally, organizations will need to submit their action plans and financial reports to districts and line ministries for approval.
MP Germaine Mukabalisa emphasized the importance of eliminating NGO scammers and ensuring that NGOs operate in line with government objectives. Minister Uwizeye stated that the new law aims to regulate NGOs and prevent scams with empty promises.
The draft law categorizes NGOs into different groups based on their activities, such as community development, public interest, and professional organizations. Civil society organizations have raised concerns about the budget spending criteria and the need for further consultations.
LandNet Rwanda, a network of local and international NGOs dealing with land issues, has recommended the establishment of an NGO forum or council to bring together all registered NGOs in Rwanda. MP Frank Habineza also highlighted the importance of consulting civil society in the drafting of the law.
Overall, the draft law aims to ensure transparency and accountability in NGO operations while preventing fraudulent activities. It is essential for NGOs to adhere to the regulations to benefit the welfare of the people they serve.
