The International Financial Services Centres Authority (IFSCA) has amended its Circular on permissible transactions through Special Non-Resident Rupee (SNRR) accounts of IFSC units by substituting Clause 3 of the earlier circular dated 29 January 2025. The amendment follows changes made to the circular exempting certain entities and activities from the applicability of the IFSCA Anti Money Laundering, Counter-Terrorist Financing and Know Your Customer Guidelines, 2022. Under the revised provision, financial institutions operating in an IFSC may transact or receive monetary consideration arising from business-related transactions outside the IFSC through an SNRR account maintained with an authorised dealer in India outside the IFSC. However, such amounts must be remitted to the financial institution’s account maintained with an IFSC Banking Unit (IBU) in a specified foreign currency within 30 working days of receipt. The remittance requirement does not apply to amounts credited to the SNRR account for meeting administrative expenses. The circular takes immediate effect.
International Financial Services Centres Authority
CIRCULAR No. IFSCA-FMPPOBR/4/2024-Banking | Dated: June 19, 2026
To
All Regulated Entities in the International Financial Services Centre
Subject: Amendment to the Circular titled “Permissible transactions through the Special Non-Resident Rupee (SNRR) accounts of IFSC units — Amendment”.
Sir/Madam,
Reference may be drawn to the Circular no. F No. IFSCA-FMPPOBR/4/2024-Banking/2 titled “Permissible transactions through the Special Non-Resident Rupee (SNRR) accounts of IFSC units — Amendment” (hereinafter referred to as “SNRR Circular”), dated January 29, 2025, issued by the Authority.
In this regard, in view of the amendment to the Circular titled “Exempting certain entities/activities from the applicability of International Financial Services Centres Authority (Anti Money Laundering, Counter-Terrorist Financing and Know Your Customer) Guidelines, 2022”, dated November 18, 2024, through the Circular dated June 19, 2026, issued by the Authority, it has been decided that Clause 3 of the SNRR Circular shall be substituted as follows:
“All Financial Institutions may note that an amendment to the regulations, notified on January 14, 2025, permits a unit set up in an IFSC to open an SNRR account with an authorised dealer in India (outside IFSC) for its business-related transactions outside IFSC.
In this regard, it is clarified that such financial institution may transact or receive the monetary consideration (i.e. funds/fees/amount etc.) emanating from business-related transactions outside IFSC through the said SNRR account, subject to the condition that the amount so received shall be remitted to the account maintained by such financial institution with an IBU in a specified foreign currency within a period of thirty (30) working days from the date of its receipt in the SNRR account:
Provided that the requirement of remittance shall not be applicable on amounts credited to such SNRR account for meeting administrative expenses.
3. This Circular is issued in exercise of powers conferred by Sections 12 and 13 of the International Financial Services Centres Authority Act, 2019 to develop and regulate the financial products, financial services and financial institutions in the International Financial Services Centre and shall come into force with immediate effect.
A copy of this Circular is available on the website of the International Financial Services Centres Authority at https://ifsca.gov.in/.
Yours faithfully,
(Supriyo Bhattacharjee)
Executive Director
Head – Department of Banking
