Government to launch updated central KYC registry in 2025
What's the story
The Indian government will soon launch a revamped version of the central Know Your Customer (KYC) Registry, Finance Minister Nirmala Sitharaman announced during the Union Budget 2025-26 presentation.
The centralized database, maintained by The Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI), will make KYC easier for citizens and financial services firms.
The move is part of a larger KYC streamlining effort across sectors.
Repository upgrade
CERSAI's transition to upgraded repository CKYCRR 2.0
In December, Moneycontrol had reported CERSAI's plans to move to an improved repository, called CKYCRR 2.0.
The upgraded system will provide better processes for reporting entities (REs), and will be available to citizens for the first time.
The government plans to make the central KYC the "single source of truth for KYC," prompting REs to use these records and do away with repetitive procedures for customers on different platforms.
Compliance measures
Regulatory tightening on KYC compliances
Notably, the launch of the revamped central KYC registry comes amid heightened regulatory scrutiny on KYC compliances, including recent restrictions on business payment solution providers (BPSPs) and Paytm Payments Bank Ltd (PPBL).
The new system will improve efficiency by eliminating the need for repetitive documentation and verification, thereby making the KYC process easier for citizens as well as financial services firms.