FinMin, stakeholders to meet for Central KYC on January 24
A crucial meeting on Central Know Your Customer (KYC) is scheduled for January 24, led by Finance Secretary TV Somanathan. The objectve of this gathering is to discuss the effective use of the Central KYC Registry (CKYCR) for simplifying business processes and ensuring due diligence for customers. High-ranking officials from the finance ministry, regulatory agencies, and leaders of private and public sector banks are anticipated to be present.
Attendees include officials from RBI, SEBI, IRDAI, PFRDA, and ED
Key finance ministry officials, including Revenue Secretary Sanjay Malhotra, Economic Affairs Secretary Ajay Seth, and Financial Services Secretary Vivek Joshi will attend the meeting. Other participants include Director of Enforcement Directorate (ED) Rahul Navin, Reserve Bank of India (RBI) Deputy Governor Rajeshwar Rao, and Insurance Regulatory and Development Authority of India (IRDAI) Chairman Debasish Panda. The meeting will also involve senior representatives from Securities and Exchange Board of India (SEBI) and Pension Fund Regulatory and Development Authority (PFRDA).
CKYC aims to streamline KYC process for investors
CKYC allows investors to complete their KYC process only once before engaging with various financial services sector entities. The government believes that full implementation of CKYC will benefit investors through cost optimization, inter-usability of KYC records in the financial sector, and the convenience of uploading documents in one location. CKYC is a recent addition to existing KYC procedures and may make other KYC processes obsolete as it is based on the concept of single window clearance.
Issues related to CKYC integration to be discussed
As CKYC is not yet integrated with other KYC repositories, customers might have to submit KYC documents multiple times. The meeting is expected to address concerns around this. The Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI) serves as the CKYC records registry. CERSAI MD & CEO Umesh Kumar Singh, along with top executives from HDFC Bank, ICICI Bank, State Bank of India, and Punjab National Bank, are also expected to attend this high-level meeting.
