Overview
- The Ministry of External Affairs publicly rejected comments from US lawmakers on Friday, saying legislative changes to the Foreign Contribution (Regulation) Act are India’s internal matter and must be decided by Parliament.
- The amendment would create a government‑notified 'Designated Authority' that can take provisional control of foreign contributions and assets if an organisation’s FCRA registration is cancelled, suspended, surrendered or allowed to lapse.
- Christian groups, state leaders and opposition parties have warned the bill could lead to government seizure of church and charity assets and have demanded safeguards or a parliamentary review.
- Several US lawmakers, including Representative Riley Moore and Senator James Risch, criticised the proposal and warned of bilateral fallout, while New Delhi pointed to similar foreign‑fund rules in other democracies in its defence.
- Government data show thousands of groups receive foreign funding and as of mid‑July 2026 there were about 14,449 active FCRA registrations, and the bill’s passage could affect NGOs that provide education and health services unless Parliament or courts impose limits.