The Coalition submitted a letter on behalf of networks of domestic non-profit organizations addressing the FATF President and Executive Secretary, raising concerns about the proposed 2026 amendments to India’s Foreign Contribution Regulation Act (FCRA). The proposed changes would significantly expand government control over nonprofit organizations, including provisions allowing authorities to assume control over assets created with foreign contributions in cases of registration cancellation or non-renewal.

The Coalition warns that, given the already significant reduction in the number of FCRA-registered organizations—from 42,529 in 2014 to 14,461 in 2026 (a decline of approximately 65%), alongside the cancellation of more than 22,000 NPO licenses, the proposed amendments could further constrain an already limited civic space. They may also affect a wide range of charitable, humanitarian, and religious organizations, exposing community assets such as schools, clinics, shelters, and places of worship to state control. Concerns are also raised regarding compliance with international legal standards related to property rights, due process, and freedom of association.

The Coalition calls on FATF and its members to encourage the Government of India to withdraw or substantially revise the proposed amendments, ensure meaningful consultation with civil society, and strengthen alignment with FATF Recommendation 8’s risk-based and proportionate approach to nonprofit regulation.

Read the full letter here.