In a bid to enhance transparency and accountability, the Non-Governmental Organisation Regulatory Authority (NGORA) has announced plans to track how Non-Governmental Organisations (NGOs) utilize foreign exchange (Forex) in the country.
This move follows a recommendation in the 2023 NGO sector report to monitor Forex usage.
Speaking to MIJ Online, Edward Chileka Banda, Chief Executive Officer for NGORA, revealed that international forex brokers often complicate funds tracking, leading to discrepancies between reported inflows and actual reserve increases.
According to Banda, to address this, NGORA will start investigating on how NGOs use Forex, particularly since funds budgeted in USD/Euro often enter Malawi as local currency.
However, Benedicto Kondowe, Executive Director for Civil Society Education Coalition (CSEC), expressed reservations about the plan, suggesting that the Reserve Bank of Malawi is better equipped to provide details on incoming funds usage.
