FCRA Amendment Bill, 2026 Introduced in Lok Sabha

The Foreign Contribution (Regulation) Amendment Bill, 2026 was introduced in the Lok Sabha by Nityanand Rai to further amend the Foreign Contribution (Regulation) Act, 2010 (FCRA). The bill aims to enhance transparency, accountability, and regulation of foreign funding received by NGOs and institutions in India.

Key Provisions of the Bill

Proposal to create a “designated authority” to manage and control assets of NGOs whose FCRA registration is cancelled, expired, or surrendered

Authority can take over, manage, or dispose of assets created using foreign contributions

Introduction of a clear statutory framework for supervision and disposal of foreign-funded assets

Stricter regulations on use, transfer, and management of foreign funds during suspension of registration

Provision to act against organisations involved in activities against national interest or constitutional values

Objectives and Significance

Ensure proper utilisation of foreign contributions

Prevent misuse of foreign funds for illegal or anti-national activities

Strengthen regulatory oversight of NGOs and institutions

Address gaps in the existing law regarding management of assets after licence cancellation

Opposition Concerns

Some opposition members termed the bill “draconian” and “over-centralised”

Concerns over excessive powers to the executive and lack of safeguards

Debate on potential impact on NGO autonomy and civil society functioning

Additional Facts:

FCRA, 2010: Regulates acceptance and utilisation of foreign funds by individuals and organisations

NGOs must have mandatory FCRA registration to receive foreign contributions

India has seen thousands of NGO licences cancelled in recent years for violations

Foreign funding is monitored to ensure it does not affect:

National security

Public order

Sovereignty and integrity of India

Previous major amendment: FCRA Amendment Act, 2020 (tightened compliance norms)