The Public Benefit Organizations Regulatory Authority (PBORA) has raised concerns over the noncompliance of Non-Governmental Organizations (NGOs) with the new PBO Act, which came into effect in May last year.
The new legislation repealed the NGO Act, which had governed the registration, regulation and management of the entities in Kenya since 1990.
Speaking at a media engagement meeting co-hosted by the Health NGOs Network (HENNET) in Nairobi, PBO Director General Dr. Laxmana Kiptoo revealed that only 4,000 out of 14,000 registered NGOs are currently compliant.
“It is shocking that out of the 14,000 NGOs we have registered, only 4,000 are compliant. It is important that they align with the law that is being operationalised for the benefit of all,” he said.
“You cannot demand accountability from the government if you yourselves are not compliant”, he challenged the civil society groups.
Kiptoo further announced that the government has extended the compliance deadline by one year to May 14, 2026, to facilitate a successful transition.
He said the extension is critical for aligning all stakeholders, including PBOs, donors, financial institutions, and government agencies, with the new regulatory framework.
“The Authority’s effectiveness hinges on this process, as does the sector’s ability to operate seamlessly under the Act. Proper implementation will create an enabling environment for PBOs to thrive while fulfilling their developmental roles”, he noted.
He emphasised that the new Act ushers in a new regulatory framework that supports a dynamic civil society ecosystem while reinforcing mechanisms for accountability, sustainability, and transparency in Kenya’s nonprofit and development landscape.
“The Authority is in a crucial phase in the implementation of the PBO Act and sector players should seize the opportunity to build clarity and strengthen partnerships to enable a more robust, responsive environment for PBOs in Kenya”, he said.
To support the Act, the authority in collaboration with the civil society, is in the process of finalising two regulations that will be subjected to public participation from next month across all 47 counties.
“There have been two draft Regulations in place (one by the sector and one by government), and our current focus is the finalization of the draft regulations that will bring the PBO Act to life. The Authority is currently harmonizing the two draft regulations before subjecting them to public participation and eventual gazettement”, he stated.
“And we are not doing this in isolation; the process is wide-ranging and inclusive. The county-level forums will be held between June and July. We will ensure stakeholders’ voices shape the regulations, because the civic space belongs to all of us”, he explained.
Participation will either be through physical meetings, online webinars, and written submissions.
The DG further reaffirmed the Authority’s unwavering commitment to collaboration and urgently called for unity of purpose across the membership of the civil society sector in Kenya to drive the full implementation of the PBO Act.
“The success of the PBO Act does not lie with the Authority alone, it depends on all of us; government, civil society, development partners, and the media, working in concert”.
HENNET Executive Director, Margaret Lubaale expressed support for the commitment demonstrated by the office of the Director-General of the PBORA in the implementation strategy during the twelve-month implementation window period.
She said that as part of civil society, they are ready and willing to partner with the Authority to advance a transparent and inclusive implementation process, underscoring the need for consistent and meaningful involvement of civil society in all phases of the process.
“I appeal to the members of the civil society sector in Kenya to actively and publicly participate in the review of the harmonized regulations,” said Lubaale, calling for unity across the membership of the civil society sector in Kenya to drive the full implementation of the PBO Act.
EXPLAINER
- A Public Benefit Organization (PBO) refers to a voluntary grouping of individuals or organizations that operate on a non-profit, non-partisan basis to deliver charitable services to the public.
- The sector comprises NGOs registered under NGO Coordination Act now PBO Act 2013, Community-Based Organisations under Community Groups Registration Act 2022, Faith-based organisations under the Societies Act, Companies limited by guarantee registered under the Companies Act 2015 and Public Benefit Trusts engaged in fundraising
- The Act provides a modern framework for regulating entities engaged in public benefit activities while ensuring transparency and accountability.
- It also provides a one-year transition period for organizations to align with the new regulatory framework
