INVESTIGATING THE DETERMINANTS OF THE FINANCIAL SUSTAINABILITY OF NON-GOVERNMENTAL HEALTH ORGANIZATIONS IN TANZANIA A CASE OF DARE ORGANIZATION

Abstract

ABSTRACT This study investigated the determinants of financial sustainability among non- governmental health organizations (NGHOs) in Dar es Salaam, Tanzania, guided by the Resource-Based View (RBV). A descriptive cross-sectional quantitative design was employed, with structured questionnaires distributed to 243 targeted respondents, of which 209 were successfully returned, representing a strong response rate of 86%. Data were analyzed using descriptive statistics, correlation, and multiple regression. The findings revealed that both internal capacities such as staff competence and internal control sand external conditions such as government policies, donor support, and macroeconomic factors significantly influenced financial sustainability. Strategic approaches, particularly partnerships and income diversification, were most effective in enhancing resilience, while critical challenges included weak internal revenue generation, high operational costs, and declining donor support. Regression analysis confirmed that the studied factors were statistically significant predictors of financial sustainability, jointly explaining about 22% of the variance (R² = 0.223). Among the sustainability dimensions, financial management capacity (M ≈ 4.07) and budgeting and planning (M ≈ 4.15) were strongest, while revenue diversification (M ≈ 3.89) remained weakest. The study concludes that financial sustainability of NGHOs depends on a balanced mix of internal capacity, external support, and proactive strategies. It contributes to knowledge by extending RBV into the Tanzanian NGO sector and recommends strengthening income diversification, capacity building, and strategic partnerships, alongside enabling policies to reinforce long-term sustainability.