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Gibson Nyikadzino recently in Kadoma
The Government has indicated that the Private Voluntary Organisations (PVO) Amendment Bill neither seeks to close space in the civic society sector nor stifle donor funding, but to ensure transparency and accountability on sources of funding, and to plug loopholes on money laundering and financing of terrorism.
The amendment Bill also seeks to comply with recommendations to Zimbabwe by the Financial Action Task Force (FATF) to ensure that Zimbabwe implements as part of its reforms compliance with international best practice in combating money laundering and financing of terrorism.
Over the past few years, the Government said non-governmental organisations (NGOs) have failed to account for at least US$15 million hence moving in to plug loopholes as PVOs can be used as conduits to fund and finance terrorism.
Zimbabwe was early this month removed from the grey list of the FATF having satisfied the task force during a visit that it is fully compliant in implementing required global anti-money laundering banking standards and that its banks cannot be used by those financing terrorism.
Speaking on behalf of the Permanent Secretary in the Ministry of Public Service, Labour and Social Welfare at a meeting with representatives from the Civic Society Organisations (CSOs) that was organised by the Southern African Parliamentary Support Trust (SAPST) over the weekend, Chief Director for Social Development and Disability Affairs, Dr Edmos Mtetwa, said there is a misrepresentation coming from CSOs that the Bill will stifle donor funding.
He, however, said Government and CSOs are not worlds apart over the issue, but challenged the latter to declare sources of funding to ensure transparency and accountability after US$15 million was unaccounted for in the past few years.
Dr Mtetwa also said failure to abide by the FATF recommendations will be a betrayal to the faith put in the Government’s capability in combating money laundering and financing terrorism.
“Mention has been made that the Bill seeks to stifle donor funding, that is not so. The Bill does not seek to curtail foreign funding. If CSOs believe their sources of funding are clean, just declare that this is good, clean money. Declare it.
“We are not worlds apart (with CSOs) in that regulation must take place and that issues of money laundering must be dealt with. Also, the amendment Bill does not seek to curtail belonging to political parties, but to circumscribe operations of PVOs,” said Dr Mtetwa.
During the deliberations, legislators constituting the Portfolio Committee on Public Service, Labour and Social Welfare flagged the notion that the amendment Bill will shut civic space, warning representatives against misaligning facts.
Dr Mtetwa queried the increase in the number of applications from CSOs that want to be registered and at the same time told stakeholders that it was “unethical for people to take pictures of vulnerable people and use them to get donor funds”.
Representative of the CSOs, Dr Innocent Maja, said CSOs recommendations should be considered as part of input to the Bill.
“Foreign funding should be permitted as long as an organisation complied with the relevant customs, foreign exchange laws, fraud and anti-money laundering and financing terrorism provisions,” said Dr Maja.
Veritas programmes manager, Mr Lizwe Jamela, also said it is not the position of CSOs that they do not want to be regulated.
Online Reporter