In recent years, India has enacted a number of regulatory measures constricting funding for domestic non-profit organizations, the most well-known of which is the Foreign Contribution (Regulation) Act (FCRA).
The FCRA was originally enacted in 1976, and significantly revised in 2010. It creates registration requirements and spending restrictions on Indian nonprofit organizations receiving foreign donations. The most recent 2020 amendments of the FCRA brought in additional restrictions, banning subgranting among FCRA-registered organizations, setting a severe cap on administrative spending, and further centralizing control of FCRA funding with the State Bank of Delhi and the Ministry of Home Affairs.
The FCRA represents a securitized approach to foreign funding that is out of step with international standards. It has obstructed humanitarian relief efforts in India during the recent COVID-19 surge and other disasters.