The Annual NPO Financial Management Conference 2019 | ICPAK | 13 November 2019 | Sarova Whitesands Beach Resort & Spa Mombasa - Beach Hotel in Mombasa, Off Malindi Road, Mombasa County, Mombasa, Kenya

World over, there is a growing shift from donor funding to trade, resulting in limited funding for Non-Governmental Organizations (NGO), Non-Profit Organizations (NPO) or Public Benefits Organizations (PBO) sector. How do NPOs adapt to this shift while retaining their core objective? This shift demands for a reshaping the role of the board to promote sustainable development programs and outcomes that portend increased business opportunities.

Back home, NPOs have recently found themselves at crossroads with the requirement that they prepare and file financial reports in full compliance with IFRSs. This requirement has in several instances not been in tandem with the reporting required by donors and financiers, resulting in increased cost of doing business, impacting the look and contents of financial statements, accounting for sector specific items such as monetary and non-monetary donations, how boards of directors “read” financial statements, and how board members and others may understand a nonprofit’s financial reports.

It’s also important to deliberate on the taxation issues of the sector as it continues to attract the attention of financiers’ reporters as well as the regulatory authorities.

NPOs in Kenya have been faced with questions such as; which specific standards do they apply in their reporting? How do they marry their near-cash reporting to the accrual-based accounting called upon by IFRSs? How will the donor reports be aligned to the IFRSs compliant financial statements? What interest does the tax authority have in NPOs?

Strength in Numbers – How do NPOs collaborate for better outcomes as opposed to “competing for declining/focused donor funding”? This session will focus on creating NPOs that are capable of negotiating with donors on development outcomes as opposed to “micro-organizations that are only seeking funding opportunities”.