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Quasi-Autonomous Non-Governmental Organization. An organization, which itself is not part of the government, to which the government has given a large degree of power, as a regulator or in another capacity. A prominent example is the Water Services Regulation Authority, which regulates sewage in the UK, among other things. However, it is not part of the government. The term is most common in the British Isles.

quango (quasi-autonomous nongovernmental organization)

an executive body which is responsible for overseeing a designated area of public sector activities and spending.
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