Religious Freedom

FCRA: the law that decides who may receive foreign donations.

No organization in India can receive money from abroad without a licence from the federal government. More than 22,000 have already lost that licence — among them schools, hospitals and Christian missions.

Illustration: old safe slightly open on an office desk, with a ledger beside it

The FCRA — Foreign Contribution (Regulation) Act — defines who in India may receive money from abroad and under what conditions. The first version dates from 1976; the current law is from 2010, was tightened in 2020 and may change again in 2026. For churches, Christian schools, hospitals and missions that rely on partners abroad, it is today one of the biggest sources of insecurity.

14,449

organizations with an active FCRA licence (Jul/2026)

22,498

licences cancelled

20%

cap on administrative spending of foreign funds, since 2020

What the law requires

  • Prior licence. Only organizations registered under the FCRA may receive foreign donations, and the licence must be renewed every five years.
  • A single account in New Delhi. Since 2020, all foreign money must first arrive in a designated State Bank of India account in New Delhi.
  • Ban on sub-granting. The receiving organization may no longer pass funds on to another entity — which dismantled the way many church and mission networks worked, with a larger organization supporting smaller local partners.
  • Administrative cap. At most 20% of foreign money may go to administrative expenses (previously 50%).
  • Restricted use. In 2026, new guidelines banned the use of foreign donations for direct evangelism and church planting.

The cancelled licences

According to the official FCRA portal, compiled by PRS Legislative Research, in July 2026 there were 14,449 active licences, 22,498 cancelled and 15,212 expired without renewal. 2015 saw the largest cut, with more than 10,000 cancellations at once — most for failing to file annual returns. But the list also includes well-known organizations, and the impact on Christian entities was large: in 2017, for example, Compassion International ended its programs in India after its transfers were blocked. In West Bengal, historic Christian institutions report cancelled FCRA accounts over the past three years.

What the 2026 bill would change

The amendment bill introduced in Parliament in March 2026 creates an authority empowered to take over, manage and sell assets built with foreign money when an organization's licence is cancelled, surrendered or not renewed. For churches and schools built over decades with help from partners abroad, that means the possibility of losing the building itself. As of August 2026, the bill was still under debate, and new FCRA rules had been in force since June.

Why this matters for those who want to help

The FCRA does not forbid a Christian from another country to pray, visit or teach. It regulates money. That is why anyone supporting work in India needs to know how that support gets there: sending funds to an Indian organization without an FCRA licence can expose the local partner to prosecution and the loss of everything it has built. Before giving, it is worth asking the mission how it handles this law — and being wary of anyone who cannot answer.

Pray with us

Those who live this need prayer — and training

Get real prayer requests for India every month, or learn about the project translating a theology course for Indian pastors.

Subscribe to the newsletter Learn about the project