Overview of NGOs

This article is based on an article prepared by Diana C. Carligeanu for the NGO Handbook, titled "NGO Overview: What are NGOs?.

“The 21st Century will be an era of NGOs."

-- Kofi Annan, UN Secretary General

What are NGOs?

Non-governmental organizations (NGOs) are generally considered to be “non-state, non-profit orientated groups who pursue purposes of public interest”, excluding the private sector (Schmidt and Take 1997). One of the most widely used definitions is given by Operational Directive 14.70 of the World Bank: “private organizations that pursue activities to relieve suffering, promote the interests of the poor, protect the environment, provide basic social services, or undertake community development” (World Bank 2001). According to the World Bank, NGOs are “value-based organizations which depend, in whole or in part, on charitable donations and voluntary service,” and in which “principles of altruism and voluntarism remain key defining characteristics”. More broadly, the term is applicable to any non-profit organization (NPO) that is not established by or controlled by a governmental entity, or even more broadly a nonprofit that is not affiliated with government.

There are different ways of categorizing NGOs in broad terms. One categorization is the recognition of a :

1. Mutual benefit NGO, involving an association concerned with improving the situation of its membership, versus a
2. Public benefit NGO, which is an organization working for the imporvement of conditions of society as a whole or of a segment of society.

The World Bank differentiates two main categories of NGOs with which it interacts:

1. Operational NGOs, the primary purpose of which is the design and implementation of development-related projects.
2. Advocacy NGOs, the primary purpose of which is to defend or promote a specific cause, and influence the policies and practices of international organizations.

Operational NGOs are further classified as national organizations, which operate in individual developing countries, international organizations, which are typically headquartered in developed countries and carry out operations in developing countries, and community-based organizations (CBOs), which serve a specific population in a narrow geographical area. CBOs, also referred to as grassroots organizations or peoples’ organizations (PO), differ from other NGOs in both nature and purpose: while national and international organizations are seen as “intermediary” NGOs that are formed to serve others, CBOs are usually “membership” organizations whose purpose is to advance the interests of their members. Examples include women’s groups, credit circles, youth clubs, cooperatives and farmers’ associations.

Alternative terms used to refer to NGOs include private voluntary organizations (used especially in the United States) and voluntary development organizations (a term favored by many African NGOs). Civil society organization (CSO) is another term used for NGOs, sometimes favored as it does not define the sector in terms of what it is not (non-governmental).

Note: NGOs are not legal entities under international law the way states are. An exception is the International Committee of the Red Cross, which is considered a legal entity under international law because it is based on the Geneva Convention. The ICRC does not classify itself as an NGO, however, because of its legal, governmental status.

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