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COMMENTARY: NGOs Must Re-Strategise to Deal with Shrinking Global Funding Sources

Independent Observer by Independent Observer
March 4, 2025
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By Babatunde Rashid

When the world commemorated World NGO Day on Thursday, 27 February 2025, I was only particular about the landmark interventions they had made across the world, especially in Sierra Leone and in Africa. In my country, a small West African nation with a wealth of natural resource deposits, we still celebrate non-governmental organisations (NGOs) and civil society organizations (CSOs) interventions in areas where the government was constrained to reach with public services.

I grew up in Freetown and in other parts of the country in the 1970s. Some of those towns I lived and worked in actually had the most basic amenities, but the growing population and movement of people would eventually put a huge strain on government services. This would mean that NGOs and CSOs are constantly coming in to augment the government’s efforts.

But as the world marked World NGO Day this year, Sierra Leone’s Vice President, Dr. Mohamed Juldeh Jalloh, reminded the world of how far they had come. He also issued a powerful call to action, urging NGOs, including other non-state actors, to embrace innovation and adaptability in the face of a fluid but rapidly evolving development landscape.

In his address to an audience of civil society leaders, development partners, and policymakers, VP Jalloh emphasised the urgency for NGOs to rethink their strategies in light of shrinking global funding sources. I am particularly satisfied with the way he underscored the importance of innovation, sustainability, and local ownership in ensuring the longevity and effectiveness of NGO-driven interventions.

Inevitably, I am not surprised at the gumption to engage in the way he did. Dr. Jalloh, a distinguished former UN civil servant with extensive experience working with NGOs in development, governance, and human rights across different countries, further highlighted the evolving nature of international aid. He pointed out that traditional funding models were under strain due to shifting global economic priorities and donor fatigue.

“I call on NGOs and development partners in Sierra Leone and across the world to use this day to reflect on how to better position NGOs to be more impactful, particularly in the face of shrinking development aid financing,” he stated.

He urged NGOs to focus on diversifying their funding streams, including forging stronger partnerships with the private sector, exploring social enterprise models, and enhancing community-driven solutions. His call may be used as a platform to start a global movement for sustainability models. NGOs and CSOs must be able to protect their independence to operate and support the critical mass that sometimes struggles to access basic socio-economic and health services in vulnerable communities.

Sierra Leone offers a compelling case study of how NGOs have played a crucial role in national development, particularly during times of crisis. From the Ebola outbreak in 2014-2016 in the region, the August 14, 2017 mudslide near Freetown, and the COVID-19 outbreak in February 2020, where NGOs provided emergency healthcare and community outreach, to ongoing climate resilience initiatives, civil society organisations have often filled the gaps left by government and international agencies.

Over the years, NGOs have supported initiatives in education, governance, and economic empowerment, demonstrating their flexibility and deep-rooted impact on communities. However, as external aid dwindles, these organisations must develop locally sustainable funding mechanisms to maintain their influence and reach.

Recent global funding challenges, such as the Center for International Media Assistance (CIMA) at the National Endowment for Democracy (NED) pausing its operations and support for nearly 2,000 partners worldwide due to the freeze on congressionally appropriated funds, highlight the urgency of this issue. On February 25, the US-based NED, which has supported free and independent media in Sierra Leone and across the world since 2006, announced the suspension of activities. This development serves as a stark reminder that NGOs must not solely rely on traditional donor models but should actively pursue innovative financing solutions to sustain their impact.

A more direct example of the danger of over-reliance on international funding is the recent suspension of aid by the United States Agency for International Development, which has provided significant financial support for health, agriculture, and food security initiatives in Sierra Leone. Programmes such as the Strengthening Integrated Health Services Activity, a US$45 million project, and the Impact Malaria Project have helped improve access to medical services, family planning, and malaria prevention.

Also, the US agency has played a key role in agriculture and food security through initiatives such as the Catalysing Investment for Small Businesses, a US$3 million project, and the Feed the Future Scaling Up Aquaculture Production initiative, which has been supporting food security since 2015. These contributions highlight the critical role of international funding, but they also underline the need for NGOs to prepare for potential reductions in aid by developing self-sustaining financial strategies.

However, as Sierra Leone and the wider global NGO community navigate an era of reduced funding, the Vice President, Dr. Mohamed Juldeh Jalloh, reaffirmed the government’s commitment to strengthening partnerships with the civil society sector. He commended NGOs for their invaluable contributions and encouraged them to seize opportunities for capacity building, digital transformation, and strategic re-alignment to meet emerging challenges.

As the sector looks ahead, I will add that adaptability, collaboration, and sustainability will be key in ensuring that NGOs continue to be powerful agents of change in development, governance, and human rights in Sierra Leone and across the world.

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