The Ministry of Home Affairs has cancelled the Foreign Contribution Regulation Act (FCRA) licence of 20,000 NGOs. Currently there are about 33,000 NGOs operating with a valid FCRA licence, which can accept funding from any foreign source. After the cancellation of FCRA licence, a total of 13,000 NGOs will be allowed to operate with the licence. Earlier in December, the licences of these 13,000 NGOs were renewed through an online system. The non-renewal of FCRA licence to about 20,000 NGOs is a historic step towards a massive cleanup of the system as a huge number of NGOs were functioning with foreign funds and were involved in activities against the interest of the nation.

In 2014, an Intelligence Bureau report had suggested that the negative impact of these NGOs on Indian economy is around 2-3 % of the GDP. Find the entire PDF of IB report on these NGOs by clicking here.

FCRA act was amended in 2011 and the new law put a restriction of 50 percent on the amount of foreign funds that any NGO could use for administrative expenses. This was a major step to monitor and regulate the expenses of NGOs which are receiving funds from foreign sources. Soon after Narendra Modi became the Prime Minister, he openly declared a war on the errant and corrupt NGOs which are in forefront of activities detrimental to the nation. These NGOs are involved in derailing infrastructure projects, sabotaging projects related to electricity & power generation, construction of dams & canals for benefits of rural areas and working against various aspects of development. A large number of NGOs are also involved in religious conversion – either by enticement or by force. Most of the NGOs involved in religious conversions get their funds from US or Europe based missionary organisations, or Gulf based Islamic organisations. Some of the NGOs are involved in funding terrorism, insurgency and maoists in various states of India to achieve their nefarious aims.

The Home Ministry had already asked the NGOs to submit their sources of fundings, the details and expenses incurred. Those NGOs which failed to clear the test and have suspicious transactions and are involved in activities which are against the “national interest” and “economic interests” of the country have been denied the renewal of licences under FCRA. Many NGOs receive hundreds of crores of foreign funds to derail various infrastructure projects, encourage religious conversions and damage the social fabric by indulging in various unlawful activities. In November, the licence of Zakir Naik’s foundation was cancelled. However, in December, an online error led to renewal of the organisation’s licence. As on now, the FCRA licence of Naik’s foundation remains cancelled.

This historic step of cleaning India by getting rid of the NGOs which are one of the key perpetrators of anti-India activities, at both social and economic levels, will definitely lead to the rise of “intolerance brigade” which are handsomely paid through the foreign funding of these NGOs. The attack on the foreign funding of NGOs is an attack on the soul of all the anti-India activities going on in the country and will take the nation to a greater heights. Well done Home Ministry !


Kshitij Mohan

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