Internet Edition. June 29, 2008, Updated: Bangladesh Time 12:00 AM 
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Prof Muzaffar questions role of micro-credit providers: Most NGOs run on foreign funds



Staff Reporter



Noted economist and Chairman of Transparency International Bangladesh (TIB) Prof Muzaffar Ahmad yesterday questioned the role of micro-credit providers in poverty reduction of Bangladesh.

He also criticised the nongovernmental organisations (NGOs) for their corruption and intrusion into politics and urged them to make their budget public to bring transparency in their activities.

The TIB Chairman was speaking at a convention on "Institutional Good Governance of NGOs" organised by Campaign for Good Governance (Supro) at the LGED auditorium in the city. More than 300 representatives of NGOs from Dhaka and outside participated in the convention.

"In our country, NGOs run on foreign funds. Their projects ponder to the wishes of donors. The NGOs have to become self-reliant," Prof Muzaffar said.

He suggested NGOs to stop receiving foreign assistance to become self-reliant, claiming that there would be no welfare with foreign money. "We have to have self-reliance and institutional transparency."

"During the Language Movement, students had raised funds by saving up from their pocket money. They raised funds from different sources for different movements, but did not receive foreign assistance."

Pointing to NGO representatives present at the convention, Ahmad said: "You don't stand against the eviction of indigenous people from their ancestral lands, encroachment of rivers and land grabbing. You don't stand against pollution through industrial waste."

"Where is your contribution in the field of agriculture? You are speaking of eliminating poverty but you are doing nothing for the betterment of farmers. Rather you are making them poorer by giving loans on high interest."

The NGOs have been used politically, Ahmad alleged. "As a result, the job of NGOs is being hampered. Religion-based NGOs are emerging. Money comes from abroad in the name of religious schools."

On the operations of microcredit by NGOs, he said: "Many NGOs have disappeared into thin air after taking money meant for microcredit. Big corporate NGOs are involved with other businesses."

The civil society leader also advised reviving the roles of NGOs in safeguarding culture and heritage.

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