Policies · BFSI
Effective 3 December, Sebi's revised framework allows persons resident outside India from FATF-compliant countries to complete KYC onboarding digitally without being physically present in India.
✦ AI SUMMARY 30-second read
- NRIs, OCIs and foreign nationals from FATF-compliant countries can complete KYC digitally without physical presence in India.
- KYC records will be portable across intermediaries, and digital document submissions will be accepted under the revised norms.
- Clients from FATF-non-compliant countries must continue to follow existing KYC requirements.
Why it matters: The change lowers the onboarding barrier for overseas investors, potentially broadening the base of foreign capital flowing into Indian markets.
This summary was generated by AI. Editors may review and update it.
Document details
| Document type | Rules & Regulation |
|---|---|
| Issued by | SEBI |
| Region | India |
| Published | 5 November 2026 |
Sebi has relaxed KYC norms for persons resident outside India, covering NRIs, overseas citizens of India and foreign nationals. The revised framework, issued on Wednesday, takes effect on 3 December.
The new rules allow individuals from FATF-compliant countries to complete digital onboarding without being physically present in India. Those residing in FATF-non-compliant countries must continue to follow the existing KYC requirements.
What the document says
Under the revised norms, intermediaries may accept digital submissions of KYC information and supporting documents. KYC records will be portable and can be shared across intermediaries regardless of whether all individual attributes have been validated.
An intermediary may rely on KYC conducted by another Sebi-registered intermediary or an entity regulated by another financial sector regulator, based on records obtained from KYC registration agencies or the Central KYC Records Registry.
Intermediaries must collect passport copies and, where applicable, OCI cards. Overseas addresses will be accepted as proof of address, and specimen signatures may be submitted electronically, subject to verification during video-based in-person verification.
The revised provisions will also apply to re-KYC of clients in FATF-compliant countries.
Process and accountability
Sebi has mandated that an authorised official be present during video verification, and the process will be subject to concurrent audit. Intermediaries remain ultimately responsible for client KYC, including enhanced due diligence based on risk profiles.
Completed KYC information must be provided to KYC registration agencies within three working days.
Who is affected
The framework applies to NRIs, OCIs and foreign nationals who wish to invest in India and are resident in FATF-compliant countries. Intermediaries registered with Sebi who onboard such clients will be required to comply with the revised norms from 3 December.
