Although NGOs in Cambodia make a strong positive impact, their presence
is not without controversy.
A visitor to Cambodia very quickly notices the NGOs.
It seems barely possible to walk for 10 minutes in downtown Phnom Penh and not
come across the logo of one humanitarian organization or another. According to
the Cooperation Committee for Cambodia (CCC) today there are about 3500
registered NGOs in Cambodia. Admittedly fewer than half are currently active,
but that is still about one active NGO for every 10,000 Cambodians. In fact, it
has the second highest number of NGOs per capita in the world, after only
Rwanda.
The NGO boom in Cambodia began in the early 1990s
after the signing of the Paris Peace Agreements, marking the start of an era of
development and democratic processes following more than fifty years of
political turbulence. In fact, the very first NGOs – the International Rescue
Committee, Médecins Sans Frontières and Oxfam GB – had been in Cambodia since
as far back as the fall of the Khmer Rouge. Fearful of being drawn into the
political struggle, however, other organizations stayed away. But once
UN-sponsored elections took place, that hesitancy quickly disappeared.
International NGOs flocked to Cambodia, while home-grown organizations also
began to emerge.
As in many other developing countries, the scope of
activities of both international and local NGOs is very broad and touches upon
almost every sector of social development: the environment, civil and religious
education, human rights, poverty alleviation, emergency relief and many others.
Some NGOs specialize, others try to fulfill a very broad mission. In general,
though, the NGOs seek to fill gaps in government social and economic policies.
According to the CCC’s 2012 report, between 20 and 30
percent of Cambodia’s population benefit directly from the activities of NGOs.
Along with their long-term development programs, NGOs are often the first to
respond to disasters and provide first aid to victims. Yet while there is
widespread recognition of the significant contribution NGOs have made to
Cambodia’s reconstruction and development, their role does occasionally attract
controversy.
Lack of Structure
At first glance, the very large number of NGOs
operating in Cambodia might suggest a degree of chaos. That impression would
not be entirely inaccurate. Coordination and networking is thus an essential
part of successfully working in the field and many NGOs build this into their
action plans.
Caroline McCausland, vice chair of the CCC Executive
Committee and ActionAid country director explains: “ActionAid works with local
partners and has a comprehensive partnership policy which includes criteria on
how well the local organization coordinates with others in the local area.
ActionAid Cambodia is also an active member of a number of networks which
coordinates work on issues such as education, disaster risk reduction, gender
based violence and humanitarian response.”
However, the efforts of NGOs alone are not sufficient
to enable comprehensive coordination. As McCausland notes, “It is the
government’s responsibility to coordinate the actions of development
organizations at the sub-national level through mechanisms such as ProCoCom
(Provincial Cooperation Committee).” Unfortunately, the government is not
always capable of doing this, leaving a risk of duplicated projects and
programs as well as the absence of a common forum for sharing experiences, both
positive and negative.
Commercializing Humanitarian Work
One side of effect of this lack of structure and
regulation is the emergence of for-profit NGOs. More and more sources point to
cases where NGOs have turned into for-profit structures. Tax exemptions and the
absence of an effective regulatory system make it relatively easy to do
business under the guise of humanitarian activities. There are numerous ways to
do this, starting with the straight-out misuse of donor funds for private
purposes and ending with more elaborate schemes, such as company owners setting
up an NGO that uses the products their own company makes. Often, this is less
malfeasance than simple ignorance. As McCausland tells The Diplomat, “There is
in Cambodia a general misunderstanding on what is a non-profit and [what is a]
for-profit organization.”
Some donors try to minimize the risks of dealing with
“for-profit NGOs” by requiring the submission of an audit report by a credible
audit firm as part of the grant application form. However, high audit fees make
this requirement a serious challenge for local NGOs operating on tiny budgets.
Attempting to respond to these challenges, the
Cambodian government drafted a law on associations and NGOs (known as LANGO),
which sought to tighten registration requirements for NGOs and impose some
measure of control. Although debate on the legislation started as early as
September 2008, it has yet to be passed. LANGO has drawn staunch opposition
from the NGO community, led by CCC, which argues that the law’s requirements
are so vague as to allow the government to shut down any NGO without
explanation. As a result of CCC efforts and criticism from the international
community, Cambodian Prime Minister Hun Sen agreed to delay adoption. A new
round of the consultations between the government and the NGOs is expected to
begin in January 2014.
Salary Trap
Another source of controversy surrounding NGOs in
Cambodia is the comparatively high salaries received by their workers. For
their expatriate staff, NGOs need to compete against commercial organizations
in Western labor markets. To attract experienced professionals, that means
offering their employees competitive (by Western standards) wages and career
development prospects.
The average income in Cambodia is about 750 dollars a
year. Local government officials at the commune and village level receive 37.50
a month, although this will rise next year to 75 dollars a month according to a
government sub-decree. Salaries in Phnom Penh are higher, but still far short
of Western standards.
Aside from the disparities, the salary issue also
means that running costs for international NGOs programs can constitute a
significant part of their budget, raising questions about the efficiency of
resource allocation. Proud announcements of aid allocated through NGOs can be
illusory, as only a portion of it actually reaches beneficiaries.
This salary competition also has a local dimension.
Even though local staff at NGOs make less than their expat colleagues, they
still do better than Cambodians working for government institutions. This can
in turn encourage skilled professionals to leave state institutions for NGOs.
Indeed, surveys have shown that most Cambodian graduates prefer to work either
for a bank or an international organization, including an international NGO.
Added to NGOs’ readiness to substitute for the government in areas where
policies are still weak, this first pick of Cambodia’s best and brightest
creates the risk that the government’s own capabilities will be compromised.
The positive impact that NGOs have on Cambodia and its
people is clearly evident, but it is also clear that their presence has some
unintended consequences. The NGOs and the government need to work together to
address them.
Helena Domashneva
Business & Investment Opportunities
Saigon Business Corporation Pte Ltd (SBC) is incorporated
in Singapore since 1994.
No comments:
Post a Comment