The PBO Act, which was operationalised on 14 May 2024, did a comprehensive overhaul of the regulatory framework for NGOs, with the intention to foster the development and effective operation of public benefit organisations (PBO) in Kenya. For further insights on the PBO Act, see our analysis here.

To date, approximately 4,000 out of an estimated fourteen thousand 14,000 registered NGOs have successfully transitioned to PBO status, according to the Public Benefit Organisations Regulatory Authority (PBORA). The low uptake prompted the decision by the Government to extend the compliance period.

What this means for organisations

This extension has several implications under the PBO Act for organisations operating or intending to operate as PBOs in Kenya:

• Organisations now have an additional 12 months to complete the re-registration process and take the necessary steps to align with the PBO Act’s requirements.
• The extension is not a waiver and the registration and compliance requirements of the PBO Act still apply.
• This period offers a valuable opportunity for PBOs to conduct thorough reviews of their current constitutional documents and general governance to ensure alignment with the PBO Act.
• PBOs should ensure that their activities qualify as public benefit purpose under the PBO Act.
• New organisations seeking to register as PBOs will continue to be processed under the application and registration provisions in the PBO Act.

Consequences for non-compliance

Organisations that fail to re-register and comply with the PBO Act by the deadline of 13 May 2026 will lose their legal status as NGOs and become ineligible for the benefits afforded to registered PBOs.

PBOs are advised to seek advice from legal representatives to ensure their compliance with these requirements.