With Parliament session on cards, the Foreign Contribution Regulation Act (FCRA) Amendment Bill 2026 is certain to face "fierce opposition" from civil society, church bodies, and opposition parties.
India’s NGO sector and some religious bodies including churches in northeast appear too flummoxed to deal with the Modi government’s latest FCRA move.
The Congress and other parties are arguing that the central government is weaponizing the law to target minority-run institutions and silence peaceful dissent.
It will be up for consideration and passage in the upcoming parliament session. The amendments seek to enhance transparency in dealing with funds coming to India. However, security analysts in Delhi and in north east of India say -- that 'stricter regulations' are necessary to protect national security, enforce high accountability and prevent the misuse of foreign funds in illegal activities.
Introducing the bill in March, Union Minister of State for Home Nityanand Rai had asserted that the Modi government “will not tolerate” any misuse of foreign funds and will take strong action against such elements.
This assertion has takers among security analysts. "I do not understand the politics about it. But from national security point, foreign funds channels and the organisations who get the money must be made more accountable.
You cannot be allowed to use leprosy treatment funds for organising anti-CAA protest or encourage church or any other fora to spread some kinds of divisions by spreading falsehood on human right violations etc".
The Bill proposes vesting foreign-funded assets (including schools, hospitals, and land) in a government-appointed official if an NGO's license is cancelled or not renewed.
Opposition leaders argue this gives the executive disproportionate, unconstitutional power to confiscate property.
But security analysts say 'deep state' and other inimical forces have been channelising funds to push anti-India and anti-security forces' agenda in Nagaland, Manipur and even Assam and Jammu and Kashmir.
These observations gave become more relevant at a time when the central gvernment is laying emphasis on fighting and even a step further in 'eradicating' insurgency in northeast.
"The government has done well to curb Naxalism. Now it is time we lay emphasis on fighting such forces in north east," one expert remarked.
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| In March, Parl Affairs Minister agreed to refer it to a panel |
Congress leader Manish Tewari has alleged that the new Bill gave “wide and unguided executive control over property”.
Countering charges that the draft law was “draconian” and “dangerous”, MoS Home Nityanand Rai had said that what was “indeed dangerous” were people misusing foreign contributions for personal gain or forced religious conversion.
also say the Bill “give unfettered, unguided and untrampled discretionary power" to the administrator, to do as it deems fit with the property
The Section 1(2) of this Bill says that it shall come into force on such date as the Central Government may notify. Therefore, apprehension is it would apply with 'retrospective effect'.
This means the FCRA Bill could also apply to those previous licenses which are already applied but have not yet been renewed or those that are pending renewal.
A lot of ironing out would have to be done via the Rules. There will have to be sunset clauses which would take a specific date by which all the NGOs would have to get the necessary compliance done.
Past references:
In 2015, the Modi government canceled the FCRA licenses of about 10,000 organizations including Green Peace, Ford Foundation and some 20 Christian organizations. Another 1,807 NGOs lost theirs in 2019.
In 2020, a government order said these organizations will not be eligible to apply for a fresh license for a period of three years.
An FCRA license is mandatory to receive foreign donations in India.
In 2021, came the turn of a plethora of institutions like Oxfam India, Hamdard Education Society, Indian Institute of Technology (Delhi), Indira Gandhi National Centre for Arts (IGNCA), Indian Institute of Public Administration, National Foundation for Communal Harmony (NFCH), Nehru Museum, Delhi College of Engineering, Goa Football Association, and Press Institute of India.
Notably, all of it did not come without warning; PM Narendra Modi’s trusted aide and National Security Advisor (NSA) Ajit Doval had cautioned police bosses and others about the new generation enemy, that is the social organizations - and their source of evil money is foreign funding.
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