The Securities and Exchange Board of India announced easing of ‘know your client’ (KYC) rules for non-resident Indians, overseas citizens of India, and foreign nationals. Digital onboarding means potential customers no longer need to be physically present in India for KYC. The new rules take effect on 3 December 2026, according to the SEBI release.
“Intermediaries can collect KYC details in physical mode or through apps or websites. They can also accept scanned copies under electronic signatures or fully digital KYC forms under electronic signatures,” the new rule said. For specimen signatures, intermediaries can collect wet signatures on physical forms or as cropped signature images under electronic signature. If the signature is submitted digitally, the potential or existing customer must provide a wet signature during video-based in-person verification for live matching, the new rule said.
All KYC records are now portable across intermediaries, just as they are for resident Indians.
Another important step is the ease of the re-verification process. If foreign clients already have records registered in KRA/CKYCRR through depositories and registrars, they do not need fresh details unless there is a change, lapsed validity, incomplete data, or a new due diligence requirement.
The rupee needs that support from foreign investors. The relentless selloff by foreign portfolio investors and record lows mean that India must take steps to remove blocks in the way of foreign flows. A key impediment was India’s time-consuming registration procedure. Physical documents, signatures, and in-person presence meant non-resident Indians could address investment-related issues only when they visited the country once a year.