Catholic bishops say foreign funding law threatens NGOs, minorities

CBCI warns proposed foreign funding law changes could tighten state control, threaten NGOs and minority institutions, and undermine democratic principles, transparency and constitutional freedoms across India.

NEW DELHI (Indian Catholic News) — The Catholic Bishops’ Conference of India has warned that proposed changes to India’s foreign funding law could lead to increased state control over civil society groups and minority-run institutions.

In a March 26 statement on the Foreign Contribution Regulation Amendment Bill, the CBCI said the measures could result in “undue interference in the functioning of minority institutions and civil society organizations.”

“Under the pretext of license renewal, the proposed amendment risks enabling executive overreach into the constitutionally guaranteed freedoms of minorities,” it said.

The Foreign Contribution Regulation Amendment Bill, 2026, (FCRA) was introduced in the Lok Sabha by Nityanand Raion, Minister of State for Home Affairs, on March 25 and aims to tighten oversight of foreign-funded organisations and create a new authority to take over assets of nonprofits that lose their licences.

The bishops expressed concern that such regulatory controls on organisations dependent on foreign funding would potentially affect their independence.

“The attempt to bring minority institutions under an excessively stringent regulatory framework is viewed with deep concern, as it undermines democratic principles,” the statement said.

The CBCI also criticised provisions allowing the government to assume control over NGO resources.

“Provisions enabling the Centre to take control of the foreign funds and assets of NGOs upon the expiry of their FCRA registration are undemocratic, unconstitutional, and contrary to the principles of natural justice,” it said.

The conference said the amendment could reshape how civil society operates in India, particularly for groups working in education, health care and social services.

It also pointed to the lack of consultation before the bill’s introduction, noting it was brought forward “despite protests from opposition Members of Parliament.”

The CBCI called for a review of the proposed law, urging the government to protect fundamental rights and ensure that organisations can function without excessive state interference.

It appealed for the removal of “all contentious provisions from the bill,” warning that failure to do so could weaken democratic safeguards and civil society space.

Read the full statement.