IFSCA Allows PSPs Or IFSC Banking Units For Fund Accounts In Global Access Framework

Circular File No. IFSCA-PLNP/80/2024-Capital Markets, Dated: 12.09.2025

1. Introduction

The International Financial Services Centres Authority (IFSCA) has issued a circular introducing flexibility for Global Access Providers and Brokers in the International Financial Services Centre (IFSC). This measure is aimed at enhancing operational efficiency and broadening compliance options for market participants.

2. Key Provision

Under the revised norms, Global Access Providers and Brokers are now permitted to maintain both client funds and proprietary funds with either an IFSC Banking Unit (IBU) or a Payment System Provider (PSP). The PSP must be authorised under the IFSCA (Payment Services) Regulations, 2024, ensuring adherence to regulatory standards.

3. Applicability to Global Access Framework

This regulatory allowance specifically covers activities falling under clauses 27, 36, and 37 of the Global Access framework. These activities are critical for cross-border market access, investor participation, and operational settlement within the IFSC ecosystem.

4.Objective of the Circular

By expanding the permissible avenues for fund maintenance, the IFSCA seeks to strengthen the financial infrastructure of IFSC, foster greater investor confidence, and provide entities with more flexibility in their operational arrangements. This is also aligned with the Authority’s vision of creating a globally competitive and well-regulated financial hub.

5. Conclusion

The circular comes into immediate effect, allowing entities to take advantage of the revised framework without delay. This move underscores the IFSCA’s proactive approach in balancing regulatory compliance with business facilitation to support growth in IFSC markets.

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