Social media disclosures, donor transparency and more: Key changes for NGOs as government revises FCRA norms

The central government has revised regulations governing the receipt of foreign contributions by non-governmental organizations (NGOs), which require applicants to select their objectives and operational areas from a prescribed list.

The Union Home Ministry published a notification in the official gazette on Monday.

New FCRA rules: Here are the key changes

Organizations applying for registration or renewal under the Foreign Contribution Regulation Act (FCRA) will now be required to disclose details of their social media accounts as part of the application process.

The amended rules mandate that if foreign contributions are channeled through “remittance facilities” or “Donor Advised Funds”, applicants must indicate the ultimate donor and source of funds in their submissions, PTI reported.

The updated rules permit various faith-related activities, but specifically exclude proselytizing or religious conversion efforts from several categories eligible for registration under the FCRA.

It also said that organizations with foreign nationals, except persons of Indian origin who serve as key officers or functionaries, generally do not qualify for FCRA registration or prior approval to receive funds from overseas.

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However, the revised rules provide an exemption under which the Central Government may, through a special regulation, permit foreign nationals to serve as “key officers” of an association in certain specified cases or circumstances for obtaining FCRA registration or prior approval as per notification.

The government introduced several changes to the Foreign Contribution Regulation Rules in 2011, which aim to strengthen oversight and ensure greater accountability in the way NGOs and other associations in India receive, manage and use foreign funds.

It added a new provision that requires organizations applying for foreign contributions to clearly state the specific purpose for which the funds will be used, as well as the state or territory of the Union where they intend to operate.

“Applications stating the purpose of registration”

“Every application for registration shall state the purpose or purposes for which registration is sought, selected only from such list of purposes as appears in the list appended to these rules; and the States or Union Territories in which the association proposes to carry on business,” the notification said.

This information will be recorded in the registration certificate issued to the organizations.

Applicants will also have to select their activities from the prescribed schedule contained in the rules. The categories cover a wide range of objectives, including religious, cultural, economic, educational and social activities.

Within the religious category, the rules recognize various activities such as building, renovating and maintaining places of worship, providing religious instruction and promoting religious music, among other faith-related initiatives.

The revised rules state that three activities must be carried out – “religious education, documentation of religious traditions and preservation of indigenous beliefs”, “excluding proselytisation”.

The same requirement was also included under the categories of “documentation, preservation and restoration of indigenous and tribal faith practices, rituals and worship systems” and “conduct of religious education, moral instruction, satsangs, discourses and meditation retreats”.

Associations that obtained registration before 2026 were given a one-year deadline to inform the government of the specific purposes and states they want to keep on their registration certificates.

The amended rules also introduce a new fee structure under which applicants will have to pay extra ₹300 for each additional condition or purpose included in their application.

To ensure that inactive organizations do not continue to hold FCRA registrations without meaningful activity, the government has introduced a new requirement mandating that associations spend at least ₹10 million in foreign contributions for their declared activities during the previous two financial years.

Compliance with this spending limit will be essential for organizations wishing to renew their registration or avoid having their license revoked.

For entities receiving special-purpose foreign contributions under prior authorization, the revised rules stipulate that any further installment of funds will be released only after at least 75% of the previous installment has been exhausted, as stated in the notice.

The notice further states that the authorities will conduct field inspections to verify that the funds have been used as requested.

In addition, organizations must declare whether they or their key officials have published any books, articles or similar material, as entities receiving foreign contributions are prohibited from producing or broadcasting “news or non-fiction” content.

In addition to financial statements, associations will be required to submit a comprehensive activity report with annual revenues under the revised rules.

The amendments widen the scope of the term “key functionary in relation to a person other than individuals” to include a wider set of functions such as directors of companies, partners in firms, trustees, Hindu Undivided Family (HUF) and any individual exercising control over the management of the association.