The Kerala Assembly has approved a resolution urging the Centre to withdraw the proposed amendments to the Foreign Contribution (Regulation) Act (FCRA) and the Foreign Contribution (Regulation) Amendment Rules, 2026. The resolution, passed with 111 votes in favor and two against, saw the BJP as the sole dissenting voice. BJP member V. Muraleedharan’s proposed amendments were rejected before the original motion was adopted.
Chief Minister V.D. Satheesan highlighted that the amendments could lead to increased central control over voluntary organizations and NGOs, impacting the autonomy of civil society institutions. The changes are feared to particularly affect organizations involved in welfare, healthcare, education, and disaster relief in Kerala, where they complement government services.
The resolution argues against the amended Rules that restrict organizations to specific activity sectors, impose new registration requirements for operations beyond the state of registration, and delay project implementation by linking foreign funding release to utilization verification. It also criticizes provisions mandating disclosure of personal social media accounts of office-bearers as an intrusion into privacy.
The Assembly expressed concerns over provisions making trustees and directors personally liable for violations, potentially discouraging professionals from engaging in the voluntary sector. Additionally, the Assembly warned against the broad powers granted to a designated authority to take over assets funded by foreign contributions if an organization’s FCRA registration is revoked.
