Amendment to Internet banking services to clients of IBUs –Review
IFSCA circular e.F.No. IFSCA-FMPP0BR/5/2024-Banking /1 · 30 Jun 2026
Official title
Amendment to the Circular titled Internet banking services to clients of IBUs –Review
IFSCA circular e.F.No. IFSCA-FMPP0BR/5/2024-Banking /1 · 30 Jun 2026
Official title
Amendment to the Circular titled Internet banking services to clients of IBUs –Review
Summary
Check the official recordThe International Financial Services Centres Authority has amended its circular regarding internet banking services for IFSC Banking Units (IBUs). The amendment mandates that IBUs operating before June 30, 2026, must comply with specified requirements by July 31, 2026. Failure to meet this deadline will result in a prohibition on onboarding new customers for non-compliant liability products starting August 1, 2026. The circular also clarifies that 'all linked accounts' includes both deposit and loan accounts, and defines 'whitelisting' as the ability for customers to designate a predefined list of approved beneficiaries. Additionally, the requirement previously mandated under paragraph 8.i.b. is no longer compulsory. All other existing provisions remain in effect.
What you must do
Key dates
Who is affected
Exceptions
If you do not comply
INTERNATIONAL FINANCIAL SERVICES CENTRES AUTHORITY
CIRCULAR
e.F.No. IFSCA-FMPP0BR/5/2024-Banking /1
June 30, 2026
To, All IFSC Banking Units
Subject: Amendment to the Circular titled “Internet banking services to clients of IBUs –Review”
(the aforesaid circulars are hereinafter collectively referred to as Internet Banking Circulars)
“An IBU that commenced operations prior to the date of issuance of this Circular shall ensure compliance with the requirements specified herein by July 31, 2026. In the event of non-compliance by the said date, the IBU shall, with effect from August 1, 2026, cease onboarding new customers for such liability product(s) in respect of which it is non-compliant with the requirements of this Circular.”
a) the expression “all linked accounts” in para 8.i.a. of the Circular referred at 1 (b) above, shall mean all accounts of the customer, including deposit account(s) and/or loan account(s); and
b) the term “whitelisting” in para 9.i.g. of the Circular referred at 1 (b), shall mean the feature that enables a customer of the IBU to designate a predefined approved list of beneficiaries.
It has also been decided that the requirement under para 8.i.b. of the Circular referred at 1(b) above, shall not be mandatory.
All other provisions of the Circular shall remain unchanged.
This Circular is issued in exercise of the powers conferred under sections 12 and 13 of the International Financial Services Centres Authority Act, 2019 read with Section 35A of the Banking Regulation Act, 1949.
A copy of this circular is available on the website of the International Financial Services Centres Authority at www.ifsca.gov.in.
Yours faithfully,
(Riddhi Bhandari) Chief General Manager Department of Banking
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