The solution to the issue of NGO funding is not to ban foreign monies, but for organisations to be transparent about their offshore financing, said think tank Institute for Democracy and Economic Affairs (Ideas).
"A ban on foreign funding is unnecessary but I fully support the spirit behind these suggestions - that is to promote and enhance transparency and accountability among NGOs," said its chief executive Wan Saiful Wan Jan in a statement.
"If NGOs call for greater transparency and accountability in government, then they should also apply those principles to themselves and lead by example."
He welcomed the proposed Political Donations and Expenditure Act (PDEA) to regulate NGO funding, but said it should not apply to NGOs in toto as they are different from political parties.