New Delhi, June 26: The Central Government has notified the Foreign Contribution (Regulation) Amendment Rules, 2026, introducing stricter compliance requirements for non-government organisations (NGOs) and associations receiving foreign contributions under the Foreign Contribution (Regulation) Act (FCRA), 2010.
The latest notification marks the tenth amendment to the FCRA Rules since they were first introduced in 2011. The revised rules aim to enhance transparency and oversight of organisations receiving foreign funding in India.
Under the amended rules, NGOs registered under the FCRA will now be required to disclose their official social media accounts and websites. They must also declare whether the organisation or any of its key functionaries has published books, magazines, newspapers, or other publications during the year.
The government has also made it mandatory for organisations seeking foreign contributions to either hold a valid FCRA registration or obtain prior approval from the Ministry of Home Affairs (MHA). The revised framework removes the scope for general permission, making compliance requirements more stringent for new applicants.
Another significant change is the expansion of the definition of “key functionary.” In addition to office bearers and directors, the term now includes trustees, partners, members of governing bodies, the Karta of a Hindu Undivided Family (HUF), and any individual responsible for controlling or managing the organisation.
The new rules further require NGOs to clearly specify the purpose of foreign contributions and identify the state or Union Territory where the funds will be utilised. Foreign contributions may continue to be used for social, educational, religious, cultural, and economic programmes, while political activities remain prohibited under the Act.
The government has also introduced stricter penalties for misuse of foreign funds. Any organisation found using foreign contributions for purposes other than those declared may face a penalty of up to 30% of the misused amount or ₹1 lakh, whichever is higher.
In another compliance measure, NGOs will now be required to utilise at least ₹10 lakh of foreign contributions over two financial years to retain or renew their FCRA registration. The provision is intended to prevent inactive organisations from continuing to hold FCRA licences without carrying out meaningful activities.
The amended rules form part of the government’s broader effort to strengthen transparency, accountability, and monitoring of foreign-funded organisations operating in the country. The changes are expected to increase compliance obligations for NGOs while providing authorities with greater oversight of foreign contribution utilisation.
Author
About the Author
