Reaction from the field
Prime Minister Narendra Modi’s recent announcements underscore India’s commitment to tackling climate change while also tightening the reins on foreign funding for NGOs. This dual approach highlights the government’s strategy to manage both environmental responsibilities and domestic governance.
During a recent address, Modi emphasized that India’s handling of tensions in West Asia showcases its strength in building relationships and effectively managing crises. This assertion comes as India positions itself as a leader in climate action, pledging to reduce emissions intensity of its GDP by 47 percent by 2035 from 2005 levels.
In addition to emissions reduction, India aims to achieve 60 percent of its cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2035. This ambitious target is part of a broader strategy to create a carbon sink of 3.5 to 4.0 billion tonnes of CO₂ equivalent through forest and tree cover by the same year.
The Union Cabinet’s approval of India’s Nationally Determined Contribution (NDC) for the period 2031 to 2035 marks a significant step in operationalizing climate action through the National Action Plan on Climate Change (NAPCC) and its nine national missions. These initiatives are designed to align India’s development with global climate goals.
On another front, the Foreign Contribution (Regulation) Amendment Bill, 2026, aims to enhance government oversight of NGOs and manage foreign funds and assets more effectively. Approximately 16,000 NGOs operate under the FCRA, receiving about ₹22,000 crore (approximately $2.6 billion) in foreign contributions annually. The proposed bill allows the government to assume control of the assets of NGOs whose FCRA registration is revoked or not renewed.
Nityanand Rai, Minister of State for Home Affairs, stated, “The Modi government will not tolerate any misutilisation of foreign funding and will take strong action against such elements.” This statement reflects the government’s intent to ensure that foreign contributions are used appropriately and transparently.
Moreover, the maximum jail term for violations of the FCRA has been reduced from five years to one, indicating a shift towards more stringent regulatory measures. As these policies unfold, the impact on NGOs and their operations remains to be seen.
Details remain unconfirmed regarding how these changes will affect the landscape of civil society in India, but the government’s firm stance on foreign funding and climate commitments is clear. The coming months will be crucial in determining the effectiveness of these initiatives and their reception among various stakeholders.
