GIFT IFSC to get ‘One KYC’ system as IFSCA plans unified client onboarding framework

IFSCA aims to streamline business operations for financial services and draw global investment into India

The International Financial Services Centres Authority (IFSCA) is preparing to roll out a ‘single KYC’ system throughout GIFT IFSC. This will let investors and clients finish their Know Your Customer verification just once, then reuse those verified details to access various financial services offered inside GIFT City.

To put the system into practice, the authority has suggested that every regulated player must link up with a KYC Registration Agency (KRA). This would create a centralized KYC database reachable by banks, brokerages, insurers, fund managers and other entities active in the IFSC. “A core goal of IFSCA is to simplify doing business for financial services and lure worldwide capital into India. Making onboarding and KYC easier for clients is vital,” said IFSCA Chairman K Rajaraman to the businessline.

He noted that firms in GIFT IFSC have repeatedly asked for a way to avoid duplicate KYC filings. “Once a client has completed KYC with one regulated entity in the IFSC, they shouldn’t have to repeat the process when joining another entity there,” he added. Under the plan, each client would receive a unique identifier from a KRA, letting regulated bodies pull and confirm existing KYC data instead of requesting the same paperwork over and over. The regulator explained that the initiative aims to ease client onboarding while cutting down redundant compliance work.

Details of the IFSCA proposal

In a consultation paper released on June 26, IFSCA recommended that all regulated entities in the IFSC connect with at least one KRA authorized by the authority for uploading, storing, retrieving and updating client KYC information. The regulator has already accredited one KRA and is reviewing a second. Rajaraman explained that the KRA model mirrors the SEBI‑run system in domestic markets, but with a broader reach. “Within the IFSC, the KRA spans all financial‑service areas — securities, banking, insurance and pensions,” he said.

Unlike the domestic Indian landscape where each sector follows its own onboarding routine, the IFSC approach intends to deliver a shared KYC foundation across all financial services. Rajaraman likened the KRA to a “utility‑style infrastructure layer” for regulated firms, giving them secure access to verified client data while boosting user convenience.

The authority also aims to make the IFSC KYC framework compatible with India’s Central KYC Registry (CKYCR). Rajaraman said the Finance Ministry is drafting a notice that would tie IFSC KRAs to CKYCR, while the government pushes its wider ‘One KYC’ ambition for the nation’s financial sector. “KRA platforms will act as an intermediary layer in the IFSC, syncing KYC data with CKYCR, which serves as India’s universal KYC store,” he remarked.

Implementation will occur in stages. Regulated bodies must link with at least one KRA within two months of the circular taking effect. Starting September 1, 2026, every new client brought on board in the IFSC must be tied to a KRA, and the KYC records of all existing active clients need to be uploaded by October 30, 2026.

Looking forward, Rajaraman said IFSCA’s goal is to shift onboarding toward a fully digital process. “Over the next few years we intend to go completely digital, provided the legal framework allows it,” he added, noting that cross‑border compatibility will hinge on data‑privacy statutes and international regulatory cooperation. Public feedback on the consultation paper is welcome until July 16.

Published on June 29, 2026