Grant–in–Aid

 MSW Notes > NGO Management 

1. Grant–in–Aid

Meaning:
Grant–in–Aid refers to the financial assistance given by government or funding agencies to NGOs, educational institutions, or welfare organisations to carry out social development projects. It is not a loan and does not require repayment, but it comes with guidelines and accountability requirements.

Purpose:

• To support NGOs working in areas like education, health, women empowerment, child welfare, environment, rural development, etc.
• To bridge the gap between government schemes and grassroots needs.

Example:

• Ministry of Women and Child Development provides grants to NGOs running crèches and shelter homes.
• National AIDS Control Organisation (NACO) supports NGOs through grants for awareness and prevention activities.

Limitations:
Sometimes, NGOs become over-dependent on grants, leading to lack of sustainability. Also, delays in fund release create challenges in project execution.