FCRA – US Congressman Questions India’s Proposed Foreign Funding Law Changes
FCRA – India’s proposed amendments to the law governing foreign contributions have sparked international attention after a US lawmaker raised concerns about their possible impact on religious institutions and bilateral relations.
India’s proposed changes to the Foreign Contribution (Regulation) Act (FCRA) have drawn criticism from a member of the United States Congress, who argued that the legislation could create concerns regarding religious organisations operating in the country. Republican Congressman Riley Moore of West Virginia said the proposed amendments deserve close attention and warned that the issue could influence discussions surrounding India-US relations if the bill moves forward in its current form.
US Lawmaker Raises Concerns
In a statement shared on the social media platform X, Moore claimed the proposed legal changes could allow the Indian government to assume control over churches and charitable organisations receiving foreign funding. Referring to the long history of Christianity in India, he noted that Christian communities have existed in the country for nearly two millennia, tracing their origins to the arrival of St. Thomas the Apostle on the Malabar Coast. Moore described the proposed amendments as a matter of serious concern for Christian institutions and said he believes the legislation could affect religious charities if enacted.
He further stated that, in his view, the proposal represents an action against Christian organisations. According to Moore, if the legislation is approved without significant changes, it may become an important issue in the broader relationship between India and the United States.
What the Amendment Bill Proposes
The remarks came after the introduction of the Foreign Contribution (Regulation) Amendment Bill, 2026. The proposed legislation seeks to establish a Designated Authority that would oversee the management of foreign contributions and assets created through those funds when an organisation’s FCRA registration is cancelled, voluntarily surrendered, or expires because it was not renewed.
The government has said the objective is to ensure that assets acquired through foreign contributions remain properly managed after an organisation loses its legal eligibility to receive such funding. The proposal covers non-governmental organisations, charitable trusts, educational institutions, and religious bodies that fall under the FCRA framework.
Protection for Religious Places Included
The draft legislation also contains a provision addressing places of worship. It states that if assets managed by the Designated Authority include a religious institution, the authority must preserve its religious character while administering those assets. This clause has been included as part of the proposed legal framework governing the transition of management in applicable cases.
In addition to these administrative changes, the bill recommends reducing the maximum punishment for violations of the FCRA. Under the proposal, the highest prison term for offences under the Act would be reduced from five years to one year.
Foreign Contribution Data
Official figures released by the Ministry of Home Affairs indicate that organisations covered under the FCRA received foreign contributions worth Rs 55,741 crore between 2019 and 2022. The data reflects the scale of overseas funding received by eligible entities across multiple sectors, including charitable, educational, and religious organisations.
Statistics available on the official FCRA portal further show that, as of July 15, 2026, a total of 14,449 organisations held active FCRA registrations. During the same period, 22,498 registrations had been cancelled, while another 15,212 registrations had lapsed after not being renewed. The proposed amendments are expected to play a significant role in determining how foreign-funded assets are managed in such cases if the legislation is approved.