SEBI Fast-Tracks Global Access With Digital KYC And Predictive Surveillance

Image Source: Business Today

SEBI Is Rolling Out Digital KYC For NRIs, Streamlining FPI Registration, And Launching Predictive Market Surveillance. These Reforms Aim To Boost Foreign Participation, Enhance Transparency, And Strengthen Market Resilience. The Initiatives Were Announced By Chairman Tuhin Kanta Pandey At The BSE Brokers’ Forum On October 11, 2025.

Remote onboarding for NRIs gets priority

In a major push to simplify access for global investors, the Securities and Exchange Board of India (SEBI) has announced the rollout of digital Know Your Customer (KYC) procedures for Non-Resident Indians (NRIs). This means NRIs will no longer need to physically travel to India to complete KYC formalities. SEBI is working closely with the Reserve Bank of India (RBI) and the Unique Identification Authority of India (UIDAI) to build a secure digital framework for remote onboarding.

With over 3.5 crore Indians living abroad, this move is expected to significantly increase NRI participation in India’s capital markets.

Faster FPI registration and compliance overhaul

SEBI is also streamlining the Foreign Portfolio Investor (FPI) registration process. The regulator aims to reduce paperwork, improve turnaround times, and simplify compliance norms. This is part of a broader effort to attract long-term foreign capital and deepen market liquidity.

Chairman Tuhin Kanta Pandey emphasized that rewriting broker regulations and easing investment procedures for NRIs are urgent goals for the regulator.

Key highlights:

- Digital KYC for NRIs to enable remote onboarding

- SEBI collaborating with RBI and UIDAI for secure verification systems

- Faster and simplified FPI registration process underway

- Broker regulations to be rewritten by December 2025

- Over 3.5 crore NRIs expected to benefit from the reforms

Predictive surveillance to monitor market risks

SEBI is also deploying predictive market surveillance tools to detect anomalies and potential risks in real time. These AI-powered systems will help regulators identify unusual trading patterns, insider activity, and systemic vulnerabilities before they escalate. The goal is to build a more resilient and transparent market ecosystem.

These reforms signal SEBI’s commitment to modernizing India’s financial infrastructure and making it more inclusive for global investors. As digital transformation accelerates, the regulator is positioning India as a competitive and secure investment destination.

Sources: MSN Money, Business Today, Times of India, Financial Express

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