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Core Purpose

The International Financial Services Centres Authority issues these regulations to further amend the International Financial Services Centres Authority (Capital Market Intermediaries) Regulations, 2026.

Detailed Summary

The International Financial Services Centres Authority (IFSCA), in exercise of powers conferred by sub-section (1) of Section 28 read with sub-section (1) of Section 12 and sub-section (1) of Section 13 of the International Financial Services Centres Authority Act, 2019 (50 of 2019); Section 30 read with Section 28C of the Securities and Exchange Board of India Act, 1992 (15 of 1992); and Section 25 read with Section 23G of Depositories Act, 1996, published the International Financial Services Centres Authority (Capital Market Intermediaries) (Amendment) Regulations, 2026 on January 7, 2026 (IFSCA/GN/2026/005). These regulations, effective from their publication in the Official Gazette on January 12, 2026, introduce several amendments to the principal regulations. Key changes include the insertion of a proviso in regulation 4(1) allowing units in IFSC undertaking multiple activities to obtain a unified registration, and amendments to regulation 9(2)(a) by substituting “or actuarial science” with “, actuarial science, fintech, science, technology, engineering or mathematics” and omitting the word “recognised” before “foreign university”. Furthermore, the word “ten” is substituted with “five” in the first proviso to regulation 9(2)(a). Regulation 9(8) is amended to allow a single principal officer for entities registered as broker dealers, clearing members, depository participants, investment advisers, research entities, custodians, or registered distributors, while also mandating a separate official as a vertical head for distribution business activities for entities undertaking multiple activities. Regulation 47 is updated with sub-regulation (2A), superseding IFSCA Circular No. F. No. 224/IFSCA/CMD-DMIIT/CUST/2021/1 titled “Recognition as Custodian of assets/securities” dated February 24, 2021. Finally, Schedule-I, serial number 4, is amended to specify a net worth requirement of “USD 1 million” for custodians, with existing custodians required to comply with revised norms by June 30, 2026. The notification was signed by Praveen Trivedi, Executive Director.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-GJ-E-13012026-269313 EXTRAORDINARY PART III-Section 4 PUBLISHED BY AUTHORITY No. 33] NEW DELHI, MONDAY, JANUARY 12, 2026/PAUSHA 22, 1947 230 GI/2026 (1) INTERNATIONAL FINANCIAL SERVICES CENTRES AUTHORITY NOTIFICATION Gandhinagar, the 7th January, 2026 International Financial Services Centres Authority (Capital Market Intermediaries) (Amendment) Regulations, 2026 IFSCA/GN/2026/005.—In exercise of the powers conferred by sub-section (1) of Section 28 read with sub- section (1) of Section 12 and sub-section (1) of Section 13 of the International Financial Services Centres Authority Act, 2019 (50 of 2019); Section 30 read with Section 28C of the Securities and Exchange Board of India Act, 1992 (15 of 1992); and Section 25 read with Section 23G of Depositories Act, 1996, the International Financial Services Centres Authority hereby makes the following regulations, further to amend the International Financial Services Centres Authority (Capital Market Intermediaries) Regulations, 2026 (hereinafter referred to as the principal regulations), namely:- 1. (1) These regulations may be called the International Financial Services Centres Authority (Capital Market Intermediaries) (Amendment) Regulations, 2026. 2. (2) These regulations shall come into force on the date of their publication in the Official Gazette. In regulation 4 of the principal regulations, in sub-regulation (1), the following proviso shall be inserted, namely:- "Provided that a unit in IFSC desirous of undertaking multiple activities may obtain a unified registration for such multiple activities, in such manner as may be specified by the Authority." 3. In regulation 9 of the principal regulations, in sub-regulation (2), in clause (a), i. for the words "or actuarial science" the words ", actuarial science, fintech, science, technology, engineering or mathematics” shall be substituted; and ii. the word "recognised" appearing before the words "foreign university" shall be omitted. 4. In regulation 9 of the principal regulations, in sub-regulation (2), in clause (a), in the first proviso, for the word "ten" the word "five" shall be substituted. 5. In regulation 9 of the principal regulations, in sub-regulation (8), for the first proviso, the following proviso shall be substituted, namely:- "Provided that an entity with registration as a broker dealer, clearing member, depository participant, investment adviser, research entity, custodian or registered distributor may have the same person as principal officer for these activities:" 6. In regulation 9 of the principal regulations, in sub-regulation (8), after the first proviso, the following proviso shall be inserted, namely:- "Provided further that an entity undertaking multiple activities, as mentioned in the above proviso, shall have a separate official as a vertical head for its distribution business activities:" 7. In regulation 47 of the principal regulations, after sub-regulation (2), following sub-regulation shall be inserted, namely: "(2A) On and from the commencement of the International Financial Services Centres Authority (Capital Market Intermediaries) (Amendment) Regulations, 2026, the IFSCA Circular No. F. No. 224/IFSCA/CMD- DMIIT/CUST/2021/1 titled “Recognition as Custodian of assets/securities" dated February 24, 2021, shall stand superseded." 8. In Schedule-I of the principal regulations, in third column, in row at serial number 4, for the words "As specified by the Authority from time to time" the following shall be substituted: "USD 1 million [Custodians already registered with the Authority, if required to infuse or earmark additional funds in accordance with the revised net worth requirements, shall comply with the revised norms by June 30, 2026.]" PRAVEEN TRIVEDI, Executive Director [ADVT.-III/4/Exty./609/2025-26]

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