SEBI Enables KRA Information Sharing With IFSCA-Regulated Entities in New August 20 Circular

The Securities and Exchange Board of India has issued a new circular enabling KYC Registration Agencies to share information with entities regulated by the International Financial Services Centres Authority. The circular was published on 20 August 2026 and is directly relevant to compliance teams dealing with KYC records, securities-market intermediaries and businesses operating in or interacting with India's international financial services ecosystem.

The circular is titled Enabling sharing of information by KYC Registration Agencies (KRAs) with entities regulated by International Financial Services Centres Authority. It carries Circular No. HO/38/15/(7)2026-MIRSD-POD/I/19255/2026.

What the circular does

At a high level, SEBI has created the regulatory basis for information held by SEBI-regulated KYC Registration Agencies to be shared with entities that fall under IFSCA regulation. The move is significant because KYC information is a core part of client onboarding, due diligence and ongoing compliance across financial services.

The update comes against the broader backdrop of IFSCA's own KRA framework for the International Financial Services Centre, which is designed to reduce duplication of KYC processes and support more standardised client onboarding.

Who should pay attention

- SEBI-registered KYC Registration Agencies.

- IFSCA-regulated financial entities that may rely on permitted KYC information flows.

- Compliance, AML and client-onboarding teams operating in GIFT IFSC.

- Intermediaries and professional advisers reviewing KYC architecture, data-sharing controls and onboarding processes.

Practical compliance implications

The circular should prompt affected entities to review how KYC information is requested, transmitted, validated and retained. Information sharing in a regulated KYC environment also raises operational questions around access controls, audit trails, permitted use, data security and consistency of client records.

Those implementation details should be taken from the exact SEBI circular and the applicable IFSCA framework. Firms should avoid assuming that the ability to share information removes their own customer due-diligence, recordkeeping or regulatory obligations.

Useful official links

SEBI Circular: Enabling sharing of information by KRAs with IFSCA-regulated entities

Key takeaway

SEBI's 20 August 2026 circular is a fresh interoperability-oriented step between the SEBI KRA ecosystem and IFSCA-regulated entities. For professionals working on GIFT IFSC onboarding and KYC compliance, the immediate priority is to understand the exact permitted data-sharing mechanics and align internal controls before operationalising the change.