Foreign Contribution Regulation Act

As Parliament approaches its closing week, the FCRA amendment bill is notably absent from Monday's Lok Sabha agenda, signaling a possible political strategy from the government. The legislation's contentious nature is drawing connections to the pending delimitation exercise. Opposition groups, including DMK and NCP(SP), have raised alarms over its provisions. It seems the government wishes to foster a detailed discussion to address these criticisms.

The government is set to expedite the Foreign Contributions Regulation Act, which focuses on managing foreign funding for organizations. In contrast to criticism from a US Congressman regarding proposed changes, the administration remains resolute. Home Minister Amit Shah has met with church leaders to resolve their issues. The Bill's discussion and possible approval in Parliament are imminent.

MK Stalin urged the Union government to address concerns regarding the FCRA Amendment Bill 2026. A delegation met Union Home Minister Amit Shah to seek the bill's withdrawal. They also requested a review of the existing Foreign Contribution Regulation Act. Stalin endorsed these demands, citing implications for minority rights. The Centre was urged to consider these points during Parliament's ongoing session.

Despite the tightening of regulations, foreign contributions to NGOs have surged. Recently, however, there has been a notable decline in the number of registered NGOs, now totaling merely 14,500 compared to several lakh in the past. The government emphasizes that the amendments focus on specific foreign-funded channels, aiming to enhance oversight without hindering the broader civil society framework.

Ministry of external affairs rejected criticism of its foreign funding law. The ministry stated that legislative matters are internal decisions for Parliament. Several countries, including the United States, also regulate foreign financing. A US Congressman criticized proposed amendments to India's Foreign Contribution Regulation Act. He warned these changes could affect India-US bilateral relations.

The Bombay High Court has stayed the cancellation of FCRA certificates for two church organizations. Notices were issued to the Centre seeking a response by September 10. The court noted that not receiving foreign funds does not imply inactivity. These organizations oversee numerous educational institutions across Goa. Their FCRA licenses were cancelled due to non-receipt of foreign funds.

Union minister Kiren Rijiju said India was not a "banana republic" and that there should be rules and regulations to spend foreign funds. The proposed legislation, aimed to manage the gap in the regulation of foregin fundings to NGOs and curb the proselytisation, was fiercely criticised the opposition that termed the bill "anti minority". Union minister Nityanand Rai moved the motion in the Lok Sabha after the House resumed proceedings.

Several opposition chief ministers and ministers have faced foreign travel clearance denials. Telangana CM Revanth Reddy's recent rejection is not an isolated incident. Punjab CM Bhagwant Mann and West Bengal CM Mamata Banerjee also experienced similar rejections. Delhi CM Arvind Kejriwal and Kerala CM Pinarayi Vijayan were also denied foreign trip approvals. These rejections highlight the MEA's role in granting political clearance for official visits.