The Foreign Contribution (Regulation) Act, 2010 (FCRA) regulates the acceptance and use of foreign contributions by eligible organisations in India. An NGO, trust, association or other eligible organisation generally needs FCRA registration or prior permission to legally receive foreign contributions. The law aims to ensure that such funds do not adversely affect national interest, public order or national security.
An FCRA certificate is essentially the registration granted by the Government that permits an eligible organisation to receive foreign contributions, subject to the Act and its rules. FCRA registration is generally valid for five years and requires renewal. The framework has undergone amendments over the years, including significant changes in 2020 relating to the use and transfer of foreign contributions.
The Foreign Contribution (Regulation) Amendment Bill, 2026 proposes further changes to this framework. One of its key provisions concerns foreign-funded assets when an organisation’s FCRA certificate expires, is not renewed, is cancelled or otherwise ceases. The Bill proposes a Designated Authority with powers relating to the provisional and, in certain circumstances, permanent vesting, management and disposal of such foreign-funded assets.
The proposed changes have generated debate. The Government’s stated objective is to address existing legal and administrative gaps and strengthen oversight of foreign contributions and assets. Critics, including opposition voices and some civil-society organisations, have raised concerns about the extent of government powers and the possible impact on organisations that depend on foreign funding. These competing views are now part of the parliamentary examination of the Bill.
The 2026 Bill is not yet law. It was introduced in March 2026 and, on 12 August 2026, was referred by the Lok Sabha to a 31-member Joint Parliamentary Committee (JPC) for detailed scrutiny. The committee process provides an opportunity to examine the proposed provisions before Parliament takes a final decision. For citizens, understanding FCRA is useful because it connects foreign funding, NGOs, public accountability and the Government’s regulatory powers.