The Hindu Editorial Today 21 September 2026
UPSC CSE & State PSC | The Hindu Editorial Daily Intelligence (21 September 2026)
GS Paper II Governance & Civil Society NGO Regulations & FCRA

India's NGOs at a New Funding Crossroads: Foreign Contribution Regulation Act FCRA Amendment Bill 2026 and NGO Philanthropy Regulations

Prelims: FCRA 1976/2010/2020/2026, MHA Registration, CSR Section 135 Mains: Civil Society Autonomy, State Surveillance, Domestic Philanthropy Gap State PSC: Non-Profit Governance & Social Development
1 Key Provisions of the Proposed FCRA Amendment Bill 2026

Authoritative Analysis by Philanthropy Expert Pushpa Sundar

  • Asset Vesting Mandate: Under the proposed Foreign Contribution Regulation Act FCRA Amendment Bill 2026 and NGO Philanthropy Regulations, if an FCRA certificate is cancelled, surrendered, or automatically lapses, all foreign contributions and created assets will vest in a government-appointed “designated authority”.
  • Permanent Confiscation: If registration is not restored within a prescribed period, assets permanently vest in the government or will be liquidated, with proceeds directed into the Consolidated Fund of India.
  • Appeal Mechanism: The Bill provides a statutory route for revision and an appeal before the District Judge.
  • Shrinking Registered Base: Since 2015, FCRA registrations of 22,496 NGOs have been cancelled, leaving only 14,466 active associations eligible to receive foreign aid as of September 2026.
14,466
Active FCRA NGOs (Sep 2026)
₹1.43 L Cr
Private Philanthropy (FY25)
₹22,563 Cr
CSR Spending (FY25)
2 Foreign Aid Decline vs The Domestic Philanthropic Landscape
Funding Stream Current Trajectory & Scale Structural Limitations & Sectoral Impact
Foreign Contributions (FCRA) Global donors retreating due to domestic economic woes and perception of India as a rising global economic powerhouse. Loss of flexible, high-risk, grassroots capacity-building funding that pioneered civil society innovation under Foreign Contribution Regulation Act FCRA Amendment Bill 2026 and NGO Philanthropy Regulations.
Ultra-HNWIs & Tech Philanthropy India ranks 3rd globally with 229 billionaires; private philanthropy reached ₹1.43 lakh crore in FY25. Donors heavily pivot towards higher education, complex tech institutions, and climate tech, neglecting grassroots welfare, healthcare, and primary education.
Corporate CSR (Companies Act 2013) CSR spending rose 17.5% to ₹22,563 crore in FY25 (CRISIL report). Corporates prefer short-term quantifiable projects aligned with corporate PR rather than core institutional support for advocacy and remote tribal regions.
3 Bridging the Funding Abyss: The Road Ahead

The Looming ₹18 Lakh Crore Deficit

Bain & Company projects India's social sector funding gap could touch ₹18 lakh crore ($210B) by 2030, necessitating a non-adversarial regulatory approach under Foreign Contribution Regulation Act FCRA Amendment Bill 2026 and NGO Philanthropy Regulations.

Reimagining Indigenous Giving

Domestic philanthropy must adopt the professional flexibility of international foundations, providing multi-year unconstrained grants to sustain vibrant democratic checks and balances.

A vibrant and autonomous civil society is indispensable for Indian democracy, demanding balanced enforcement of Foreign Contribution Regulation Act FCRA Amendment Bill 2026 and NGO Philanthropy Regulations.

✎ Prelims Practice Question
Q1. With reference to the Foreign Contribution (Regulation) Act (FCRA) and non-profit governance in India, consider the following statements:

1. The Ministry of Home Affairs (MHA) is the nodal ministry administering FCRA registrations and renewals.
2. Under FCRA amendments, non-governmental organisations are strictly prohibited from transferring foreign funds to other registered NGOs.
3. Corporate Social Responsibility (CSR) funds contributed by Indian companies under Section 135 of the Companies Act, 2013 are legally classified as foreign contributions under FCRA.

Which of the statements given above is/are correct?
  • A) 1 and 2 only
  • B) 2 and 3 only
  • C) 1 and 3 only
  • D) 1, 2 and 3
Correct Answer: A — 1 and 2 only

Statement 3 is incorrect because domestic CSR contributions by Indian registered companies are treated as domestic non-profit donations and do not fall under FCRA regulations unless contributed by a foreign-owned entity. Statements 1 and 2 are correct.

🏆 UPSC CSE Prelims 2021 (Official Question)
Q. With reference to the Indian economy, consider the following statements regarding Corporate Social Responsibility (CSR):

1. Section 135 of the Companies Act, 2013 mandates companies with a specified net worth, turnover, or net profit to spend at least 2% of their average net profits on CSR.
2. The CSR rules in India allow companies to carry forward excess CSR spending for set-off in succeeding financial years.

Which of the statements given above is/are correct?
A) 1 only
B) 2 only
C) Both 1 and 2
D) Neither 1 nor 2
  • A) 1 only
  • B) 2 only
  • C) Both 1 and 2
  • D) Neither 1 nor 2
Correct Answer: C — Both 1 and 2

Both statements are correct. The Companies (Amendment) Act allows excess CSR spending beyond the mandated 2% to be set off against CSR obligations for up to three succeeding financial years.

UPSC CSE Mains 2021 — GS Paper II (Official Question)

“Can Civil Society and Non-Governmental Organisations present an alternative model of public service delivery to benefit all sections of society? Discuss the challenges faced by them.” (15 Marks | 250 Words)

Mains Model Blueprint (15 Marks | 250 Words)

“Critically examine how legislative tightenings under the FCRA impact civil society autonomy and evaluate the potential of domestic philanthropy to bridge India's developmental funding deficit.”
Key Answer Framework
  • Introduction: Contextualise Foreign Contribution Regulation Act FCRA Amendment Bill 2026 and NGO Philanthropy Regulations, highlighting the drop in active FCRA registrations to 14,466.
  • National Security vs Civil Autonomy: Government concerns over unmonitored foreign influence versus the chilling effect on grassroot schools, tribal health, and advocacy organisations.
  • Domestic Philanthropic Transition: Rise in UHNWI giving (₹1.43L Cr) and CSR (₹22,563 Cr), contrasting with elite biases towards higher education over grassroot welfare.
  • Way Forward: Clear regulatory predictability, non-discriminatory vesting rules, transparent appellate timelines, and fostering flexible domestic endowment grants.
FCRA 2026 Civil Society CSR Section 135 Philanthropy Gap
GS Paper II & III Bilateral Trade & Treaties Intellectual Property Rights

The Copyright Stakes in the EU FTA: India EU Free Trade Agreement Intellectual Property Chapter and Digital Copyright Flexibilities

Prelims: WCT 1996, TRIPS, Copyright Act 1957 (Sec 52, 65A), Safe Harbour Mains: TRIPS-Plus Standards, Digital Sovereignty, DU Photocopy Case Precedent State PSC: Trade Agreements & Cyber Law
1 The Structural Asymmetry in Draft IP Chapter

Expert Analysis by Prof. Zakir Thomas & Prof. Biswajit Dhar

  • Omission of WCT from National Treatment: While the draft IP Chapter enforces obligations on Technological Protection Measures (TPMs) and Rights Management Information, it deliberately excludes the WIPO Copyright Treaty (WCT) from the National Treatment clause (Article 10.8).
  • Loss of Digital Exceptions: By omitting WCT from National Treatment, foreign rightsholders can challenge digital fair dealing and educational exceptions under the India EU Free Trade Agreement Intellectual Property Chapter and Digital Copyright Flexibilities framework.
  • TRIPS-Plus Encroachment: The draft borrows the narrow EU “three-step test” (Article 10.21), jeopardising broad public interest exceptions established under Section 52 of India's Copyright Act, 1957.
  • Chilling Effect on Research: Under Section 65A, circumventing digital locks for lawful purposes (security testing, reverse engineering, academic archiving) is permitted; strict EU clauses could turn researchers into legal offenders.
Sec 52
Fair Dealing Protections
Sec 65A
TPM Circumvention Safeguards
Rule 75
ISP Intermediary Safe Harbour
2 Threat to Classrooms, Libraries, and Internet Service Providers

Academic & Public Archives at Risk

Overruling landmark Indian jurisprudence like the DU Photocopy Case, foreign publishers could lock educational materials behind DRM paywalls without fair-use bypass rights.

Intermediary Safe Harbour Dilution

Granting unqualified rights over “temporary reproductions” exposes Indian ISPs and cloud caches to direct copyright infringement lawsuits during routine data transmission.

3 Negotiating Strategy: Defending India's Digital Knowledge Commons

1. Restore WCT to National Treatment

Ensure WCT Article 10 flexibilities apply equally to protect public interest exceptions.

2. Preserve Section 65A

Maintain exemptions allowing security audits and reverse engineering without criminal liability.

3. Protect Transient Caching

Safeguard Section 52(1)(b) statutory safe harbours for digital intermediaries and ISPs.

4. Resist TRIPS-Plus

Preserve Parliament's sovereign mandate in setting digital policy under India EU Free Trade Agreement Intellectual Property Chapter and Digital Copyright Flexibilities.

India's digital rise requires open access to knowledge, ensuring that trade deals do not compromise India EU Free Trade Agreement Intellectual Property Chapter and Digital Copyright Flexibilities.

✎ Prelims Practice Question
Q2. With reference to the WIPO Copyright Treaty (WCT) and Indian Copyright Law, consider the following statements:

1. The WCT is a special agreement under the Berne Convention that deals with the protection of works and rights of authors in the digital environment.
2. India acceded to the WIPO Copyright Treaty (WCT) and the WIPO Performances and Phonograms Treaty (WPPT) in 2018.
3. Section 52 of the Indian Copyright Act, 1957 makes any unauthorized reproduction of copyrighted text for educational research a strictly non-bailable criminal offense.

Which of the statements given above is/are correct?
  • A) 1 and 2 only
  • B) 2 and 3 only
  • C) 1 and 3 only
  • D) 1, 2 and 3
Correct Answer: A — 1 and 2 only

Statement 3 is incorrect because Section 52 specifically outlines 'Fair Dealing' exceptions that protect reproduction for private study, research, criticism, review, and educational purposes. Statements 1 and 2 are correct.

🏆 UPSC CSE Prelims 2019 (Official Question)
Q. Consider the following statements:

1. According to the Indian Patents Act, a biological process to create a seed cannot be patented in India.
2. In India, there is no Intellectual Property Appellate Board (IPAB).
3. Plant varieties are not eligible to be patented in India.

Which of the statements given above are correct?
A) 1 and 3 only
B) 2 and 3 only
C) 1 and 2 only
D) 1, 2 and 3
  • A) 1 and 3 only
  • B) 2 and 3 only
  • C) 1 and 2 only
  • D) 1, 2 and 3
Correct Answer: D — 1, 2 and 3

All statements are correct. Section 3(j) excludes seeds and biological processes from patentability (protected separately under PPV&FR Act, 2001), and the IPAB was abolished in 2021 with powers transferred to High Courts.

UPSC CSE Mains 2022 — GS Paper III (Official Question)

“In a globalized world, Intellectual Property Rights (IPR) have assumed immense significance. Discuss how India can balance its international trade commitments with public interest requirements in the digital era.” (15 Marks | 250 Words)

Mains Model Blueprint (15 Marks | 250 Words)

“Examine the concerns surrounding TRIPS-Plus provisions in the India-EU FTA intellectual property chapter, specifically regarding digital fair dealing and technological protection measures.”
Key Answer Framework
  • Introduction: Define the core friction in India EU Free Trade Agreement Intellectual Property Chapter and Digital Copyright Flexibilities, highlighting the omission of WCT from National Treatment.
  • Threats to Knowledge Access: How European three-step test and rigid TPM rules undermine Section 52 fair dealing and Section 65A security research exemptions.
  • Intermediary Liability Concerns: Impact on transient RAM copies and ISP safe harbours under Rule 75 of Copyright Rules, 2013.
  • Policy Recommendations: Re-insert WCT in National Treatment, protect public interest digital format shifting, and ringfence educational exceptions established in the DU Photocopy ruling.
India-EU FTA WCT 1996 Section 52 Section 65A TPM TRIPS-Plus
GS Paper I & II Indian Polity & Governance Linguistic Rights & Culture

What Does Tulu's New Official Language Status Mean? Tulu Language Additional Official Status Article 345 and Eighth Schedule Constitutional Provisions

Prelims: Article 345, 347, Eighth Schedule, Dravidian Language Family Mains: Linguistic Federalism, Minorities Protection, Eighth Schedule Criteria State PSC: Karnataka Official Language Act 1963
1 The Cabinet Decision & Administrative Scope

Ground Report by Raviprasad Kamila

  • Cabinet Resolution: Karnataka Cabinet accorded additional official (administrative) language status to Tulu in Dakshina Kannada and Udupi districts (Tulunadu region).
  • Grassroots Governance: Elected representatives in gram panchayats, taluk/zilla panchayats, and urban local bodies can conduct proceedings in Tulu under Tulu Language Additional Official Status Article 345 and Eighth Schedule Constitutional Provisions.
  • Bilingual Notifications: Government circulars and orders in these two districts will be published in Tulu alongside Kannada, and citizens can submit petitions in Tulu.
  • Budgetary Commitment: The state government will release ₹82 lakh annually for translations, administrative training, and glossary development.
Art 345
State Official Language Power
2 Districts
Dakshina Kannada & Udupi
₹82 Lakh
Annual State Allocation
2 Constitutional & Statutory Roadmap under Article 345
Constitutional Dimension Statutory Requirement Administrative Precedents
Article 345 of Constitution Empowers State Legislature to adopt by law one or more regional languages in use in the State for all or any official purposes. Cabinet decision alone is insufficient; Karnataka Legislature must enact an amendment to Section 2 of the Karnataka Official Language Act, 1963.
Telugu / Urdu Precedent Andhra Pradesh and Telangana amended their Official Language Acts to grant Urdu additional official language status across specific districts. Karnataka committee headed by K.M. Gayatri studied the AP model to design the Tulu legislative framework.
Eighth Schedule Demand Recognition under Tulu Language Additional Official Status Article 345 and Eighth Schedule Constitutional Provisions creates momentum for national recognition in the Eighth Schedule. Provides Sahitya Akademi representation, UPSC examination options, and central developmental funding.
3 Linguistic Heritage & Academic Integration

Independent Dravidian Root

Recognised as an independent language by Census of India; one of the oldest Dravidian languages with rich oral literature (Paddanas) and distinct script (Tigalari / Tulu script).

School Curricular Presence

Taught as a 3rd optional language for Classes 6-10 since 2010-11, requiring higher academic funding to revive post-graduate and degree programs.

Fulfilling cultural aspirations while preserving state linguistic harmony illustrates the vibrant federalism of Tulu Language Additional Official Status Article 345 and Eighth Schedule Constitutional Provisions.

✎ Prelims Practice Question
Q3. With reference to the Constitutional provisions regarding Official Languages in India, consider the following statements:

1. Under Article 345, the Legislature of a State may by law adopt any one or more languages in use in the State or Hindi as the language for official purposes.
2. The Constitution mandates that a language must first be included in the Eighth Schedule before a State Legislature can declare it an official language.
3. Article 347 empowers the President to direct that a language spoken by a substantial proportion of the population of a State shall also be officially recognized throughout that State.

Which of the statements given above is/are correct?
  • A) 1 and 3 only
  • B) 1 and 2 only
  • C) 2 and 3 only
  • D) 1, 2 and 3
Correct Answer: A — 1 and 3 only

Statement 2 is incorrect because Article 345 allows State Legislatures to adopt any language 'in use in the State' regardless of whether it is listed in the Eighth Schedule. Statements 1 and 3 are correct.

🏆 UPSC CSE Prelims 2015 (Official Question)
Q. Which of the following languages was added to the Eighth Schedule of the Constitution by the 92nd Constitutional Amendment Act, 2003?

1. Bodo
2. Dogri
3. Maithili
4. Santhali

Select the correct answer using the code given below:
A) 1 and 2 only
B) 3 and 4 only
C) 1, 2 and 3 only
D) 1, 2, 3 and 4
  • A) 1 and 2 only
  • B) 3 and 4 only
  • C) 1, 2 and 3 only
  • D) 1, 2, 3 and 4
Correct Answer: D — 1, 2, 3 and 4

The 92nd Amendment Act of 2003 added four languages to the Eighth Schedule: Bodo, Dogri, Maithili, and Santhali, increasing the total tally from 18 to 22.

UPSC CSE Mains 2021 — GS Paper I & II (Official Question)

“Has the formation of linguistic States strengthened the cause of Indian unity or given rise to regional parochialism? Discuss with reference to constitutional safeguards for linguistic minorities.” (15 Marks | 250 Words)

Mains Model Blueprint (15 Marks | 250 Words)

“Explain the constitutional mechanism under Articles 345-347 for recognising regional languages and evaluate the demand for including non-scheduled languages like Tulu in the Eighth Schedule.”
Key Answer Framework
  • Introduction: Define the constitutional framework of Tulu Language Additional Official Status Article 345 and Eighth Schedule Constitutional Provisions following Karnataka's district-level declaration.
  • Constitutional Mechanism: Distinction between Article 345 (State legislative enactment) and Article 347 (Presidential directive upon substantial demand).
  • Significance of Eighth Schedule: National recognition under Article 351, official translation of legislative bills, Sahitya Akademi awards, and civil services examination medium.
  • Linguistic Federalism: How accommodating sub-regional linguistic identities deepens national integration without undermining state official languages.
Article 345 Eighth Schedule Tulu Language Linguistic Federalism

❓ Frequently Asked Questions (21 September 2026 FAQs)

1. What are the major provisions of the proposed FCRA Amendment Bill 2026?
Under the proposed Bill, if an FCRA certificate is cancelled, surrendered, or lapses, foreign contributions and all assets created from them vest in a government-appointed designated authority. If not restored within a prescribed period, assets permanently vest in the government or are liquidated into the Consolidated Fund of India.
2. Why is the exclusion of the WIPO Copyright Treaty (WCT) from the India-EU FTA IP Chapter problematic?
Excluding WCT from the National Treatment clause while keeping strict technological protection measures (TPMs) denies India the digital fair dealing exceptions (Article 10 WCT), potentially criminalising reverse engineering, security research, and digital library archiving.
3. How does Karnataka's Cabinet decision grant official status to Tulu under the Constitution?
Under Article 345 of the Constitution, a State Legislature can by law adopt any regional language for official purposes. The Karnataka Government must amend Section 2 of the Karnataka Official Language Act, 1963 to formally enact Tulu as an additional administrative language in Dakshina Kannada and Udupi districts.
4. What is the current scale of domestic philanthropy vs foreign funding for Indian NGOs?
Active FCRA NGO registrations have dropped to 14,466 (from over 36,000), while domestic private philanthropy has grown to ₹1.43 lakh crore ($16B) in FY25 alongside ₹22,563 crore in corporate CSR spending, though a funding gap of ₹18 lakh crore looms by 2030.
5. What is the constitutional significance of the Eighth Schedule regarding languages like Tulu?
The Eighth Schedule lists 22 officially recognised languages enjoying constitutional patronage under Article 351. Tulu is an independent Dravidian language recognised in the Census, and its speakers have long demanded its inclusion in the Eighth Schedule.
Published by: Todays Current Affairs | UPSC & State PSC Editorial Analysis (21 September 2026)
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