Moreover, the legitimacy and the accountability of NGOs on the point of their true nature are also emerging as important issues.[65] Various perceptions and images on NGOs are provided, and usually implemented in an image as 'non-state actors' or 'influential representatives of civil society that advocate the citizen.' Accountability may be able to provide this and also be able to assist activities by providing focus and direction[66] As non-state actors with considerable influence over the governance in many areas, concerns have been expressed over the extent to which they represent the views of the public and the extent to which they allow the public to hold them to account.[67]
The origin of funding can have serious implications for the legitimacy of NGOs. In recent decades NGOs have increased their numbers and range of activities to a level where they have become increasingly dependent on a limited number of donors.[67] Consequently competition has increased for funding, as have the expectations of the donors themselves.[68] This runs the risk of donors adding conditions which can threaten the independence of NGOs, an over-dependence on official aid has the potential to dilute “the willingness of NGOs to speak out on issues which are unpopular with governments”.[63] In these situations NGOs are being held accountable by their donors, which can erode rather than enhance their legitimacy, a difficult challenge to overcome. Some commentators have also argued that the changes in where NGOs receive their funding has ultimately altered their functions.[63]
NGOs have also been challenged on the grounds that they do not necessarily represent the needs of the developing world, through diminishing the so-called “Southern Voice”. Some postulate that the North-South division exists in the arena of NGOs.[69] They question the equality of the relationships between Northern and Southern parts of the same NGOs as well as the relationships between Southern and Northern NGOs working in partnerships. This suggests a division of labour may develop, with the North taking the lead in advocacy and resource mobilisation whilst the South engages in service delivery in the developing world.[69] The potential implications of this may mean that the needs of the developing world are not addressed appropriately as Northern NGOs do not properly consult or participate in partnerships. The real danger in this situation is that western views may take the front seat and assign unrepresentative priorities.[70]
The flood of NGOs has also been accused of damaging the public sector in multiple developing countries. The mismanagement of NGOs has resulted in the breakdown of public health care systems. Instead of promoting equity and alleviating poverty, NGOs have been under scrutiny for contributing to socioeconomic inequality and disempowering the services in the public sector of third world countries.[71]
The scale and variety of activities in which NGOs participate has grown rapidly since the 1980s, witnessing particular expansion in the 1990s.[72] This has presented NGOs with need to balance the pressures of centralisation and decentralisation. By centralising NGOs, particularly those that operate at an international level, they can assign a common theme or set of goals. Conversely it is also advantageous to decentralise as this increases the chances of an NGO behaving flexibly and effectively to localised issues.[73]
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