Jean Damascene Mvunabandi^♣

Durban University of Technology, Durban, South Africa

ABSTRACT

This study explored the financial reporting practices and financial performance of non-government organizations (NGOs). A case study of a large anonymised non-profit organisation based in Durban, KwaZulu-Natal-South Africa, was conducted. A qualitative approach was employed, and data was collected through semi-structured interviews with 24 purposively selected participants to capture their thoughts. Data collected through interviews were supplemented by a review of internal confidential organisational documents.  Transcripts, conventional thematic and document analysis, were used to analyse data. Empirical findings revealed that the selected organisation’s financial reporting practices were not fully prepared under the International Financial Reporting Standards for small and medium enterprises (IFRS for SMEs) but differed substantially in line with different formats imposed by its external donors. Relying on empirical findings, key recommendations with a view to enabling the organisation and other similar organisations globally to meet the divergent and often conflicting with requirements of all their stakeholders without losing credibility and or compromising its principles were provided. Therefore, policymakers and other key role players should act swiftly to remedy these discrepancies. This study will guide researchers to further research on subject matter.

Keywords: Non-Government Organisations, IFRS for SMEs, Financial Performance, IASB, Small and medium and micro- Enterprises (SMMEs).

^♣Corresponding Author: Jean Damascene Mvunabandi, Lecturer and a Ph.D. holder at Durban University of Technology, Faculty of Accounting and Informatics, Department of Financial Accounting, Ritson Road Campus C Block, PO Box 1334, Durban 4000, South Africa; Email: This email address is being protected from spambots. You need JavaScript enabled to view it.