The Pension Fund Regulatory and Development Authority (PFRDA) has issued an Exposure Draft dated 02 September 2026 proposing amendments to the Pension Fund Regulatory and Development Authority (Point of Presence) Regulations, 2018. The proposed amendments are intended to strengthen and broaden the Point of Presence (PoP) distribution network, particularly in last-mile and underserved areas, with the stated objective of facilitating wider access to pension products, effective subscriber servicing and prompt resolution of subscriber matters.
A significant proposal is the rationalisation of PoP categories and modes of distribution. Two distinct modes—physical mode and digital mode—are proposed. Digital mode would be an exclusive digital onboarding and servicing mode, with corresponding eligibility requirements.
The eligibility framework for entities regulated by financial sector regulators is also proposed to be widened. The existing restriction concerning the legal form of FSR-regulated applicants to companies, banks and NBFCs is proposed to be removed. Other eligible legal forms, including LLPs, Societies, Trusts and Co-operative Societies, would consequently be able to seek registration as PoPs, subject to the prescribed requirements.
Separate application frameworks are proposed for physical and digital modes. For physical mode, the application fee is proposed to increase from ₹10,000 to ₹25,000, while the application fee for digital mode is proposed to be waived. Timelines for processing applications are also proposed to be prescribed.
The eligibility requirements would be structured according to the distribution mode and nature of the applicant. For physical-mode PoPs, a minimum of five branches/offices is proposed, together with specified technological, financial and governance requirements. The proposed framework would also recognise entities regulated by other regulatory authorities, co-operative societies and specified legal forms such as LLPs, societies/associations and trusts for exclusive digital mode, subject to prescribed eligibility conditions.
The draft further proposes replacing the existing five-year renewal cycle with an annual fee mechanism. The proposed annual fee would be 1% of charges earned, subject to a minimum of ₹3,000 per annum. The exemption framework would also be widened to cover eligibility requirements relating to the number of branches and net worth, in addition to the existing framework.
For digital-mode onboarding, a separate digital collection account is proposed for each pension scheme undertaken by a PoP.
Another notable change concerns nomenclature. The expression “Pension Agent” is proposed to be replaced with “NPS Mitra”, with consequential amendments throughout the Regulations. PoPs would be required to formulate an internal approved policy for engagement of NPS Mitras instead of the existing Board-approved policy.
The Exposure Draft also proposes that PoPs intimate the Authority within seven days of any material change in information or particulars previously furnished where such change may adversely affect their Certificate of Registration. The provision relating to inspection or audit fees is proposed to be simplified by enabling the Authority to prescribe the manner and procedure for payment through guidelines, circulars, directions or instructions.
The Exposure Draft is open for stakeholder consultation. Comments, views and suggestions are invited on or before 02 October 2026. Stakeholders may submit comments through the online webform available on the PFRDA website or alternatively by email at [[email protected]](mailto:[email protected]) in the specified format. The existing Regulations can be accessed through the PFRDA website under “Regulatory Framework → Compendium”.
********
Pension Fund Regulatory and Development Authority
Exposure Draft – Amendments to Pension Fund Regulatory and Development Authority (Point of Presence) Regulations, 2018
Date: 02 September 2026
In exercise of its mandate to protect the interests of subscribers, the PFRDA proposes to amend the Pension Fund Regulatory and Development Authority (Point of Presence) Regulations, 2018. The proposed amendments are aimed to strengthening and broadening the PoP distribution network, particularly in last-mile and underserved areas, would facilitate wider access to pension products, effective subscriber servicing and prompt resolution of subscriber. The following are some of the key areas which are proposed for revision:
a. Rationalisation of categories of PoPs and modes of distribution: Two distinct modes, namely physical mode and digital mode, are proposed, with digital mode defined as an exclusive digital onboarding and servicing mode, along with corresponding eligibility requirements.
b. Widening of eligibility for FSR-regulated entities: The existing restriction on the legal form of FSR-regulated applicants to companies, banks and NBFCs is proposed to be removed, thereby enabling other eligible legal forms, including LLPs, Societies, Trusts, Co-operative Societies to seek registration as PoPs.
c. Separate application framework: Separate provisions are proposed for physical and digital modes, including revision of the application fee for physical mode from ₹10,000 to ₹25,000, waiver of application fee for digital mode, and prescribed timelines for processing applications.
d. Restructuring of eligibility criteria: Eligibility requirements are proposed to be structured based on the mode of distribution and nature of the applicant, including a requirement of at least five branches/offices for physical-mode PoPs, along with prescribed technological, financial and governance requirements.
e. Expansion of eligible entities: The framework is proposed to recognise entities regulated by other regulatory authorities, co-operative societies and specified legal forms such as LLPs, societies/associations and trusts for exclusive digital mode, subject to prescribed eligibility requirements.
f. Annual fee mechanism: The existing five-year renewal cycle is proposed to be replaced by an annual fee mechanism, with the annual fee proposed at 1% of charges earned, subject to a minimum of ₹3,000 per annum.
g. Widening of exemption provision: The exemption provision is proposed to cover eligibility criteria related to number of branches and net worth, in addition to the existing framework.
h. Digital collection account: A separate digital collection account for each pension scheme is proposed for PoPs undertaking onboarding through digital mode.
i. Nomenclature of Pension Agent: The expression “Pension Agent” is proposed to be replaced with “NPS Mitra”, with consequential amendments across the Regulations.
j. Governance of NPS Mitras: PoPs are proposed to formulate an internal approved policy for engagement of NPS Mitras, in place of the existing Board-approved policy.
k. Reporting of material changes: PoPs are proposed to intimate the Authority within seven days of any material change in information or particulars previously furnished that may adversely affect their Certificate of Registration.
l. Inspection/audit fees: The provision relating to inspection or audit fees is proposed to be simplified by enabling the Authority to prescribe the manner and procedure for payment through guidelines, circulars, directions or instructions.
2. The Exposure Draft containing the proposed amendments as placed at Annexure A is open for stakeholder consultation and the same can be accessed at PFRDA website at: “Regulatory Framework → Exposure Draft”. The comments/views/suggestions are invited on or before 02 October 2026.
3. Stakeholders can furnish their comments through the online webform accessible at pfrda.org.in . Alternatively, comments can also be furnished via email in the format provided below at [email protected] :
| Sl. | Regulation No. | Existing Regulation | Proposed Changes to the Regulation |
Stakeholder Comments | Rationale for suggestion |
4. The existing Regulations notified by the PFRDA can be accessed on the PFRDA’s website under “Regulatory Framework → Compendium”
