Introduction
In my article of 17 April 2025, titled “Private Voluntary Organisations Amendment Act, in brief”, I gave an overview of the new amendments brought about by the recent Private Voluntary Organisations Amendment Act No. 1 of 2025 (hereinafter called “the PVO Amendment Act”).
Purpose of the PVO Amendment Act
I explained that the purpose of the PVO Amendment Act was to amend the Private Voluntary Organisation Act [Chapter 17:05]; the Money Laundering and Proceeds of Crime Act [Chapter 9:24] (No. 4 of 2013); the Criminal Matters (Mutual Assistance) Act [Chapter 9:06] (No. 13 of 1990); the Criminal Law (Codification and Reform) Act [Chapter 9:23] and the National Social Security Authority Act [Chapter 17:04]; and to provide for matters connected therewith.
In this article I deal with principles governing private voluntary organisations in terms of the PVO Amendment Act, which now follow.
Principles to govern private voluntary organisations
Section 9 of the PVO Amendment Act amends the principal Act, that is the Private Voluntary Organisation Act (Chapter 17:05) by the insertion of Part IVA after Part IV. The new Part IVA deals with the conduct of private voluntary organisations. Under this new Part is section 20A – Principles governing private voluntary organisations.
According to the new section 20A(1) every private voluntary organisation shall endeavour to conduct itself and its operations in accordance with the following principles:
- To ascertain the identity of donors and the sources of donations. If the donor is anonymous, the private voluntary organisation must satisfy itself by other means that the donor is acting in good faith within the law and that the donation is made in good faith without intent to evade the law.
- To refuse donations from illegitimate or illegal sources and to report to the Registrar and the appropriate authorities any such donation of which it becomes aware.
- To ensure that its resources and every donation is used for the charitable objects for which the private voluntary organisation is registered.
- To account transparently to its stakeholders including its donors and beneficiaries for the manner in which it distributes its funds and implements its programmes.
- To use formal channels, that is to say, registered banking institutions or other financial intermediaries regulated in Zimbabwe or in any other state for the transmission of its funds at every point from source to destination.
- Not to discriminate between beneficiaries on the grounds of nationality, race, colour, tribe, place of birth, ethnic or social origin, language, class, religious belief, political affiliation, opinion, custom, culture, sex, gender, marital status, age, pregnancy, disability or economic or social status, or whether they were born in or out of wedlock. Provided that it shall not be deemed to be discriminatory for a private voluntary organisations to favour beneficiaries of a particular group if its express object or one of its express objects is to benefit any disadvantaged group or members of such group of a particular description in terms of ethnicity, social origin, language, class, religious belief, custom, culture, sex, gender, marital status, age, pregnancy, disability, economic or social status, or persons born out of wedlock.
- Not to conduct themselves in any politically partisan manner whether by using its resources to benefit members of a particular affiliation or making any test of the political allegiance of its beneficiaries.
- To be sensitive generally to the cultural values and norms of the community in the area where they will be primarily operating.
- To economically and socially benefit the community in the area where they will be operating.
Further articles
Space permitting, I promise to write more articles on the PVO Amendment Act for the benefit of readers.
Conclusion
The PVO Amendment At is new and considerable time ought to be invested to understand it for compliance.
Disclaimer
This simplified article is for general information purposes only and does not constitute the writer’s professional advice.
Godknows (GK) Hofisi, LLB(UNISA), B.Acc(UZ), Hons B.Compt (UNISA), CA(Z), ACCA (Business Valuations) MBA(EBS, Heriot- Watt, UK) is the Managing Partner of Hofisi & Partners Commercial Attorneys, chartered accountant, insolvency practitioner, commercial arbitrator, registered tax accountant and advises on deals and transactions. He has extensive experience from industry and commerce and is a former World Bank staffer in the Resource Management Unit. He sits on the Council of Estate Administrators in Zimbabwe and was recently appointed to the Board of an Engineering company. He writes in his personal capacity. He can be contacted on +263 772 246 900 or ghofisi@hofisilaw.com or gohofisi@gmail.com. Visit www//:hofisilaw.com for more articles.
