SEBI has released a consultation paper on 14 August 2026 titled "Review of Know Your Client Process for Individual Persons Resident Outside India." The paper seeks to simplify the onboarding process for Non‑Resident Indians, Overseas Citizens of India, and foreign nationals.
Zerodha CEO Nithin Kamath praised the move, saying it could cut the time needed to open an investment account from weeks or months to only a few days. He added that the proposal would eliminate the requirement for NRIs to be physically present in India.
Kamath noted that today, NRIs who are abroad must send large amounts of physical paperwork and rely on international courier services, which slows the process. The new digital approach would allow e‑signatures from the investor’s country of residence.
He highlighted that NRIs bring significant capital to Indian markets and tend to invest more, stay invested longer, and are a more stable source of inflows than regular investors.
If SEBI finalises the proposals, the friction currently causing 2–3 week or even month‑long delays could be removed. The regulator has invited public comments on the draft, inviting stakeholders to suggest further simplifications.
The initiative is seen as a pragmatic step to attract a larger base of long‑term investors and to streamline the overall investment ecosystem in India.