The Department of Social Development will on Wednesday, February 16, host a virtual dialogue with Non-Profit Organizations (NPOs) to encourage compliance and good governance in the sector.

The Department has witnessed an increase in the number of complaints from the members of the public concerning conflict with the Board/office bearers and poor financial management.

As a result, the Department must ensure that all registered NPOs are compliant with the provisions of the NPO Act 71 of 1997 and that standard governance principles are applied consistently in the NPO sector.

To ensure good governance, accountability, and transparency, NPOs are required to keep financial records and submit annual reports as stipulated in sections 17, 18, and 19 of the NPO Act.

Currently, the Department has 251 875 NPOs registered and 50% are not compliant.

The virtual dialogue will draw experts from the sector, accounting, financial institutions and legal experts to share their experience and guidance.

Source: Government of South Africa