The Reserve Bank of India (RBI) has invited public and stakeholder feedback on a draft circular proposing revised guidelines for the updation and periodic updation of Know Your Customer (KYC) details. This move aims to streamline and modernize the current KYC compliance framework laid down in the Master Direction - KYC, 2016.
The draft, titled "Updation/Periodic Updation of KYC - Revised Instructions", seeks to amend paragraph 38 of the Master Direction on KYC, originally issued on February 25, 2016, and updated periodically. The draft amendments are part of the proposed Reserve Bank of India (Know Your Customer (KYC)) (Amendment) Directions, 2025, and are intended to enhance customer convenience while ensuring regulatory compliance.
Official copy of the notification is as follows
RBI invites public comments on the draft circular on 'Updation/ Periodic Updation of KYC- Revised Instructions'
Please refer to instructions on Updation/ Periodic Updation of KYC as contained in paragraph 38 of Master Direction - Know Your Customer (KYC) Direction, 2016 dated February 25, 2016 (as amended from time to time). Reserve Bank has released today the draft circular on Updation/ Periodic Updation of KYC - Revised Instructions which encloses the draft Reserve Bank of India (Know Your Customer (KYC)) (Amendment) Directions, 2025 modifying the aforementioned instructions.
The comments on the draft Amendment Directions are invited from the public/ stakeholders till June 6, 2025. The comments/ feedback may be submitted through the link under the 'Connect 2 Regulate' Section available on the Reserve Bank's website or may alternatively be forwarded to
The Chief General Manager
Business Conduct Group
Department of Regulation, Central Office
Reserve Bank of India, 12/13th Floor
Shahid Bhagat Singh Marg
Fort Mumbai - 400 001
Or
by email
Draft Circular On Updation/ Periodic Updation of KYC - Revised Instructions
Please refer to instructions on updation/ periodic updation of KYC as contained in paragraph 38 of Master Direction - Know Your Customer (KYC) Direction, 2016 dated February 25, 2016 (as amended from time to time).
2. The Reserve Bank has observed a large pendency in periodic updation of KYC including in the accounts opened for credit of Direct Benefit Transfer (DBT)/ Electronic Benefit Transfer (EBT) under Government schemes to facilitate credit of DBTs and/ or scholarship amount (DBT/ EBT/ scholarship beneficiaries) and accounts opened under PMJDY. Reserve Bank has also been receiving complaints regarding challenges faced by the customers in periodic updation of their KYC.
3. In order to further ease the process for the convenience of customers, the instructions regarding updation/ periodic updation of KYC are being amended with the intent , inter alia, to allow BCs to facilitate in the process of KYC and KYC updation vide Reserve Bank of India (Know Your Customer (KYC)) (Amendment) Directions, 2025 (Annex I).
4. Further, the banks are advised to organize camps and launch intensive campaigns focusing on periodic updation of KYC, especially in rural and semi-urban branches and the branches having pendency in periodic updation of KYC. The banks may also facilitate the process of activation of accounts by taking an empathetic view as indicated in the circular DoS.CO.PPG.SEC.12/11.01.005/2024-25 dated December 2, 2024.
5. It is mentioned that over the last few years, the instructions on customer onboarding and updation/ periodic updation of customers' KYC have been simplified and detailed in the Master Direction ibid. A brief compilation of such instructions is enclosed in the Annex II for ready reference.
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