New Regulation Approved for Fundraising in Oman

H.E. Dr. Laila bint Ahmed Al-Najjar, the Minister of Social Development of Oman, has issued a new regulation setting conditions and guidelines for fundraising from the public. The regulation consists of 28 articles in 4 chapters, aiming to monitor and organize the process of fundraising for charitable and social purposes.

Prohibition of Fundraising Without a Permit

According to the regulation, no individual or organization is allowed to collect money from the public without obtaining an official permit from the Ministry of Social Development. This permit is exclusively issued to specific entities working towards charitable and social goals. Additionally, advertising or promoting any fundraising activity without an official permit is strictly prohibited.

Permissible Fundraising Methods

The regulation outlines legal ways to raise funds, including organizing events, exhibitions, charity markets, cultural, sports, and entertainment programs. Approved websites and apps, electronic payment devices, charity donation boxes, and clothing drives are also listed as permissible methods. In some cases, auctioning donated goods is allowed under the supervision of the Ministry. Approved organizations are permitted to deduct 2% of the collected amount as administrative costs.

Conditions and Steps for Obtaining a Permit

In Chapter 2 of the regulation, applicants must submit their permit request to the Ministry of Social Development 15 days prior to the fundraising date. The Ministry is required to respond to completed requests within 10 business days. Any changes to permit information must also be approved by the Ministry.

Legal Obligations for Approved Organizations

Organizations with permits are required to deposit the collected funds within a maximum of two business days into their official bank account. If using apps or websites to promote their cause, information such as logo, permit period, and bank account details must be included in the promotional content. Organizations are prohibited from holding cash outside their approved bank account, and violations of this rule are subject to administrative penalties.

Administrative Penalties for Violators

The regulation also specifies penalties for violations. The Ministry of Social Development may issue a written warning and, if necessary, impose fines ranging from 10 to 500 Omani Riyals or revoke the permit. Additionally, the Ministry reserves the right to confiscate any funds collected illegally and decide on their appropriate allocation.

This regulation is intended to promote transparency and regulation in public fundraising, and all organizations involved in this sector are required to strictly adhere to it.