Can the government take control of foreign-funded assets? FCRA Bill explained

In India, the Foreign Contribution Regulation Act (FCRA) is one of those laws that returns to the spotlight every few years — often amid much clamour. But why? The law has repeatedly generated debate over how India should balance scrutiny of overseas funding with the autonomy of NGOs and other civil society organisations.The Foreign Contribution (Regulation) Amendment Bill, 2026, introduced in the Lok Sabha in March, proposes a new framework for managing foreign contributions and assets when an organisation’s registration is cancelled, surrendered or ceases. The government says the changes are intended to address administrative and legal gaps, while critics question the breadth of the proposed powers.The opposition, however, has argued that the proposed changes hand sweeping powers to the government and could allow it to take control of assets built over decades by charitable organisations.