**Executive Summary**
The Reserve Bank of India (RBI) issued an amendment to its "Payments Banks – Know Your Customer (KYC) Directions, 2025" on December 29, 2025. These amendments clarify the responsibilities of entities uploading and downloading customer KYC records from the Central KYC Records Registry (CKYCR). The Directions come into force with immediate effect.
**Key Points / Main Content**
* **Amendment Title:** Reserve Bank of India (Payments Banks – Know Your Customer) Amendment Directions, 2025.
* **Effective Date:** The Directions come into force with immediate effect.
* **Amendment to Paragraph 65:**
* An explanation is added to paragraph 65 of the original directions.
* The RE that last updated a customer's KYC record on CKYCR is responsible for verifying the customer's identity and address.
* Banks downloading and relying on KYC records from CKYCR are not required to re-verify identity or address if the records are current and comply with the PML Act, 2002 / PML Rules, 2005.
* Banks downloading KYC records remain responsible for all aspects of CDD procedures except verifying identity and address.
**Impact Analysis**
**Regulated Entities (REs) uploading/updating KYC records:**
* **Impact:** Retains responsibility for verifying customer identity and address before uploading to CKYCR.
* **Action Required:** Ensure the accuracy and compliance of KYC data uploaded to CKYCR.
**Regulated Entities (REs) downloading KYC records:**
* **Impact:** Exempt from re-verifying customer identity and address if the downloaded KYC records from CKYCR are current and compliant. Remains responsible for CDD procedures.
* **Action Required:** Rely on CKYCR KYC records for identity and address verification; maintain responsibility for other aspects of CDD.
Key Entities Referenced
Reserve Bank of India (Payments Banks – Know Your Customer) Amendment Directions, 2025: The primary subject of the document; these directions amend the existing KYC regulations for payments banks.
Reserve Bank of India (Payments Banks – Know Your Customer) Directions, 2025: The original KYC directions for payment banks that are being amended by the current document.
PML Act, 2002: Prevention of Money Laundering Act, 2002, compliance with which is a key consideration for KYC.
Banking Regulation Act, 1949: Act that grants the Reserve Bank of India the power to issue directions.
CKYCR: Central KYC Records Registry; amendment clarifies responsibilities for KYC record updates in the CKYCR.
RBI/2025-26/161
DOR.AML.REC.365/14.01.009/2025-26 December 29, 2025
Reserve Bank of India (Payments Banks – Know Your Customer) Amendment
Directions, 2025
Reserve Bank had issued Reserve Bank of India (Payments Banks – Know Your
Customer) Directions, 2025 dated November 28, 2025 (hereinafter referred to as the
Directions) in compliance of the provisions of the PML Act, 2002 and the Rules made
thereunder. There is a need to amend the Directions to clarify the responsibility of entities
uploading customer records to and downloading the same from CKYCR, based on the
office memorandum (OM) titled “CKYCR and the ultimate responsibility of REs – reg.”
issued by the Department of Revenue, Govt of India, dated September 18, 2025.
2. Accordingly, in exercise of the powers conferred by sections 35A of the Banking
Regulation Act, 1949, section 10(2) read with section 18 of Payment and Settlement
Systems Act 2007 (Act 51 of 2007), section 11(1) of the Foreign Exchange Management
Act (FEMA), 1999, Rule 9(14) of the Prevention of Money-Laundering (Maintenance of
Records) Rules, 2005, and all other enabling laws in this regard, the Reserve Bank being
satisfied that it is necessary and expedient in the public interest so to do, hereby issues
the Amendment Directions hereinafter specified.
3. Short Title and Commencement
(1) These Directions shall be called the Reserve Bank of India (Payments Banks –
Know Your Customer) Amendment Directions, 2025.
(2) These Directions shall come into force with immediate effect.
4. These Amendment Directions modify the Reserve Bank of India (Payments Banks –
Know Your Customer) Directions, 2025 as under:(1) In paragraph 65, the following “Explanation” is being inserted after sub-paragraph
(10):
“Explanation: The RE that has last uploaded or updated the customer’s KYC records in
the CKYCR shall be responsible for verifying the identity and / or address of the customer,
as applicable. Accordingly, any bank downloading and relying on such records from the
CKCYR shall not be required to re-verify the authenticity of the customer’s identity and /
or address, provided the KYC records downloaded from CKYCR are current and
compliant with the PML Act, 2002 / PML Rules, 2005. The bank downloading and relying
on KYC records downloaded from the CKCYR shall remain responsible for all aspects of
CDD procedure and provisions of these Directions, except verification of identity and / or
address of the customer.”
(Veena Srivastava)
Chief General Manager