RBI Lets FPIs Use Overseas-Certified KYC Documents — SkimNews
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- RBI amended its Commercial Banks KYC Directions on 18 September 2026, effective immediately, letting Indian banks accept original certified copies of specified KYC documents from FPIs that have been certified by recognised overseas authorities
- The amendment extends to FPIs a certification facility previously available only to non-resident Indians (NRIs) and Persons of Indian Origin (PIOs)
- Recognised overseas certifying authorities include officials of overseas branches of Indian Scheduled Commercial Banks, branches of overseas banks with Indian bank relationships, Notary Publics abroad, Court Magistrates, Judges, and Indian Embassies or Consulate Generals
- The amendment does not relax underlying KYC obligations — banks must still conduct customer identification and verification, and an authorised officer must record comparison of the copy against the original
- For FPIs operating across multiple jurisdictions, the change creates an alternative certification route via authorities in the investor's country of residence before the original certified copy is submitted to the Indian bank
Why it matters: FPIs — who often run compliance operations across multiple jurisdictions — now have a practical shortcut: they can get KYC documents certified by a local Notary Public, Judge, or Indian Embassy abroad instead of routing everything through India. The 18 September 2026 amendment is purely procedural facilitation, with RBI explicitly noting it does not alter the underlying customer identification and verification requirements banks must still perform.
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