Accountability, Donor Funding and Non-Governmental Organisations in Kisumu County in Kenya

Accountability is an important aspect of all organisations today. Accountable NGOs have been found to receive large funding from donors and thus undertake development programs that alleviate human suffering. This study is set to establish the accountability of donor funding by non-governmental organisations in Kisumu County. The study adopted a descriptive survey design. The target population was the NGOs located in Kisumu County- Kenya. The population was made up of all the 187 NGOs in the region. The use of open-ended questions was justified because some of the information concerned sensitive matters of the NGOs, particularly those involving finances and governance. The study established that donor funding was dependent on the accountability mechanisms put in place by the implementing NGOs. The study revealed that NGOs were expected to keep a minimum set of financial statements, e.g. Statements of comprehensive income, statements of financial position and cash flow statements. The study revealed that community involvement in the oversight of NGOs was still not adequately practised and that satisfaction of the employees with their pay perks could not be established. Donors were keen on compliance with the laws of the country and involved the oversight bodies in checking the compliance and legitimacy of the NGOs before funding and partnering with them. It was established that donors expected performance measurements to be done and that NGOs prepared specific reports. The donors also demanded that the authenticity of the financial statements be verified by independent auditors. Therefore, this study recommends that NGOs develop proper and effective accountability mechanisms to measure performance and enhance legitimacy and accountability. This will include using proper performance measurement tools and compliance with donor and government regulations to secure sustained financing and ensure that the County's development agenda is achieved. The study further recommends that the NGOs procure the services of recognised audit firms that will offer value-adding audits, which, in effect, will boost donor confidence.