Context: Foreign Contribution Rules Amendment
The Centre amended the Foreign Contribution Regulation Rules, 2011 under the Foreign Contribution Regulation Act, 2010, tightening disclosure norms for NGOs receiving foreign funds.
NGOs must now declare:
- Activities
- Geographical scope
- Social media accounts
- Publications
Foreign Contribution Regulation Act
Ministry
Objective
To regulate foreign funding and ensure it does not affect:
- Sovereignty and integrity of India
- National security
- Public interest
- Electoral processes
- Communal harmony
Permitted Categories
1. Social
Includes:
- Public health
- Rehabilitation
- Sanitation
- Nutrition
- Disaster relief
2. Educational
Includes:
- Schools
- Colleges
- Scholarships
- Research institutions
3. Economic
Includes:
- Livelihood generation
- Skill development
- Financial inclusion
4. Religious
Includes:
- Places of worship
- Religious education
- Pilgrim services
5. Cultural
Includes:
- Arts
- Languages
- Museums
- Archives
- Heritage conservation
Key Changes
- NGOs must operate within declared category.
- NGOs must operate within declared geographical scope.
- Mandatory disclosure of websites.
- Mandatory disclosure of social media accounts.
- Mandatory disclosure of publications.
- Expanded definition of key functionary.
- Trustees, partners and managers are included as key functionaries.
- Stricter scrutiny where foreign nationals hold key positions.
FCRA Basics
- Registration is valid for 5 years.
- Foreign funds must be received through the designated State Bank of India, New Delhi Main Branch account.
- Transfer of foreign contribution to another NGO is prohibited.
- Administrative expenditure is capped at 20% of foreign funds.
Significance
- Improves transparency in foreign funding.
- Strengthens accountability of NGOs.
- Helps prevent misuse of foreign contributions.
- Tightens monitoring of civil society organisations.
- Raises debate on balance between national security and civil society freedom.
