DMPQ-. Explain how Foreign Contribution (Regulation) Bill (FCRA) 2020 is going to affect India’s NGO sector.

. The Foreign Contribution (Regulation) Bill (FCRA) 2020, passed by the Rajya Sabha on Wednesday and the Lok Sabha a day earlier, puts many question marks on the viability of NGOs at a time when the country especially requires robust civil society organisations and networks to deal with a range of challenges including the ravages of the COVID-19 pandemic. The government claims that its aim is to bring about transparency in the working of non-profits. That is an unexceptionable goal, and questions relating to financial propriety have, indeed, been asked of some NGOs. However, some of the provisions of the Bill that now awaits the President’s approval — capping the administrative expenses of non-profits at 20 per cent of their foreign donations, requiring them to have a State Bank of India account at a Delhi Branch, prohibiting the transfer of grants received under FCRA to any other outfit and sweeping powers to the Ministry of Home Affairs to cancel the FCRA certificate of an NGO — speak of the Centre’s mistrust of the entire civil society sector. These clauses could make almost any non-profit vulnerable to harassment and shrink the already embattled space for civil society activity in the country.

NGO activity is not just about philanthropy. Their engagement with people at the grass roots level acquaints civil society workers with the deficiencies of government programmes, and often makes them ask difficult questions — about discrimination, marginalisation, violation of constitutional rights, human dignity. Such interventions and criticisms are crucial to a humane society. In fact, civil society initiatives have informed some of the path-breaking laws in the country, including the Environmental Protection Act, Right to Education Act, Forests Rights Act and Right to Information Act. To hobble such activism, by burdening it with distrust and suspicion, does a disservice to democracy.



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