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The non-profit and social development sector in India is experiencing robust growth, driven by increasing corporate social responsibility (CSR) mandates, rising individual philanthropy, and government initiatives. Focus areas include education, healthcare, skill development, and environmental sustainability. Digital transformation is enhancing outreach and transparency, though challenges remain in funding diversification and scalability for smaller NGOs.
Total Assets Under Management (AUM)
Number of Registered NGOs in India
~3.4 million (approx)
(5-7% CAGR)
- Growing number of new registrations annually.
- Driven by increased awareness and social needs.
- Reflects evolving regulatory environment for non-profits.
20 billion USD
Utilizing artificial intelligence and machine learning to analyze large datasets from programs, track outcomes, and provide real-time, granular insights into social impact, enhancing transparency and accountability.
Implementing blockchain technology to create immutable and transparent records of donations, fund allocation, and project expenditures, increasing donor trust and reducing administrative overhead.
Developing interactive digital platforms that leverage gamification principles to engage donors and volunteers, making contributions and participation more engaging, rewarding, and accessible.
The FCRA Amendment 2020 tightened regulations on the receipt and utilization of foreign contributions by NGOs in India, including mandating Aadhaar for registration, prohibiting sub-granting of foreign funds, and reducing the limit for administrative expenses.
This policy increases compliance burden and reduces flexibility for NGOs like Reaching Hand in utilizing foreign funds, potentially impacting their international donation stream and collaboration with smaller grassroots organizations.
These rules clarified and strengthened CSR obligations for companies, mandating specific activities as CSR, allowing for multi-year project spending, and requiring impact assessments for large CSR projects.
This policy creates significant opportunities for Reaching Hand to secure more structured and long-term corporate partnerships by aligning their programs with clear CSR mandates and providing robust impact reporting.
Recent amendments require NGOs to re-register for 80G and 12A exemptions, submit annual statements of donations, and issue donation certificates with specific details, including the donor's PAN.
While enhancing transparency and preventing misuse, these changes increase the administrative and compliance workload for Reaching Hand, potentially impacting donor convenience if not managed efficiently.
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