Centre tightens FCRA rules; asks NGOs to declare purpose, operating areas

Published 23 June 2026 · india

The Centre has amended the rules governing receipt of foreign funds by NGOs under the Foreign Contribution Regulation Act (FCRA), requiring them to choose from

The Centre has amended the rules governing receipt of foreign funds by NGOs under the Foreign Contribution Regulation Act (FCRA), requiring them to choose from a predefined list of purposes and specify the states or Union Territories where they will operate. The changes also allow a range of faith-based activities, while clearly stating that proselytisation is excluded from several categories eligible for registration. Read Full Story In a gazette notification issued on Monday, the Union Home Ministry also said associations with foreign nationals, other than those of Indian origin, as key functionaries will "ordinarily not be considered" for registration or prior permission to receive foreign funds under the FCRA. At the same time, it kept a provision for the central government to allow such cases through a separate order. The notification said the amendments to the FCRA Rules, 2011 are aimed at tightening accountability in the way non-governmental organisations and associations in India receive and use foreign money. The rules have also widened the meaning of "key functionary" for entities other than individuals to include company directors, partners in firms, trustees, the Karta of a Hindu Undivided Family, and any person who has control over the management of the association.

Under the new provisions, NGOs seeking registration to receive foreign funds will have to state the exact purpose for which they are applying and the state or Union Territory in which they propose to carry out their work. "Every application for registration shall mention the purpose or purposes for which registration is sought, chosen only from such list of purposes as specified in the Schedule appended to these rules; and the states or Union territories in which the association proposes to undertake the activities," the notification said. It added that these details will be mentioned on the certificate issued to the NGO. Applications will now have to select activities from a schedule in the rules that covers religious, cultural, economic, educational and social purposes. Under religious purposes, the listed activities include construction, renovation and maintenance of religious places, religious education and promotion of devotional music, among others. However, the rules state that religious education, documentation of faith traditions and preservation of indigenous beliefs must be carried out "excluding proselytisation". The same condition applies to "documentation, preservation, and revival of indigenous and tribal faith practices, rituals and systems of worship" and "conduct of religious education, moral instruction, satsangs, discourses, and meditation retreats".