Non-Governmental Organizations (NGOs) in Uganda play a crucial role in development initiatives, yet concerns about financial accountability persist. The internal control environment serves as a foundational mechanism for ensuring transparent resource management and stakeholder confidence. This cross-sectional study examined five NGOs in Kampala District between January and March 2024. Using a mixed sampling approach, 118 respondents were selected from a population of 168, comprising NGO administrators, procurement officers, internal auditors, staff members, and beneficiaries. Data were collected through structured questionnaires and analyzed using SPSS version 25, employing descriptive statistics and Pearson correlation analysis. The study revealed a significant positive relationship between internal control environment and financial accountability (r=0.742, p