Analysis of Foreign Funding into India
by Sanjeev Nayyar on 06 Mar 2009 2 Comments

A friend sent me a mail giving details of funds received in 2006-07 from the Western world, primarily the Christian countries of USA, UK, Germany and Spain. That got me wondering! Why are these countries pouring thousands of crores into India? If it is because many Indians are poor, then are there no poor or afflicted people in their own countries?


Questions like these and media reports of conversions to Christianity in Orissa prompted me to do a google search on the subject.


Inward remittances by NGO’s are governed by the Foreign Contribution Regulation Act 1976 or FCRA for short [for more visit
http://www.mha.nic.in/fcra.htm]. I found the Ministry of Home Affairs Reports for the years 2003-04 to 2006-07.


The key points are:


* Between 1993-94 and 2006-07 a sum of Rs 64,670 cr. was the sum of Foreign Contributions received into India by organizations registered with the Home Ministry Govt of India and who filed their declarations. 

* Total funds received per annum have gone up from Rs 1865 to 12290 cr. (1993-94 to 2006-07) i.e. an increase of 650%! 

* The % of Associations submitting details of foreign contributions has fallen from 66% in 1997-98 to 56% in 2006-07. That means that the actual amount of foreign contributions received is much higher than the reported Rs 12,290 cr. in 2006-07.

* Foreign contributions have increased by over 100% since UPA came to power. 

* Top remitting countries are USA, Germany and UK. Amounts remitted between 2002-03 to 2006-07 are Rs 10,589 cr., Rs 5,233 cr. and Rs 4,612 cr. 

* Top Donor Agencies in these years are Western - read Christian - except for a contribution from Liaison Office Dalai Lama Japan in 2006-07. 

* Tamil Nadu, Delhi, Andhra Pradesh, Maharashtra are top receivers of foreign contributions.

* Tamil Nadu receipts jumped from Rs 775 cr. in 2002-03 to Rs 2244 cr. in 2006-07, nearly a 200% increase! 

* Chennai, Ranchi, Mumbai, Kolkata, Bangalore, Uttara Kanada, Hyderabad are amongst the districts who received maximum foreign contributions. 

* Many districts of Tamil Nadu received over Rs 100 cr. each in 2006-07. 

* Key donors do not appear from the Muslim world. Means they are remitting in large sums through the Hawala route or not remitting in large numbers.  


Table 1: Trends of Foreign Contributions

 

Year

Registered Associations (as on 31 March of F.Y.)

Associations who gave details

of Contributions recd

Foreign Contributions

recd (Rs in crores)

1993-94

15,039

NA

1865

1994-95

15,723

NA

1892

1995-96

16,740

NA

2168

1996-97

17,723

NA

2571

1997-98

18,489

12,198 (66%)

2864

1998-99

19,834

13,775 (69%)

3402

1999-00

21,244

13,996 (66%)

3924

2000-01

22,924

14,598 (64%)

4535

2001-02

24,563

15,598 (64%)

4872

2002-03

26,404

16,590 (63%)

5047

2003-04

28,351

17,145 (61%)

5105

2004-05

30,321

18,540 (61%)

6257

2005-06

32,144

18,570 (58%)

7878

2006-07

33,937

19,011 (56%)

12,290

   Total 1993-94 to 2006-07

 

64,670

NA is not available.

 

 
1] Total funds received between 1993-94 have gone up from Rs 1865 to 12290 cr. i.e. an increase of 650%. 

2] The % of Associations submitting details of foreign contributions has fallen from 66% in 1997-98 to 56% in 2006-07. That means that the actual amount of foreign contributions received is much higher than the reported Rs 12,290 cr. It would be interesting to know what action Home and Finance Ministries takes against organizations that do not submit details of contributions received.  

3] Is it a matter of coincidence or irony that foreign contributions have increased by over 100% after the UPA government has come to power in 2004? Note that Tsunami hit Tamil Nadu in December 2004.

 

    
Table 3: Top Donor Agencies (Rs. in crores)

Donor’s Name & Country

2006-07

Donor’s Name & Country

2005-06

2004

05

2003-04

Misereor, Postfach,Germany

1244

Gospel Fellowship Trust India, USA

229

NIL

NIL

World Vision USA

469

Gospel for Asia, USA

137

110

40

Fundacion Vicente Ferrer, Spain

399

Plan International UK

111

2

17

A.S.A. Switzerland

302

Foundation Vicent E Ferrer Spain

104

NIL

NIL

Liasion off of Dalai Lama Japan

237

Christian Aid UK

80

31

25

Gospel for Asia, USA

227

Miseror Mozartstrasse Germany

78

44

29


In 2006-07, of the top fifteen donors the only one with an Indian sounding name was M/s Om Foundation Inc. USA Rs 97 cr. Except for the Dalai Lama, the others appear to be Christian organizations. The same is the case with top donors in 2005-06.

 
Table 4: State Wise receipts of Foreign Contributions 2002 to 2007 (Rs. in cr.)*

State

2006-07

2005-06

2004-5

2003-4

2002-03

1.Tamil Nadu

2244

1609

1191

800

775

2. Delhi

2187

1556

1075

857

881

3. Andhra Pradesh

1211

1012

914

684

630

4. Maharashtra

1195

664

552

481

505

5. Karnataka

1077

621

512

529

489

6. Kerala

884

656

509

423

409

7. Jharkhand

726

97

77

67

58

8. West Bengal

517

355

340

291

272

9. Gujarat

389

301

238

192

272

10. Others

1860

1007

849

781

756

      Total

12,290

7,878

6,257

5,105

5,047

*Taken from various annual reports published by the Ministry of Home Govt of India. The purpose of highlighting various numbers in bold for different years are to bring to your attention the increase in foreign contributions received by individual states.

District

2006-07

2005-06

2004-5

2003-4

2002-03

Chennai

929

754

561

385

363

Mumbai

892

441

322

300

284

Ranchi

654

NA

NA

NA

NA

Bangalore

628

465

377

358

358

Kolkatta

339

236

206

NA

NA

Jaipur

256

NA

NA

NA

NA

Uttara Kanada

246

NA

NA

NA

NA

Hyderabad/Sec

244

237

178

180

181

Ananthpur

231

288

288

209

169

Ahmedabad

230

162

126

NA

NA

Tirunelveli

230

NA

NA

NA

NA

Madurai

223

193

129

NA

NA

Vellore

221

NA

NA

NA

NA

Quillon

199

199

101

NA

NA

Ernakulam

193

165

150

NA

NA

Pune

NA

121

119

NA

NA

Krishna

NA

111

93

NA

NA

Tiruchirapali

NA

94

74

NA

NA

Kancheepuram

NA

92

65

NA

NA

Trivandrum

NA

91

58

NA

NA


Numbers for 2006-07, 2005-06, 2004-05 taken from FCRA 2006-07 reports. NA stands for not available. Districts of Tamil Nadu are major recipients.

 

 
Table 6: Top Recipient Associations 2003-04 to 2006-07 (Rs. in cr.) *

Association

2006-07

Associations

2005-06

2004

05

2003-04

Ranchi Jesuits

622

World Vision of India Tamil Nadu

256

134

104

Santhome Trust of Kalyan Maharashtra

333

Caritas India Delhi

194

65

38

Sovereign Order of Malta, Delhi

301

Rural Development Trust Andhra Pradesh

127

119

126

World Vision of India Tamil Nadu

256

Church’s auxiliary for Social Action Delhi

96

64

37

North Karnataka Jesuit Educational and Charitable Society

230

Plan International Inc Delhi

92

65

57

Help in Suffering his Sanctuary Rajasthan

209

Saifee Hospital Trust Maharashtra

86

27

2

Believers Church India Kerala

149

Mata Amritanandmayi Math Kerala

85

NIL

39

Caritas India Delhi

127

Believers Church India Kerala

79

47

37

Rural Development Trusts Andhra Pradesh

122

Sri Satya Sai Central Trust Andhra Pradesh

72

78

50

Headmaids of Sacred Jesus Society Maharashtra

118

Oxfam India Trust, Delhi

72

53

34


*2006-07 FCRA reports. The nos for 2003-04 taken from FCRA 2005-06 report.


Readers can come to their own conclusions. I urge followers of Dharma to share their wealth with schools and hospitals in both rural and urban areas.


All data is taken from the FCRA reports published by the Home Ministry, Government of India. I have tried to pick up the data correctly, errors and omissions are regretted.


[Email feedback to
esamskriti@suryaconsulting.net]

 


Table 5: Top Recipient Districts of Foreign Contributions 2002 to 2007 (Rs. in cr.)*

 


Table 2: Top Remitting Countries Rs cr.

Year

USA

Germany

UK

Others

2002-03

1680

715

685

NA

2003-04

1584

757

676

350*

2004-05

1927

931

764

353#

2005-06

2426

1181

1062

500*

2006-07

2972

1649

1425

606&

Total

10589

5233

4612

 


*Italy, #Netherlands, &Switzerland.

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