PM CARES FUND
Why in News?
On 17–18 August 2026, the PM CARES Fund published its audited financial statements for FY 2023–24 and FY 2024–25, ending a two-year gap in public disclosure. The fund’s closing balance stood at ₹8,452.07 crore as of 31 March 2025, up from ₹7,173 crore in FY 2023–24.
Establishment & Objective
- Full Name: Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund.
- Launch Date: It was registered as a public charitable trust on March 27, 2020, following the sudden onset of the COVID-19 pandemic.
- Core Mandate: To provide relief, financial assistance, and upgrade healthcare or pharmaceutical facilities during public health emergencies, natural calamities, or distress situations.
Constitution & Management
- Ex-officio Chairman: The Prime Minister of India.
- Ex-officio Trustees: The Union Ministers of Defence, Home Affairs, and Finance.
- Nominated Trustees: The Prime Minister has the power to nominate three eminent experts from fields like law, health, science, and philanthropy.
- Administrative Support: Run entirely through the infrastructure of the Prime Minister’s Office (PMO).
Funding & Financial Structure
- Zero Budgetary Allocation: The fund consists entirely of voluntary public, institutional, and corporate contributions.
- Tax Exemptions: Donations are eligible for a 100% tax exemption under Section 80G of the Income Tax Act, 1961.
- Corporate CSR: Contributions made by Public Sector Undertakings (PSUs) and corporates are explicitly counted as Corporate Social Responsibility (CSR) spending.
- Foreign Inflow: It enjoys a special exemption under Section 50 of the Foreign Contribution Regulation Act (FCRA), enabling it to accept international funding.
Major Controversies & Criticisms
| Parameter | Government's Stand | Critics' Objection |
| RTI Act Ambit | It is not a "Public Authority" under Section 2(h) of the RTI Act because it does not receive direct government funding. | Activists state it uses the PMO's official address, staff, national emblem, and government website domains, making complete secrecy unethical. |
| CAG Auditing | It is audited by a private, independent Chartered Accountant firm (like standard public charitable trusts). | Since massive chunks of public money and institutional PSU funds are involved, a performance audit by the Comptroller and Auditor General (CAG) is heavily demanded. |
| Parliament Scrutiny | Inadmissible for parliamentary questioning as it is not an official function of the Central Government. | Eliminates legislative oversight over a fund heavily associated with India's highest political office. |
| Comparison to PMNRF | Parallel coexistence is valid; the PM National Relief Fund is historically run similarly through the PMO without CAG audits. | Creating a parallel mechanism when the historic Prime Minister’s National Relief Fund (PMNRF) already existed was called unnecessary and redundant. |
