First published www.rediff.com. To see slide show click here
The Foreign Contribution Regulation Act was passed in 1976. It seeks to regulate receipt of funds by NGOs. It is managed by the Ministry of Home Affairs (MHA). Any organization that wants to receive contributions from abroad has to apply and get approval from the Home Ministry. All remittances are received into a single bank account of a scheduled bank. NGO has to annually submit audited receipts and payments account, Balance Sheet etc to the Home Ministry. The MHA scrutinizes the returns to ensure that contributions received for a particular purpose are used for that purpose only. It does a detail check of randomly picked associations and then collates the data received to present the FCRA Annual Report i.e. uploaded on click here.
As on 31.3.2009 there were 36,414 registered associations under FCRA. These organizations could be religious, social, educational, cultural and educational organizations.
Why do we need to analyze inflows under FCRA?
1. Because of the sheer magnitude of inflows. Reported inflows into India were $ 2.4 billion in 2008-09, $ 2.15 billion in 2007-08 and $ 2.45 billion in 2006-07.
2. Reported contributions received from 1993-94 to 2008-09 Rs 84,182 crs. Actuals much higher.
Data taken from the FCRA report is presented herewith under the following heads.
•Trends of Foreign Contributions 1993-94 to 2008-09.
•Top 4 Remitting Countries 2002 to 2009.
•Top 15 Donor Countries 2008-09 and 2007-08.
•Top 15 recipient State wise 2008-09 and 2007-08.
•Top Recipient Districts 2008-09 and 2007-08.
•Top Recipient Associations 2008-09 and 2007-08.
•Observations on Expenditure 2008-09.
There has been a steady increase in the number of registered associations. Taking 15,039 associations in 1993-94 as a base year, their number grew by 41% in 2000-01, 101% in 2005-06 and 142% in 2008-09.
In 2008-09 7,679 of the 20,088 associations who submitted their accounts did not receive any foreign contributions meaning that reported contributions include amounts received by 43% of the number of associations.
Reported inflows in 2008-09 were higher by Rs 1140 crs (12%) as compared to the previous year.