KYC rules revised for NRIs, OCIs: What changes for NPS onboarding
New Delhi, Dec 03 2025
PFRDA mandates stricter overseas verification and ends certain accounts to fight financial misuse
The Pension Fund Regulatory and Development Authority has issued a circular revising Know Your Customer (KYC) requirements for Non-Resident Indians (NRIs) and Overseas Citizens of India (OCIs) who want to join the National Pension System.
The document lists procedures for digital onboarding, admissible documents and periodic updates, strengthening compliance under India’s anti-money laundering and anti-terrorism financing laws.
For NRIs wishing to open an NPS account from abroad, the new framework makes the documentation process more structured but also more demanding. While the broader objective is to prevent misuse of the retirement platform, subscribers should be prepared for stricter checks and closer scrutiny during both onboarding and periodic reviews.
Digital onboarding from overseas now allowed, with safeguards
The circular formally permits NRIs and OCIs to complete digital onboarding from outside India. However, several conditions apply:
A live photograph, an admissible digital copy of an officially valid document and geo-coordinates of the subscriber must be captured electronically.
Digital systems used by intermediaries must incorporate liveness detection and anti-spoofing tools to prevent deep-fakes or pre-recorded videos.
These provisions aim to modernise the enrolment process while retaining the integrity of verification.
Clear rules on acceptable documents
The circular specifies what proof of identity and proof of address documents will be accepted for NRIs and OCIs.
For NRIs
• Passport is mandatory as proof of identity.
• Proof of address may include the passport, residence permit, work permit, foreign national ID or overseas driving licence.
• Both self-attestation and attestation by an authorised body—such as an Indian embassy or a notary public—are required.
For OCIs
• The OCI card and foreign passport together form proof of identity.
• A foreign passport or driving licence containing the current overseas address may serve as proof of address.
Importantly, Tier-II NPS accounts will no longer be available to NRIs and OCIs under the revised norms.
Periodic KYC updates eased for overseas subscribers
Subscribers will not need to be physically present in India for re-KYC. Updates can be completed through any overseas branch of the regulated entity or via digital channels. When no information has changed, a simple self-declaration through the registered email or mobile number will suffice.
Enhanced due diligence applies to non-face-to-face accounts, with restrictions on changes to registered mobile numbers and additional monitoring for potential fraud.
What subscribers should do
NRIs and OCIs planning to open or maintain NPS accounts should:
• Keep passports, visas, residence permits and overseas address proofs ready.
• Ensure all documents are correctly attested.
• Notify any change in residency status within three months.
• Route contributions only through permissible NRE, NRO or FCNR accounts.
The tighter framework raises compliance effort but provides a clearer rulebook for global Indians relying on NPS for long-term retirement security.
[The Business Standard]
