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The issue calls for greater transparency and accountability in the management of diaspora welfare schemes
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As global mobility increases and geopolitical uncertainties persist, MPs and civil society groups alike stress that funds earmarked for the protection of Indians abroad must be actively and responsibly used, rather than allowed to accumulate unused
Concerns have been raised in Parliament over the continued underutilisation of the Indian Community Welfare Fund (ICWF), a key support mechanism meant to assist Indians living and working abroad during times of distress. Citing official data provided by the Ministry of External Affairs (MEA), Member of Parliament Kodikunnil Suresh has criticised the Union government for failing to effectively deploy the fund despite persistent hardships faced by the Indian diaspora.
The ICWF was created to provide emergency assistance to overseas Indians who encounter serious difficulties such as detention, legal disputes, medical crises, or challenges related to repatriation. However, government figures indicate that a substantial portion of the corpus remains unused. As of June 30, 2025, nearly ₹705 crore is lying unutilised, raising questions about policy priorities and administrative efficiency.
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According to the data highlighted by the MP, expenditure from the fund has declined sharply in recent years
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In 2020, ICWF spending amounted to ₹128.98 crore, reflecting higher demand for assistance during a period marked by global uncertainty and widespread disruption
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The following year, however, utilisation fell dramatically to just ₹23.27 crore in 2021
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This steep drop has drawn criticism, particularly as reports of Indians abroad facing incarceration, health emergencies, and legal troubles continue to surface
In a statement issued on Saturday, the Mavelikara MP pointed out that the government’s own disclosures contradict its claims of adequate support for overseas citizens. He argued that the existence of a large unspent corpus undermines the very purpose of the ICWF, especially when many Indians abroad struggle to access timely help from Indian missions.
The criticism also highlights a broader concern regarding outreach and implementation. While the fund exists on paper, awareness among vulnerable migrant workers and distressed individuals remains limited. Delays in processing requests, procedural hurdles, and uneven utilisation across countries have further reduced the fund’s impact.
Experts note that with millions of Indians living overseas—many in low-paying or high-risk jobs—the effective use of welfare funds is critical. They argue that the government must strengthen monitoring mechanisms, improve coordination with embassies and consulates, and ensure that assistance reaches those who need it most.
