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FCRA-Registered NGOs Fall 50%, Foreign Funding Rises to ₹22,974 Crore

India CSR by India CSR
September 20, 2026
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Active FCRA registrations declined from 29,022 in 2015 to 14,466, while foreign contributions increased nearly 29% over nine years.

NEW DELHI: (India CSR) The number of active non-governmental organisations registered under the Foreign Contribution (Regulation) Act has declined by more than 50% over the past decade, even as annual foreign funding received by registered organisations increased to Rs. 22,974 crore in 2024-25.

According to data presented by the Ministry of Home Affairs before a Joint Parliamentary Committee, India currently has 14,466 active FCRA-registered NGOs, compared with 29,022 in 2015. This represents a decline of approximately 50.2% in active registrations.

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During the same period, annual foreign contributions increased from Rs. 17,832 crore in 2015-16 to Rs. 22,974 crore in 2024-25—an increase of Rs. 5,142 crore, or nearly 28.8%.

The figures indicate a significant transformation in India’s foreign-funded development sector: fewer organisations now hold active FCRA registrations, but the overall volume of foreign contributions has continued to grow.

Key FCRA Facts

IndicatorReported figure
Active FCRA-registered NGOs in 201529,022
Active FCRA-registered NGOs currently14,466
Decline in active registrations50.2%
Foreign contributions in 2015-16₹17,832 crore
Foreign contributions in 2024-25₹22,974 crore
Growth in annual foreign funding28.8%
Unutilised foreign contributions₹35,968 crore
FCRA registrations cancelled so far21,983
Largest source countryUnited States
State/UT receiving the highest amountDelhi

Tamil Nadu Has Most Registered Associations

Tamil Nadu has the largest number of active FCRA associations, with 2,102 organisations. Maharashtra follows with 1,578 associations, while Karnataka has 1,355.

Delhi has 1,218 active associations, Andhra Pradesh has 1,022 and Kerala has 1,013.

Under the FCRA, associations intending to receive foreign contributions for cultural, economic, educational, religious or social programmes are required to obtain registration or prior permission from the Union government. The Ministry of Home Affairs is the nodal authority responsible for administering the law.

The regulatory framework is intended to ensure that foreign contributions are accepted and utilised only for approved purposes. Registered organisations are also required to maintain prescribed accounts and submit annual returns containing details of receipts and utilisation.

The governing legislation and compliance requirements are available through the Foreign Contribution (Regulation) Act, 2010.

The government has so far cancelled FCRA registration of 21983 NGOs — 91.3 per cent for not filing annual returns, 7.9 per cent for being inactive, 0.4 per cent for legal violations.

United States Remains Largest Funding Source

The United States emerged as the largest source of foreign contributions to India in 2024-25, accounting for Rs. 12,113 crore. This represented more than half of the total foreign funding received during the financial year.

The United Kingdom ranked second with contributions of Rs. 2,414 crore, followed by Germany at Rs. 1,782 crore. Switzerland contributed ₹733 crore, while Singapore accounted for ₹669 crore.

These five countries together contributed a substantial share of India’s total foreign inflows to FCRA-registered organisations. The figures also underline the continuing importance of international philanthropic foundations, charitable institutions and development agencies in financing social-sector programmes in India.

Foreign contributions support activities across education, healthcare, livelihood development, humanitarian relief, research, environmental protection, disability inclusion and community development. However, all such funding remains subject to statutory reporting and utilisation requirements.

Delhi Receives Highest Foreign Contribution

Delhi received the highest amount of foreign contribution among states and Union territories, at Rs. 5,834 crore. Karnataka followed with Rs. 3,164 crore, Maharashtra with Rs. 2,385 crore and Tamil Nadu with Rs. 2,313 crore.

The concentration of foreign funding in Delhi may partly reflect the presence of national headquarters, large charitable institutions, research bodies and development organisations operating programmes across multiple states.

The data presented before the parliamentary committee also classified contributions received by different categories of associations. Religious associations received Rs. 5,150 crore in 2024-25.

Among the reported categories, Christian associations received Rs. 1,345 crore, Hindu organisations Rs. 328 crore, Buddhist organisations Rs. 51 crore and Muslim organisations ₹19 crore. Organisations classified as non-religious associations under the cited data received Rs. 60 crore.

Christian associations accounted for the largest reported share among such organisations in Kerala, Tamil Nadu and Karnataka. Hindu organisations had the largest reported share in Gujarat, Delhi and Tamil Nadu.

State-Wise FCRA-Registered NGOs and Foreign Contributions

RankState/Union TerritoryActive FCRA AssociationsForeign Contributions in 2024–25
1Tamil Nadu2,102₹2,313 crore
2Maharashtra1,578₹2,385 crore
3Karnataka1,355₹3,164 crore
4Delhi1,218₹5,834 crore
5Andhra Pradesh1,022Not specified
6Kerala1,013Not specified

₹35,968 Crore Remains Unutilised

A significant issue emerging from the data is the volume of foreign contributions that remained unutilised. The Ministry informed the committee that Rs. 35,968 crore was unspent at the end of 2024-25—about 56.6% higher than the foreign contribution received during that financial year.

Of this amount, Rs. 21,140 crore was held in fixed deposits, accounting for nearly 59% of the total unutilised funds. Another Rs. 8,394 crore was maintained in utilisation accounts, while Rs. 6,377 crore remained in designated FCRA accounts.

The large accumulated balance may include funds received over multiple financial years for continuing or long-term projects. Nevertheless, the figure is likely to intensify the policy debate over timely deployment, project implementation, financial reporting and the measurable social impact of foreign-funded programmes.

For development organisations, the data highlights the importance of linking fund mobilisation with realistic implementation capacity, clearly defined outcomes and transparent public reporting.

Funding Concentrated Among Limited NGOs

Foreign contributions were also unevenly distributed among registered organisations between 2022 and 2024.

One NGO reportedly received more than Rs. 500 crore during this period. Fourteen organisations received between Rs. 100 crore and Rs. 500 crore, while 294 NGOs received between Rs. 10 crore and Rs. 50 crore.

At the lower end, 4,508 organisations received between Rs. 5 lakh and Rs. 50 lakh. The pattern suggests that although thousands of organisations are registered, a comparatively small group handles a significant portion of the overall foreign contribution flowing into the country.

This concentration creates a greater responsibility for large recipient organisations to demonstrate strong governance, effective programme delivery, financial transparency and independently verifiable impact.

Nearly 22,000 Registrations Cancelled

The government has cancelled the FCRA registrations of 21,983 NGOs so far. According to the figures placed before the committee, 91.3% of these cancellations were linked to failure to file mandatory annual returns.

Another 7.9% were attributed to inactivity, while 0.4% involved reported legal violations. The data suggests that non-compliance with annual reporting requirements—not only allegations of misuse—has been the principal reason for the cancellation of registrations.

The Ministry of Home Affairs publishes annual reports and administrative information covering internal security and regulatory matters, including the administration of foreign contributions.

Parliamentary Panel Examines Amendments

The figures were presented during a meeting of the 31-member Joint Parliamentary Committee headed by Bharatiya Janata Party MP Sanjay Jaiswal. Union Home Secretary Govind Mohan and other ministry officials briefed members on the objectives and likely implications of the proposed FCRA amendments.

The bill was introduced in the Lok Sabha on March 25, 2026, and referred to the parliamentary committee on August 12 following demands for detailed scrutiny. The committee is expected to submit its report before the Winter Session of Parliament.

Opposition members have expressed concern over a proposed provision that could allow a government-designated authority to permanently take control of the assets of organisations whose registrations are cancelled or surrendered, or which cease to operate.

They have argued that certain provisions may disproportionately affect minority-run welfare, educational and religious institutions. The government has rejected these allegations, maintaining that the proposed framework is not religion-specific and is intended to prevent misuse, improve transparency and ensure proper utilisation of foreign contributions.

Compliance and Impact Become Central

The latest figures present two contrasting developments. India has witnessed a sharp contraction in the number of active FCRA-registered organisations, but the total value of foreign contributions has continued to rise.

For the NGO sector, the trend reinforces the need for timely annual returns, transparent governance, stronger financial controls and outcome-based reporting. For policymakers, it raises important questions about proportional regulation, procedural fairness, institutional autonomy and the effective use of accumulated funds.

The emerging FCRA framework will shape not only how foreign funds enter India but also how thousands of organisations plan, implement and report their work in education, healthcare, livelihoods and community development.

MPs raised objections over a provision of the bill

Sources said many opposition MPs raised objections over a provision of the bill under which an authority designated by the government will permanently take over the assets of those NGOs which have their registrations cancelled, have surrendered, or have ceased to function.

The bill was introduced in the Lok Sabha on March 25 this year and referred to the JPC on August 12 following consistent demand of the opposition parties which also alleged that certain provisions of the legislations were highly objectionable.

The JPC has 31 member committee and two special invitees.

Opposition parties, which have raised strong objections to the FCRA Bill, alleged that it targets minorities as certain provisions will choke legitimate funding for Christian NGOs and minority-run social welfare and educational institutions.

The government has rejected the charges and challenged the opposition parties to identify even one provision that discriminates against minorities. The government has also maintained that the proposed legislation is not religion-specific and is aimed at regulating foreign contributions.

While introducing the bill in Lok Sabha, Union Minister of State for Home Nityanand Rai had said the legislation aims to enhance transparency and ensure proper utilisation of funds received from abroad.

Countering the opposition’s charges that the bill is “dangerous”, Rai had asserted that it is “indeed dangerous” for those who engage in “forced religious conversion” using foreign contributions, as well as to individuals who “abuse foreign funding” for personal gain. 

Tags: FCRA
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