GlobalWater NGO, a non-governmental organization providing clean water solutions, is preparing its annual financial statements. Which of the following best describes the primary purpose of GlobalWater's financial statements?

To calculate the exact amount of tax payable to the local government authorities.

To provide information about the entity's financial performance and position that is useful to a wide range of users, particularly donors and grant providers, in making economic decisions.

To ensure that the directors of the NGO receive their annual performance bonuses.

To record every single cash transaction made by the organization during the year.