Sebi extended the periodicity of KYC reviews for foreign portfolio investors from one year to eight years in India on Friday.
Prior to the circular, FPIs were required to submit updated client information either annually or every three years, depending on their classification. The revised framework raises the minimum interval to two years for the former annual group and to eight years for the former three‑year group.
The special Swagat‑FIs category will stay on a ten‑year review cycle, while the GS‑FPIs retain their existing, less‑rigid schedule.
The decision, released from Mumbai, is part of Sebi's broader effort to reduce administrative drag and streamline market operations for foreign investors.
Market analyst Rajesh Kumar of JP Morgan said the extension could lower compliance costs and potentially attract more foreign capital.
The new review periods will apply immediately, with investors expected to adjust their compliance calendars accordingly.