‘Even the US’ regulates foreign funding: India hits back at

Various countries, including the United States, enforce regulations on foreign monetary inflows, the Ministry of External Affairs (MEA) said.

India on Friday responded to a remark made by a US lawmaker on the proposed Foreign Contribution (Regulation) Amendment (FCRA) Bill, stating that the matter is India’s ‘internal affair.’

Various countries including the United States, enforce regulations on foreign monetary inflows, the Ministry of External Affairs (MEA) said.

“Regarding the issue you are referring to, we have seen it, and several comments have been made on it. As far as legislative matters are concerned, and particularly matters relating to India’s own legislation, this is an internal matter for us, on which our Parliament takes the decision,” MEA spokesperson Randhir Jaiswal said on Friday, addressing a bi-weekly media briefing.

“I would also like to tell you that there are several countries in the world, including the United States, that regulate foreign funds and foreign financing,” he added.

US lawmaker Riley Moore’s criticism

The response comes following remarks from US lawmaker Riley Moore, who raised objections to proposed modifications to India’s Foreign Contribution (Regulation) Act (FCRA), claiming the provisions could enable state control over churches and philanthropic institutions, while cautioning that the development might strain bilateral ties.

The Republican Congressman from West Virginia acknowledged that Christianity holds deep historic roots in India, tracing back to the arrival of St Thomas the Apostle on the Malabar Coast.

“But despite this long Christian history, India’s Parliament is considering amending the Foreign Contribution (Regulation) Act to permit government takeovers of churches and religious charities,” Moore wrote on X earlier this week.

“This is a clear attack against Christians. If this bill proceeds in this way, it would be a point of major concern in our bilateral relationship with India,” he added.

What is FCRA Amendment?

The Foreign Contribution (Regulation) Amendment Bill, 2026, seeks to establish a Designated Authority tasked with overseeing foreign contributions and assets acquired through such capital in instances where an entity’s FCRA registration stands cancelled, surrendered or lapsed.

The proposed legislation explicitly mandates that if such assets comprise a place of worship, the Designated Authority is required to maintain its religious character intact. Furthermore, it seeks to scale down the maximum penalty for statutory violations from five years’ imprisonment to one year.

The FCRA framework governs the intake and utilisation of overseas funding across non-governmental organisations, charitable entities, academic institutions, religious trusts and affiliated bodies. Home Ministry figures indicate that 13,520 entities received foreign remittances totalling ₹55,741 crore between 2019 and 2022.

Opposition up in arms

Opposition parties in India have expressed concerns over the amendments. Describing the proposed law as ‘completely unconstitutional,’ AICC General Secretary K C Venugopal claimed that the Foreign Contribution Regulation Amendment (FCRA) Bill would harm NGOs and community organisations, particularly those run by minority communities.

Trinamool Congress MP Derek O’Brien has called the Bill ‘draconian’ and sought an All-Party Meeting to discuss it.

In a letter to Prime Minister Narendra Modi, O’Brien said the proposed legislation could result in “excessive executive control” over NGOs and other organisations working in areas such as education and healthcare.

What did the Government say?

The government said the legislation that seeks to amend the Foreign Contribution (Regulation) Act, 2010 intends to regulate the receipt and use of foreign donations by NGOs, charitable trusts and other organisations in India.

The government argues that the changes are necessary to address evolving financial risks, improve transparency and ensure that foreign funding is utilised only for lawful purpose.

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