Analysis of the South African NPO funding system: The case of Ehlanzeni District Municipality (EDM) in the Mpumalanga Province.
Thamaga, Tintibane Shadrack
Thamaga, Tintibane Shadrack
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Abstract
Non-Profit Organisations (NPOs) are formed to pursue certain public benefit or promote social change and contribute towards the country’s economy by adding value to the lives of the needy. South Africa is experiencing, inter alia, high levels of crime, teenage pregnancies, alcohol abuse, and youth unemployment. Many NPOs are being funded by the government to address such problems. The concern is that the NPOs generally fail to reach the envisaged goals during the grant application process. The primary objective of the study was to analyse the criteria for awarding grant funding to the NPOs and establish how effective it is in benefiting the public; and to determine whether a functioning system had been implemented to monitor the NPOs performance to ensure that the grants awarded are spent as initially intended. To achieve these objectives, NPOs from various sectors (Youth Development, HIV and Aids, Old Age Homes, Early Child Development, etc.) were selected randomly from the Ehlanzeni District Municipality (EDM). Data was collected through interviews in several stages during the process. The funding officials from the Mpumalanga Province department of Social Development and Department of Health district offices were also interviewed to establish how the funding is administered. A representative sample of the NPO officials and the general public as the beneficiaries of the funding
by the government and of services delivered by the NPOs were interviewed. The aim of the project has been to contribute towards improving the government NPO grant system to ensure the effectiveness and efficiency of the NPOs.
Description
Submitted in partial fulfilment of the requirements for the degree Magister Technologiae: Cost and Management in the Department of Public Finance Faculty of Economics and Finance
Tshwane University of Technology
Date
2020-09-01
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Tshwane University of Technology
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Keywords
Non-profit organisations (NPOs), Funding system, Ehlanzeni District Municipality (EDM), Mpumalanga, Government