Summary

  • PSM chairperson Dr Jeyakumar Devaraj calls on the government to establish an independent body to look into issue of NGOs hit by US aid cuts.

  • He says this body will evaluate which organisations are serving marginalised and vulnerable groups.


PSM has urged the government to establish an independent body, separate from the executive branch, to assess and address the situation of NGOs in Malaysia affected by the drastic reduction in funding from the United States.

“It would be a loss to our country if the more than 30 NGOs which received funding from US sources are forced to close down because of a lack of funds.

“One way of addressing this danger would be to arrange alternative funding for these NGOs,” said PSM chairperson Dr Jeyakumar Devaraj.

He proposed that this special body be composed of commissioners selected from a pool of retired judges, former Bar Council presidents, retired social welfare officers, and veteran NGO leaders.

Jeyakumar emphasised that the body should be responsible for evaluating NGOs in need of financial support and if these organisations are determined to be serving marginalised or vulnerable groups, they should be offered funding.

“It is important that this financial support is at an ‘arm’s length’ and independent of the executive branch of government so that the NGOs being funded are not overly beholden to the government of the day.

“This ensures they are free to criticise the government when necessary and cannot be used in a politically partisan manner by the sitting administration.

“‘On-shoring’ the funding of our NGOs would be an important step towards enhancing national sovereignty. As an upper-middle-income country, we certainly have the means to implement this. Let us work towards it,” he added.

Silver lining

Jeyakumar also noted that the drastic cut in US funding for NGOs worldwide has a silver lining, as it reduces the influence of US agencies over the internal politics of Global South countries.

“US-funded NGOs have been used, on and off, to destabilise governments that the US is unhappy with, leading to painful regime change operations in several countries.

“However, we need to acknowledge that many of the NGOs that have been receiving US funding have been doing very important work among marginalised communities, such as refugees and people displaced by war.

“Others have been addressing equally important issues related to environmental conservation and climate change. Some run programmes empowering women and supporting people with disabilities. In short, they are carrying out much-needed, pro-people initiatives that help humanize our society,” he added.

On Jan 20, US President Donald Trump issued an executive order to freeze nearly all foreign aid. The US, the world’s largest donor, allocated US$54 billion in aid for the fiscal year 2024.