General issues South African NPO sector faces

For almost two centuries, nonprofit organizations have formally existed to dismantle systems that cause harm, fill in service gaps that are not covered by the public sector, and provide aid to those in the community who need it most

Charitable giving and aid has existed in one capacity or another since human civilization began. According to researchers, an innate desire to help others exists in all of us regardless of identity, social status, or cultural background.

Nonprofit organizations (NPOs) have become an integral part of the social policy systems in the different contexts in which they operate. In South Africa, the government relies significantly on NPOs in delivering services (Patel 2012) in various policy fields to address socio–economic problems in communities. The services NPOs provide in various policy fields form part of South Africa’s framework for achieving its long-term development goals.

The findings revealed that NPOs in South Africa experience serious financial resource challenges, notably, overreliance on donor funding; difficulty in obtaining donor funding; limited donor funding available; intense competition from other non NPOs to secure donor funding; donors unwilling to fund operational costs.

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