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As FCRA restricts NGOs, Supreme Court had agreed that right to associate is not carte blanche for foreign funds

24 Jun 2026
1 min

Foreign Contribution (Regulation) Amendment Rules, 2026

The Supreme Court expressed concern over the reliance on foreign funds, suggesting it portrays India as unable to support its own needs. In response, the Union Home Ministry has tightened regulations on NGOs receiving foreign donations through the Foreign Contribution (Regulation) Amendment Rules, 2026.

Key Amendments

  • Legal Basis: The amendments derive their legality from the Centre's argument in the Supreme Court.
  • Freedom Limitation: The freedom to form associations or engage in charity does not inherently include the right to receive unlimited foreign funds.
  • Usage Restrictions: Foreign funds must be used within "permissible activities" only.
  • Rule 9(1B):
    • NGOs' certificates of registration must clearly specify their intended "purpose or purposes and the States or Union territories" they will operate in.
    • NGOs are restricted to specific spheres of activity, excluding proselytisation and certain geographical bounds.
Tags:
FCRA NGO

Articles Sources

https://www.thehindu.com/news/national/as-fcra-restricts-ngos-supreme-court-had-agreed-that-right-to
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Proselytisation

The act of attempting to convert someone from one religion, belief, or opinion to another. The article suggests that receiving foreign funds for proselytisation may be restricted under the new rules.

NGOs

Non-Governmental Organizations, which are non-profit and voluntary groups organized on a local, national, or international level. The 11th All India Lokayukta Conference suggested bringing government-funded NGOs under the Lokayukta's jurisdiction.

Foreign Contribution (Regulation) Amendment Rules, 2026

These are amendments to the existing rules governing the acceptance and utilization of foreign contributions by individuals and associations in India, aimed at increasing transparency and accountability in the receipt of foreign funds by NGOs.

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