Is SEBI Collaborating with UIDAI and RBI for Remote KYC Access for NRIs?
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Synopsis
SEBI is making strides towards enabling remote KYC access for NRIs in partnership with UIDAI and RBI. This initiative aims to simplify the KYC process, allowing NRIs to complete it without having to visit India. The implications for investors and market efficiency are significant, as SEBI also focuses on enhancing regulatory measures.
Key Takeaways
- Secure remote KYC access for NRIs is being prioritized by SEBI.
- Collaboration with UIDAI and RBI is in progress.
- SEBI is shifting to predictive oversight for better market regulation.
- New technology will help detect fraudulent trading patterns.
- A safety net for depository participants is being considered.
Mumbai, Oct 12 (NationPress) The Securities and Exchange Board of India (SEBI) is currently engaged in advanced discussions with the UIDAI and the RBI to facilitate secure, remote KYC access for non-resident Indians (NRIs), which is presently undergoing testing.
As per SEBI Chairman Tuhin Kanta Pandey, achieving this will be a top priority to ensure NRIs do not need to travel to India for KYC.
“This will represent a significant advancement once it is operational,” Pandey mentioned during an event hosted by the BSE Brokers Forum (BBF) in Mumbai.
On the regulatory oversight front, he stated, “we are transitioning from reactive supervision to predictive oversight.”
“We have overhauled our data warehouse system to create new rule-based alerts aimed at identifying pump-and-dump schemes and detecting fraudulent trades in bulk deals,” the SEBI Chairman shared with attendees.
Pandey also indicated that pump-and-dump schemes exhibit recognizable patterns, as evidenced in SEBI orders, and the new technology will assist in monitoring such manipulative actions using data-driven insights.
Furthermore, SEBI is developing a safety net mechanism for depository participants (DPs).
“We are exploring the implementation of a safety net so that in the event of an outage at a depository participant, the issue can be resolved at the depositories’ end—similar to existing measures for stock brokers,” he added.
The SEBI Chairman noted that numerous regulatory initiatives have already been activated following extensive data analysis.
Regarding foreign portfolio investor (FPI) registration, he mentioned SEBI's intent to further simplify the process.
“FPI registration is a gateway to the global market, and if this gateway is obstructed, it will not shine in its entirety. This is not merely about risk; it’s about recognizing and resolving operational challenges,” he emphasized. Pandey reiterated that safeguarding investors from cyber fraud and deceptive advice from unregistered financial influencers remains a crucial focus for SEBI.
Previously, during a panel discussion at the Global Fintech Fest (GFF) 2025 last week, Pandey highlighted various technology-driven initiatives, such as the Investor Risk Reduction Access Platform and a Unified Investor App, which have bolstered investor protection and market efficiency.
This has resulted in consolidated access to holdings, transaction history, e-voting, and proxy advisory recommendations. “Grievance resolutions have also been streamlined through Digital Locker and an enhanced SEBI Complaints Redressal System (SCORES),” the SEBI Chairman concluded.
Point of View
I firmly believe that SEBI's initiatives reflect a proactive approach to enhancing investor convenience and market integrity. The collaboration with UIDAI and RBI to facilitate remote KYC access for NRIs not only simplifies compliance but also strengthens trust in our financial systems. This forward-thinking strategy aligns with our national objectives of fostering a robust and accessible investment environment.
NationPress
13/10/2025
Frequently Asked Questions
What is the purpose of SEBI's collaboration with UIDAI and RBI?
The collaboration aims to enable secure remote KYC access for NRIs, eliminating the need for them to travel to India for KYC compliance.
How will this initiative benefit NRIs?
This initiative will provide NRIs with a more convenient and efficient way to complete their KYC, ultimately saving them time and resources.
What other measures is SEBI implementing?
SEBI is enhancing its surveillance systems, developing a safety net for depository participants, and simplifying FPI registration processes.
What technologies are being utilized to combat fraudulent activities?
SEBI is employing new rule-based alerts and data-driven insights to identify and address pump-and-dump schemes and fraudulent trading.
How does SEBI plan to protect investors from cyber fraud?
SEBI is focusing on safeguarding investors by addressing misleading advice from unregistered financial influencers and enhancing its complaints redressal system.
