Using the need to comply with FATF recommendations as justification, the Zimbabwean government put forward the Private Voluntary Organisations Amendment Bill 2021 in November 2021. The Bill, however, does not follow FATF standards and requirements. It fails to provide for a proportionate, targeted, risk-based approach to identify and address any risks of terrorism financing or money laundering CSOs could be exposed to.
If passed into law, these amendments will have far-reaching implications for human rights, humanitarian and development sectors in the country. As the Zimbabwe Lawyers for Human Rights pointed out in their analysis, the most concerning provisions of the Bill are:
- Increased executive control over registration and operations of all CSOs;
- Criminalisation of civic engagement in political processes;
- Wide discretionary powers given to the Minister of Public Service, Labour and Social Welfare to designate any CSOs to be at "high risk" or "vulnerable to" terrorism abuse in terms of undetermined criteria;
- Allowing for the CSO Registry to summarily revoke licensing without due process;
- Obligation for CSOs to disclose foreign funding as a condition in the registration or auditing processes.
Response from the CSO sector
CSOs are concerned that the FATF standards are now being abused by the government as a pretext to introduce an authoritarian law to clamp down on the entire civic sector.
They reached out to international bodies, such as FATF and the UN Special Rapporteur on freedom of association and assembly, informing them about the situation and requesting their engagement with the Zimbabwean authorities. CSOs emphasised that the country already has an adequate regulatory AML/CTF framework, which can easily be applied to the sector. They also pointed out that such a gross misapplication of the FATF standards will inevitably result in undermining the democratic space in Zimbabwe. The incapacitation of CSOs means they would be unable to play their critical watchdog role and challenge illicit financial flows and corruption in the country.
ECNL continues to support ongoing efforts in Zimbabwe by working with local partners on crafting arguments and empowering them for strategic response. One of the pathways discussed is different options of self-regulation that the CSO sector can endorse to protect themselves from the terrorist financing abuse.
Update as of August 2023
In June 2022 an amended bill was presented that disregarded the concerns of civil society and imposed further restrictive clauses. The Senate met on February 1, 2023 and passed the Private Voluntary Organization Amendment Bill.
UN experts and civil society organisations, are urging the Zimbabwean President to reject enacting the bill. There are major concerns over the severe restriction on civic space and the right to freedom of association.
More information on the update here.
