NGO grading is a process where non-governmental organizations (NGOs) are assessed and categorized based on specific criteria such as governance, financial transparency, accountability, and program effectiveness. This grading helps determine the credibility and performance of an NGO.
For NGOs, grading is important because it enhances credibility with donors, partners, and beneficiaries, demonstrating the organization’s commitment to high standards. It also provides a framework for improvement by highlighting areas of strength and those needing attention. A good grade can attract more funding, partnerships, and support, while also fostering trust and ensuring that the NGO operates effectively and responsibly.