Reserve Bank of India extends timeline for completion of KYC process for issuers of Prepaid Payment Instruments
In a Press Release dated 25th February 2019 the Reserve Bank of India (“RBI”) has announced its decision to allow issuers of Prepaid Payment Instruments an additional time of six months for completion of the Know Your Customer (KYC) process.
The Reserve Bank had issued Master Direction on Issuance and Operation of Prepaid Payment Instruments (PPIs) on October 11, 2017 (amended later on December 29, 2017). As per these directions, PPI issuers were required to complete the Know Your Customer (KYC) process by February 28, 2019.
Based on requests received from various stakeholders to increase the above-mentioned timeline on account of difficulties in undertaking Aadhaar e-KYC and time necessary to put in place alternative systems for completing the KYC process, it has now been decided to allow PPI issuers additional time of six months for completion of the KYC process.
Source: Reserve Bank of India