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FCRA Amendment Bill Sparks International Debate as US Congressman Criticises Proposed Changes; India Defends Move as Transparency Measure

New Delhi: The proposed amendments to India’s Foreign Contribution (Regulation) Act (FCRA), 2010 have triggered an international debate after US Congressman Riley Moore criticised the legislation, alleging that it could adversely affect Christian institutions and even impact India-US bilateral relations. The remarks come as Parliament continues to deliberate on the Foreign Contribution (Regulation) Amendment Bill, 2026 during the ongoing Monsoon Session.

Congressman Moore described the proposed amendments as “a clear attack against Christians” in a post on social media platform X. Referring to the long history of Christianity in India, he stated that Christians have been part of Indian society since the arrival of St. Thomas the Apostle on the Malabar Coast. He further claimed that the proposed law could permit government takeovers of churches and religious charities, warning that if enacted in its current form, it could become a matter of concern in diplomatic ties between India and the United States.

However, the proposed legislation has been presented by the Indian government as an administrative reform aimed at strengthening transparency, improving accountability and ensuring proper regulation of foreign contributions received by organisations operating in the country. Officials have maintained that the amendments are intended to enhance oversight of foreign funds without targeting any particular religious community or institution.

The FCRA, enacted in 2010, regulates how NGOs, charitable trusts, educational institutions, religious bodies and associations receive and utilise foreign donations. Under the existing framework, organisations receiving overseas funding must obtain registration from the Ministry of Home Affairs, with registrations requiring renewal every five years.

According to the background note accompanying the Bill, India had 14,449 active FCRA registrations as of July 15, 2026. Over the years, 22,498 registrations have been cancelled, while another 15,212 have expired. Between 2019 and 2022, organisations registered under the Act received foreign contributions amounting to nearly Rs 55,741 crore, underlining the scale of foreign funding flowing into the country.

One of the key provisions in the proposed amendments is the creation of a Designated Authority appointed by the Central Government. The authority would be empowered to manage foreign contributions and assets created using such funds if an organisation’s FCRA registration is cancelled, surrendered or not renewed. The Bill also proposes that organisations receiving or utilising less than Rs 10 lakh in foreign contributions during the previous two financial years may not qualify for registration renewal.

In addition, the legislation seeks to impose stricter conditions on the transfer of foreign contributions between organisations, establish tighter timelines for the receipt and utilisation of overseas funds, and expand disclosure requirements relating to projects, activities, websites and social media accounts.

The proposed powers of the Designated Authority have emerged as the most debated aspect of the Bill. Opposition parties, several NGOs and civil society organisations have argued that the provisions could give the government extensive control over institutions dependent on foreign funding. Concerns have also been raised by some Christian organisations, particularly in Kerala, where educational institutions, hospitals and welfare organisations have historically received significant overseas donations.

The Central Government, however, has rejected allegations that the amendments are aimed at any specific religious group. It has consistently argued that the reforms are designed to ensure greater financial transparency, prevent misuse of foreign contributions and strengthen regulatory oversight over funds entering the country. Government sources have emphasised that accountability in the use of foreign money is a legitimate sovereign responsibility and that similar regulatory frameworks exist in several democracies worldwide.

As parliamentary discussions continue, the proposed amendments remain at the centre of political and public debate. While international criticism has added another dimension to the controversy, the Indian government maintains that the Bill is intended to safeguard transparency and uphold national interests by ensuring that foreign contributions are utilised in accordance with the country’s laws and regulatory framework.

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