What Changed
- Clarifies registration authority levels, registered capital requirements, direct registration advancement, registration changes, and liquidation prior to deregistration.
- Improves requirements for fundraising, donation, and grant-making activities, including specific rules for internet public fundraising and cooperative public fundraising.
- Stresses internal governance enhancements, mandatory information disclosure, industry self-regulation, and strengthened supervision.
Foundations, charitable donors, non-profit organisations, and institutions participating in public welfare activities in mainland China are subject to updated statutory oversight following the promulgation of revised regulations on the management of foundations. Signed by Chinese Premier Li Qiang via a State Council decree, the revised regulatory text comprises 79 articles divided across eight distinct chapters. The primary stated objectives of the revised measure are to strengthen the institutional credibility of foundations and to foster their sound and orderly development.
The revised regulations lay down explicit foundational principles, stipulating that any foundation engaged in public welfare activities must adhere to principles of legality, voluntariness, good faith, openness, transparency, and non-profit operation. In terms of institutional registration, the regulations reform and refine the registration management system by clarifying the specific authority levels for registration as well as requirements concerning registered capital. The rules steadily advance direct registration, set out concrete procedural requirements for making registration changes, and refine liquidation procedures that must take place prior to formal deregistration.
To regulate operational conduct, the measure improves statutory requirements governing fundraising, donation, and grant-making activities. In particular, it introduces specific regulatory coverage for internet public fundraising as well as cooperative public fundraising activities. Furthermore, the framework places strong emphasis on internal governance, requiring foundations to strengthen information disclosure, promote industry self-regulation, and submit to enhanced oversight and supervision.
The regulations will officially take effect on January 1, 2027. For cross-border stakeholders, legal advisors, and international partners collaborating with Chinese foundations or conducting public welfare initiatives in mainland China, these rules define the compliance parameters governing operations, online fundraising, transparency, and organizational governance.
Who May Be Affected
Foundations, public welfare organizations, donors, grant makers, and entities engaged in internet public fundraising or cooperative fundraising in mainland China.
Cross-Border Context
Relevant for international NGOs, foreign donors, and cross-border entities collaborating with mainland Chinese foundations on public welfare, grant-making, or fundraising projects.
What to check next
- Full official text of the 79 articles across eight chapters once published by the State Council.
This article provides general information and does not constitute legal advice. Consult the official text and obtain advice appropriate to your circumstances where needed.