ActionSA Opposes Devastating Funding Cuts to Vital NPOs Supporting Our Communities

ActionSA strongly opposes the Department of Social Development’s decision to cut funding for Non-Profit Organisations (NPOs), as it will adversely affect vulnerable communities that rely on them for support.

In recognition of the impending crisis brought about by the Department’s devastating decision, ActionSA is meeting with NPOs in the Western Cape to find a solution and ensure that necessary support is provided to those who need it most.

Regrettably, as a consequence of unabated corruption and mismanagement, NPOs that provide critical support to vulnerable communities are set to be crippled by the very same government whose failures necessitate the existence of many NGOs.

We are particularly concerned about the prevalence of ghost NPOs, which has resulted in significant financial losses for the Department. However, instead of addressing this issue, the department has decided to punish deserving and compliant NPOs by cutting their funding.

The government has a constitutional obligation under Section 27 to protect and provide access to healthcare, food, water, and social security to vulnerable members of society. However, it has failed to fulfil this responsibility by instead delegating it to NPOs and now cutting their funding.

The Gauteng Department of Social Development spent over R2 billion in support of NPOs in the previous financial year. However, due to current financial constraints, the department has decided to reduce the budget for NPOs.

This decision is unfair to deserving and compliant NPOs, which will be impacted negatively as a result of government officials’ inability to run the department efficiently. It will also be detrimental to the poor, the elderly, people with disabilities, and other vulnerable groups.

The National Department’s decision to impose cuts on the budget may potentially disadvantage compliant NPOs instead of working to identify and address corruption within the department caused by non-compliant and ghost NPOs.

Furthermore, it is crucial to bring the perpetrators to justice and put an end to the mismanagement of the department, including corruption channeled through ghost NPOs, and overall maladministration of the Gauteng Department of Social Development.

The decrease in government support for organisations that serve vulnerable minority groups in communities is unacceptable, particularly when a lack of oversight from the Department has led to financial losses over the years.

This unfortunate series of disastrous decisions are part of the reason why under an ActionSA government, our primary focus will be geared towards the establishment of an Inclusive Social Support system to create a more equal and just society for all, with minimal reliance on the government.

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