**Executive Summary**
This circular, issued by the Securities and Exchange Board of India (SEBI) on January 16, 2026, introduces modifications to the "Master Circular for Foreign Portfolio Investors" regarding the "Single Window Automatic and Generalised Access for Trusted Foreign Investors (SWAGAT-FI)" framework. The changes aim to simplify onboarding and ongoing compliance for SWAGAT-FI FPIs. The provisions of this circular will come into effect from June 01, 2026.
**Key Points / Main Content**
* **Amendment to FPI Master Circular:** The FPI Master Circular is modified to incorporate provisions for SWAGAT-FI FPIs.
* **Applicability of Existing Provisions:**
* The provision related to contributions from resident Indian individuals shall be subject to the condition that the contribution is made through the LRS notified by RBI and the funds must be in global funds whose Indian exposure is less than 50%.
* Existing provisions in Para 1 of Part A shall not apply to SWAGAT-FI FPIs
* **Eligibility for SWAGAT-FI FPI Registration:** The following entities are eligible for registration as SWAGAT-FI FPIs:
* Government or Government-related investors.
* Appropriately regulated mutual funds or unit trusts open for retail investors, with specific conditions related to blind pools, independent investment managers, and diversified investments.
* Appropriately regulated insurance companies investing their own funds without segregated portfolios.
* Appropriately regulated pension funds.
* Public retail fund setup in identified jurisdiction and regulated by the identified statutory authority / regulatory body in such identified jurisdiction.
* **Conversion to SWAGAT-FI FPI:** Existing FPIs meeting the SWAGAT-FI FPI requirements may convert to SWAGAT-FI FPI upon application to their Designated Depository Participant (DDP).
* **Depository Responsibilities:** Depositories shall facilitate a single unified accounting/investing experience for SWAGAT-FI to enable maintenance of all securities acquired as FPI or FVCI.
* **Fees and Information Updates:** FPIs continuing registration must pay fees to their DDPs. The block of three years (ten years in case of SWAGAT-FI) fees shall be paid to their DDPs.
* **KYC Review Periodicity:** For SWAGAT-FI FPIs, the periodicity of KYC review by custodians shall be 10 years.
**Impact Analysis**
**Depositories, Custodians and Designated Depository Participants (DDPs)**
* **Impact**
* These entities are affected by the new provisions related to SWAGAT-FI FPIs. These provisions impact onboarding, compliances, and ongoing monitoring.
* The new regulation affects their system configuration and processes.
* **Action Required**
* Make necessary changes to their systems to effect the changes proposed above.
* Depositories shall facilitate a single unified accounting/investing experience for SWAGAT-FI to enable maintenance of all securities acquired as FPI or FVCI.
**Foreign Portfolio Investors (FPIs)**
* **Impact**
* Existing FPIs may benefit from simplified onboarding and compliance if they qualify as SWAGAT-FI FPIs.
* The circular will enable to simplify their registration fees, and processes.
* **Action Required**
* Assess eligibility for SWAGAT-FI FPI status and consider conversion if beneficial.
* Pay the required fees to their DDPs to continue registration for subsequent blocks.
**Stock Exchanges and Clearing Corporations**
* **Impact**
* The new guidelines may impact the trading activity and volumes of FPIs, but no direct changes to their procedures are outlined in the document.
* **Action Required**
* Monitor the impact of the changes on FPI activity and adapt systems and procedures as necessary to accommodate SWAGAT-FI FPIs.
Key Entities Referenced
SEBI (Foreign Portfolio Investors) Regulations, 2019: Regulations governing Foreign Portfolio Investors, amended by subsequent regulations to simplify compliance.
SEBI (Foreign Portfolio Investors) (Second Amendment) Regulations, 2025: Amendment regulations to simplify on-boarding and ongoing compliances for SWAGAT-FIs
Foreign Portfolio Investors (FPIs): Entities investing in the Indian securities market; the circular addresses regulations affecting them.
Single Window Automatic and Generalised Access for Trusted Foreign Investors (SWAGAT-FI): Framework for FPIs and FVCIs
Securities and Exchange Board of India Act, 1992: Act under which the circular is issued.
CIRCULAR
HO/19/34/14(5)2025-AFD-POD2/I/2703/2026 January 16, 2026
To,
1. Foreign Portfolio Investors (FPIs)
2. Designated Depository Participants (DDPs) and Custodians
3. The Depositories
4. The Stock Exchanges and Clearing Corporations
Dear Sir / Madam,
Subject: Single Window Automatic and Generalised Access for Trusted Foreign
Investors (SWAGAT-FI)” framework for FPIs and FVCIs
1. SEBI vide “Master Circular for Foreign Portfolio Investors, Designated Depository
Participants and Eligible Foreign Investors” No. SEBI/HO/AFD/AFD-
PoD2/P/CIR/P/2024/70 dated May 30, 2024 as amended from time to time
(hereinafter referred to as the ‘FPI Master Circular’) has, inter alia, specified the
guidelines for registration of FPIs, KYC requirements and attendant investment
conditions.
2. SEBI (Foreign Portfolio Investors) (Second Amendment) Regulations, 2025 were
notified on December 03, 2025, amending the SEBI (Foreign Portfolio Investors)
Regulations, 2019, inter alia, to simplify on-boarding and ongoing compliances for
SWAGAT-FIs.
3. Accordingly, the FPI Master Circular stands modified as follows:
3.1. Under Para 1 of Part A, after sub-para (ii)(da) (added vide Circular No.
SEBI/HO/AFD/AFD-PoD-3/P/CIR/2025/127 dated September 10, 2025), the
following sub-para shall be inserted:
“db. The provision mentioned at (b) above shall not apply to
SWAGAT-FI FPI. However, it shall be subject to the provision that
contribution of resident Indian individuals shall be made through
Page 1 of 4the LRS notified by RBI and shall be in global funds whose Indian
exposure is less than 50%.”
3.2. Under Para 2 of Part A, after sub-para (v), the following sub-para shall be
inserted:
“vi. Single Window Automatic and Generalised Access for Trusted
Foreign Investors (SWAGAT-FI)
I. The following shall be eligible for registration as SWAGAT-
FI FPI
a. Government or Government related investor as
provided under Regulation 5(a)(i) of the FPI Regulations,
2019;
b. Appropriately regulated mutual fund or unit trust open
for subscription to retail investors without any specific
investor type requirements like accredited investors and
complying with the following conditions:
i. The applicant operates as a blind pool (i.e. common
portfolio) with diversified investors and investments.
ii. The contributors to the applicant do not have control
over day-to-day operations of the applicant and the
investment manager of the applicant is independent
from such contributors;
c. Appropriately regulated insurance company investing
its own funds and does not have segregated portfolios;
d. Appropriately regulated pension fund.
II. The applicant being a public retail fund is setup in identified
jurisdiction and regulated by the identified statutory authority /
regulatory body in such identified jurisdiction. The list of
identified jurisdictions and identified statutory authority /
regulatory body shall be spelt out in the Standard Operating
Procedure framed and adopted by Custodians and Designated
Depository Participants Standards Setting Forum (CDSSF) in
consultation with SEBI.
Page 2 of 4III. FPI meeting the requirements for SWAGAT-FI FPI may
convert to SWAGAT-FI FPI on making an application to its DDP.
IV. Depositories shall facilitate a single unified
accounting/investing experience for SWAGAT-FI to enable
maintenance of all securities acquired as FPI or FVCI or as
foreign investor investing in units of investment vehicles in a
unified manner.
3.3. Sub-para (i) of Para 4 of Part A (earlier modified vide Circular No.
SEBI/HO/AFD/AFD-PoD-3/P/CIR/2025/127 dated September 10, 2025) shall
be modified as under:
“i. FPIs who wish to continue with their registration for the
subsequent block of three years (10 years in case of SWAGAT-FI),
should pay the fees to their DDPs and inform change in information,
if any, as submitted earlier. However, GS-FPIs shall only pay the
fees to their DDPs. The requirement of informing any change in
information shall not be applicable to GS-FPIs.”
3.4. Following sub-para shall be added after sub-para (ii) of Para 5 of Part B (added
vide Circular No. SEBI/HO/AFD/AFD-PoD-3/P/CIR/2025/127 dated
September 10, 2025):
“iii. In case of SWAGAT-FI FPI, periodicity of KYC review by
custodians shall be 10 years.”
4. Depositories, Custodians and Designated Depository Participants are advised to
make necessary changes in their systems to effect the changes proposed above.
5. The provisions of this circular shall come into force with effect from June 01, 2026.
6. This Circular is issued in exercise of the powers conferred under Section 11(1) of
the Securities and Exchange Board of India Act, 1992 read with Regulations 3, 4(c)
and 44 of SEBI (Foreign Portfolio Investors) Regulations, 2019 to protect the
Page 3 of 4interest of investors in securities and to promote the development of, and to
regulate the securities market.
7. This Circular is available at www.sebi.gov.in under the link “Legal ---Circulars”.
Yours faithfully,
Manish Kumar Jha
Deputy General Manager
Tel No.: 022-26449219
E-mail: manishkj@sebi.gov.in
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