In a significant move to enhance regulatory compliance, the Union Ministry of Home Affairs (MHA) recently instructed all non-governmental organizations (NGOs) to proactively submit their applications for the renewal of Foreign Contribution (Regulation) Act (FCRA) registration at least four months prior to its expiry date.
This FCRA registration is a mandatory requirement, renewed every five years, enabling NGOs and various associations to legally receive funds from foreign sources.
The Ministry’s communication highlighted a recurring issue: many organizations have been submitting their renewal requests less than 90 days before their certificates lapse. The MHA pointed out, “Such delayed submissions do not allow sufficient time for thorough scrutiny and for obtaining necessary inputs from security agencies before the validity expires.”
This often leads to a situation where “certificates are deemed to have ceased on expiry while renewal applications remain pending.” Consequently, affected associations face severe limitations, being unable to receive or utilize foreign contributions until their renewal is officially granted, which inevitably disrupts their vital ongoing activities.
Therefore, NGOs are now “strictly advised to submit their renewal applications well in advance and, in any case, not later than four months before the expiry of their certificate.” This measure is designed to “facilitate timely processing and disposal of their applications, and avoid disruption in their activities.”
As of the recent count, a total of 16,192 associations and NGOs currently hold active FCRA registrations across India.