SEBI has proposed amendments to the Foreign Portfolio Investors (FPI) Regulations, 2019 and Foreign Venture Capital Investors (FVCI) Regulations, 2000 to require payment of registration, renewal, late, and related fees in Indian Rupees (INR) instead of US Dollars (USD). The proposal aims to eliminate manual accounting, reduce reconciliation issues caused by foreign exchange deductions, improve financial reporting, and streamline fee collection. FPIs and FVCIs will pay fees in eligible foreign exchange equivalent to the prescribed INR amount, with Designated Depository Participants (DDPs) remitting the INR to SEBI within five working days. SEBI has proposed revised INR fee structures while maintaining revenue neutrality and allowing a six-month transition period after notification. Separately, SEBI proposes including the date of birth or incorporation in FPI Registration Certificates to facilitate PAN applications under revised CBDT requirements, thereby reducing documentation burdens and simplifying onboarding. The proposals have received support from the CDSSF and FPI Advisory Committee and await Board approval.
Also Read SEBI Press Release No. 33/2026 Dated: 19/06/2026: SEBI Approves Major Regulatory Reforms to Simplify Securities Market Processes
Securities and Exchange Board of India
Dated: 19th June 2026
Proposal for Payment of SEBI FPI and FVCI Registration & Related Fees in INR and Proposal for capturing date of Birth/Incorporation of FPI in the FPI Registration Certificate
1. Objective
1. This Board Memorandum seeks approval of the Board for
a. amending the Securities and Exchange Board of India (Foreign Portfolio Investors) Regulations, 2019 (hereinafter referred to as “FPI Regulations”) and Securities and Exchange Board of India (Foreign Venture Capital Investors) Regulations, 2000 (hereinafter referred to as “FVCI Regulations”) for mandating payment of fees payable to the Securities and Exchange Board of India (SEBI) by Foreign Portfolio Investor (FPI) and Foreign Venture Capital Investor (FVCI) in Indian Rupees (INR) instead of United States Dollars (USD).
b. amending the FPI Regulations to capture the date of Birth/ Incorporation of FPI in the FPI Registration Certificate.
2. Background
A. Payment of SEBI FPI and FVCI Registration & Related Fees
2.1. The various applicable fees under the FPI Regulations and the FVCI Regulations are enumerated as below:
| Type | FPI (Amount in USD) | FVCI (Amount in USD) | Block (in years) |
| Registration | Category I- 2500 Category II- 250 | 2500 | FPI- 3
FVCI- 5 Swagat FI- 10 |
| Continuation | Category I- 2500 Category II- 250 | 100 | FPI- 3
FVCI- 5 Swagat FI- 10 |
| Late fees | Category I- 50 per day Category II- 5 per day | 5 per day subject to a maximum of 150 | |
| ODI Subscriber fees (ODI fees) | 800 | – | 3 |
| Regulation 43B Exemption fees (43B fees) | 1000 | – |
2.2. During FY 2025-26, the fees received from FPIs and FVCIs (inclusive of GST) are as follows:
| Particulars | FPI (in USD) | FVCI (in USD) | Total (in USD) |
| Registration | 24,88,745 | 70,821 | 25,59,566 |
| Continuation | 1,01,87,111 | 4,918 | 1,01,92,029 |
| ODI fees | 2,08,768 | – | 2,08,768 |
| 43B fees | 24,780 | – | 24,780 |
| Total | 1,29,09,404 | 75,739 | 1,29,85,143 |
B. Capturing date of Birth/Incorporation of FPI in the FPI Registration Certificate
2.3. The Common Application Form (“CAF”) is used by Foreign Citizens/ Foreign Entities for the purpose of registration as FPI with SEBI, opening of bank and demat accounts, as well as for making application for Permanent Account Number (PAN). Presently, FPI Registration Certificate is accepted as proof of identity and proof of address for allotment of PAN (as per Rule 158 of Income Tax Rules, 2026).
2.4. The Central Board of Direct Taxes (CBDT) vide Gazette notification dated March 20, 2026, has notified new PAN application forms for Foreign Citizens/ Foreign Entities. These PAN forms requires, inter-alia, the applicants to submit proof of date of birth and proof of date of incorporation while applying for a PAN.
2.5. Pursuant to the above notification, it is submitted by Custodians and Designated Depository Participants Standards Setting Forum (CDSSF) that the FPI registration certificate issued by SEBI may be accepted as a proof of date of birth/incorporation for PAN application purposes, just as it is accepted as proof of identity and address. As the current registration certificate issued by SEBI does not contain the details of date of birth/incorporation of the applicant, CDSSF requested SEBI to consider capturing the same in the FPI registration certificate.
2.6. Regulation 7(1) of SEBI FPI Regulations prescribes that Designated Depository Participants (DDPs) shall on behalf of the Board grant certificate of registration to an FPI as specified in the First Schedule. Further, the format of FPI Registration Certificate is provided in the First Schedule to the SEBI FPI Regulations.
3. Need for Review:
A. Payment of SEBI FPI and FVCI Registration & Related Fees
3.1. Following difficulties are faced due to fees payment in USD:
i. Fees received in USD have to be manually accounted in the SAP Portal of SEBI and invoices for the same have to be prepared manually. This manual process is time consuming and lacks real time accounting visibility, leading to delays in financial reporting.
ii. In several cases charges during remittance of USD and the subsequent conversion charges are deducted from the fees received in the ICICI Bank account, thereby resulting in shortfall in fee received and discrepancies during reconciliation.
iii. Identification of the corresponding FPI/ FVCI and the services for which fees is paid involves co-ordination between relevant departments of SEBI for reconciliation of data is a rigorous process that consumes many man-hours.
iv. Custodians make payment only within first five days of a month, hence any fee due after 5th till end of month, is only paid in the subsequent month leading to opportunity cost for SEBI.
B. Capturing date of Birth/Incorporation of FPI in the FPI Registration Certificate
3.2. Pursuant to the new PAN forms notified by CBDT, an apostilled copy of proof of birth/incorporation is required to be submitted to CBDT for allotment of PAN, as the registration certificate issued by SEBI does not contain date of birth/incorporation.
3.3. In order to simplify the process for FPIs and to facilitate ease of onboarding to them, it is proposed that date of incorporation may be captured in the FPI Registration Certificate.
4. Proposal: It is proposed that:
4.1. To address the concerns mentioned at para 3.1, it is proposed that the fees applicable for FPI and FVCI be specified in INR in the concerned Regulations. The FPIs and FVCIs shall pay the registration fees in eligible foreign exchange equivalent to fees specified by the Board in INR terms as mentioned under para 4.2 to the Designated Depository Participant (DDP) prior to the grant of registration. The DDP shall remit the registration fees received from FPIs/FVCIs in INR to SEBI within 5 working days from the grant of registration to the FPIs/FVCIs.
4.2. Proposed fees in INR
The total amount received from FPIs and FVCIs for various applicable fees during the FY 2025-26 was INR 1,15,98,31,320.03. With a view to ensure revenue neutrality for SEBI, the following fees are proposed in INR terms:
| Particulars | FPI (in INR) | FVCI (in INR) |
| Registration | Category I- 2,30,000 Category II- 23,000 |
2,30,000 |
| Renewal | Category I- 2,30,000 | 9,000 |
| Category II- 23,000 | ||
| Late Fees | Category I- 4500 per day Category II- 500 per day | 500 per day subject to a maximum of 15,000 |
| ODI Subscriber fees | 75000 | – |
| 43B fees | 90,000 | – |
4.3. Timeline for applicability of the proposed amendments
The aforesaid proposals at paras 4.1 and 4.2 will require changes to be made in the processes and systems for transitioning from making payments from USD to INR, therefore, it is proposed that a time period of six months, from the date of relevant notification, may be provided for implementation of the aforesaid proposals.
4.4. The date of Birth/ Incorporation/ Agreement/Partnership or Trust Deed/ Formation of Body of Individuals or Association of Persons may be captured in the FPI Registration Certificate. This shall be with effect from the date of notification of amendment to Regulations.
5. Deliberations in CDSSF and FPI Advisory Committee (FAC)
The proposals at para 4.1, para 4.2 and para 4.3 were discussed in the CDSSF and FAC. After deliberations, CDSSF and FAC agreed with the proposals mentioned at para 4.1, para 4.2 and para 4.3.
6. A comparison of the existing provisions with the proposed amendments to the FPI Regulations and FVCI Regulations in respect of fee is placed at Annexure A. A comparison of the existing format of the FPI Registration Certificate with the proposed format capturing the date of Birth/ Incorporation of FPI in the FPI Registration Certificate is placed at Annexure B. The draft notification for the proposed amendments to FPI Regulations and FVCI Regulations are placed at Annexure C and D
7. Proposal to the Board
The Board is requested to consider and approve the proposals at Para 4 above with suitable amendments as considered appropriate and authorize the Chairman, to make consequential and incidental changes and take necessary steps to give effect to the decision of the Board.
Encls:
1. Annexure A – Comparison of the existing provisions with the proposed amendments to the FPI Regulations and FVCI Regulations (01 page)
2. Annexure B – Comparison of the existing format of the FPI Registration Certificate with the proposed format capturing the date of Birth/ Incorporation of FPI in the FPI Registration Certificate (01 page)
3. Annexure C – Draft notification for the proposed amendments to FPI Regulations (01 page)
4. Annexure D- Draft notification for the proposed amendments to FVCI Regulations (01 page)
Annexure A
Amendment to SEBI (Foreign Portfolio Investors) Regulations, 2019 and SEBI (Foreign Venture Capital Investors) Regulations, 2000 shall be notified after following the due process.
Annexure B
Amendment to SEBI (Foreign Portfolio Investors) Regulations, 2019 shall be notified after following the due process
Annexure C
Amendment to SEBI (Foreign Portfolio Investors) Regulations, 2019 shall be notified after following the due process.
Annexure D
Amendment to SEBI (Foreign Venture Capital Investors) Regulations, 2000, shall be notified after following the due process.
