Building an Atmanirbhar philanthropy ecosystem
Philanthropy policy debate in India now centres on domestic giving, regulatory predictability, and tax incentives for donors
- The Foreign Contribution (Regulation) Act, 2010 is the legal framework for regulating foreign donations to Indian organisations.
- The Social Stock Exchange can be used to broaden participation in social development financing.
- Domestic philanthropy is rising through family philanthropy, corporate social responsibility, entrepreneurs, and individual donors.
What happened
India’s philanthropy ecosystem is being described as increasingly atmanirbhar, with domestic giving rising through family philanthropy, corporate social responsibility, entrepreneurs, and individual donors. The policy discussion is no longer only about restricting foreign contributions; it is also about building a more efficient domestic funding base for social development.
Foreign contributions remain lawful and regulated, but the regulatory system should be fair, predictable, and efficient. Some non-profit organisations faced disruption because of delayed renewals and cancellations under foreign-contribution rules.
The topic connects governance with economic policy: the Foreign Contribution (Regulation) Act, 2010 affects non-profit funding, while tax deductions, capital-market instruments, and the Social Stock Exchange can widen domestic participation in social development. A mains answer can examine the trade-off between regulatory scrutiny, compliance burden, and the need to mobilise Indian capital for public-good outcomes.
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