HRW Urges National Assembly to Reject Foreign Aid Bill, Warns of Govt Control Over NGOs

Wale Igbintade

Human Rights Watch (HRW) has urged the National Assembly to reject the proposed Foreign Aid (Regulation, Transparency and Disclosure) Bill, warning that it could undermine the independence of civil society organisations and shrink civic space in Nigeria.

The international human rights organisation said the bill contains provisions that could give government authorities undue influence over the funding and activities of independent organisations.

In a statement issued yesterday, HRW said the bill, introduced by the Senate in May 2026, seeks to regulate foreign aid, grants and donations in Nigeria and establish a regulatory commission to oversee foreign aid.

The stated objectives of the bill include promoting transparency and accountability, aligning aid with national development priorities, preventing the misuse and duplication of projects, and improving public access to information on foreign-funded activities.

However, HRW warned that requiring foreign-funded activities to align with government priorities could expose civil society organisations to excessive government control.

“Independence is essential to the work of civil society organizations working to scrutinize government actions, expose wrongdoing, hold those in power accountable, and advocate for reforms,” said Anietie Ewang, Nigeria researcher at Human Rights Watch.

“Legislation that seeks to align foreign funding with government priorities risks expanding government control over independent civil society and suppressing dissent.”

The bill has passed its first and second readings in the Senate and has been referred to the Senate Committee on National Planning and Economic Affairs for detailed consideration, public hearings and stakeholder consultations.

The committee is expected to submit its recommendations to the Senate before the bill proceeds to third reading and a final vote.

If passed by the Senate, the bill would still require approval by the House of Representatives and presidential assent before becoming law.

HRW said the committee was given four weeks from July 22 to conduct its review and consultations and is expected to submit its recommendations to the Senate at any time.

The organisation said the proposed legislation raises concerns similar to those generated by previous attempts by the National Assembly to expand government regulation and oversight of civil society organisations.

It recalled that a 2016 bill seeking to establish a Nongovernmental Organizations Regulatory Commission stalled after a public hearing in 2017, while a similar bill introduced in 2020 was withdrawn following opposition from lawmakers.

HRW said the current bill would require, among other things, that “foreign aid-funded activities shall align with Nigeria’s national development plans and priorities.”

It described the provision as vague, arguing that the bill provides no meaningful clarity on how compliance would be assessed or what activities could be deemed inconsistent with government priorities.

According to HRW, the ambiguity could create significant uncertainty for organisations working on human rights, governance, anti-corruption and other accountability-related issues, particularly where their activities challenge official policies or expose government shortcomings.

The organisation further warned that failure to comply with the proposed requirements could result in financial penalties, revocation of operating licences and imprisonment.

“Requiring all foreign-funded activities to align with government priorities would undermine civil society independence and could be used to restrict organizations whose work is critical of those in power, creating opportunities to suppress dissent and limit democratic participation,” HRW said.

The organisation said independent civil society groups play a vital role in promoting transparency, documenting abuses, advocating reforms and holding those in power accountable.

It argued that making access to foreign funding conditional on compliance with government priorities could significantly weaken that independence.

HRW also raised concerns about what it described as an array of new financial integrity requirements contained in the bill.

It noted that organisations operating in Nigeria already face extensive registration, financial reporting and regulatory obligations.

According to the organisation, nonprofits are required to register with the Corporate Affairs Commission as incorporated trustees or other appropriate entities and comply with applicable annual reporting requirements.

It added that organisations are also subject to registration and reporting obligations under the Special Control Unit Against Money Laundering, the Economic and Financial Crimes Commission, tax authorities and other regulators.

HRW said the bill does not explain why its additional reporting and other requirements are necessary or how they would complement existing regulatory processes.

“Transparency and accountability are legitimate objectives, but they should not become a pretext to undermine the independence of civil society,” Ewang said.

“Nigeria should not create new layers of regulation that give the authorities excessive control over organizations simply because they receive foreign funding.”

HRW also drew attention to constitutional and international protections for civil society organisations.

It said the Nigerian Constitution guarantees freedom of expression and association, while similar rights are protected under the International Covenant on Civil and Political Rights and the African Charter on Human and Peoples’ Rights, both of which Nigeria has ratified.

The organisation also cited the position of the United Nations special rapporteur on the rights to freedom of peaceful assembly and association, who has repeatedly affirmed that the ability of associations to seek, receive and use resources, including foreign funding, is an integral part of the right to freedom of association.

Similarly, HRW cited the African Commission on Human and Peoples’ Rights Guidelines on Freedom of Association and Assembly in Africa, which affirm the right of associations to seek, receive and use funds freely, including funds from foreign states, international organisations and other external sources.

The guidelines, according to HRW, state that governments should not restrict otherwise legitimate activities simply because an organisation receives foreign funding.

“Conditioning access to foreign funding on conforming with government priorities would severely undermine civil society independence,” HRW said.

The organisation urged lawmakers to ensure that any regulation of foreign aid does not become a mechanism for restricting legitimate civil society activities or suppressing organisations that criticise government policies.

It maintained that while transparency and accountability in foreign-funded activities are legitimate objectives, they should be pursued without compromising the independence of civil society organisations.