On September 12, 2025, the International Financial Services Centres Authority (IFSCA) issued a circular announcing significant amendments to the regulatory framework governing Global Access in the International Financial Services Centre (IFSC). This circular, referenced as File No. IFSCA-PLNP/80/2024-Capital Markets, aims to enhance the operational efficiency and competitiveness of Global Access Providers and Introducing Brokers within the IFSC.
Background of the Regulatory Framework
The initial circular titled “Regulatory Framework for Global Access in the IFSC” was released on August 12, 2025. It outlined specific requirements for maintaining bank accounts in the IFSC for global access business activities. Key clauses from the circular included:
Clause 27: Mandated that all funds from clients participating in global access must be routed through a bank account in the IFSC. Existing Global Access Providers were given a deadline of October 31, 2025, to comply with this requirement.
Clause 36: Required Global Access Providers and Introducing Brokers to maintain separate bank accounts for their global access activities and their activities within the IFSC, specifically with an International Banking Unit in the IFSC.
Clause 37: Stipulated that a separate bank account must be maintained for clients’ funds to ensure segregation from proprietary trading funds. This account must also be held with an International Banking Unit in the IFSC.
New Amendments and Options for Market Participants
In response to representations from market participants, the IFSCA has decided to introduce flexibility in the regulatory framework. The new amendments allow Global Access Providers and Introducing Brokers the option to open bank accounts either with an IFSC Banking Unit licensed by the Authority or with a Payment Service Provider (PSP) authorized under the IFSCA (Payment Services) Regulations, 2024. This change is aimed at facilitating the movement of funds for global access activities in a more efficient and competitive manner.
The inclusion of PSPs in the regulatory framework is a significant step forward. By allowing authorized PSPs to facilitate cross-border payments, the IFSCA is enhancing the operational capabilities of market participants while ensuring that these activities remain regulated and secure. This move is expected to streamline processes and improve the overall efficiency of fund movements within the IFSC.
Immediate Implementation
The circular detailing these amendments comes into effect immediately, signaling the IFSCA’s commitment to adapting its regulatory framework to meet the evolving needs of the financial services industry. This proactive approach not only supports the growth of the IFSC but also aligns with global best practices in financial regulation.
Conclusion
The recent amendments to the regulatory framework for Global Access in the IFSC represent a significant development for broker-dealers, stock exchanges, and global access providers operating in this dynamic financial hub. By offering the option to utilize authorized PSPs for fund movements, the IFSCA is fostering a more competitive environment that can better serve the needs of clients and enhance the overall efficiency of cross-border transactions.
As the financial landscape continues to evolve, the IFSCA remains committed to ensuring that its regulatory framework supports innovation while maintaining the highest standards of compliance and security. Stakeholders are encouraged to review the circular and consider how these changes may impact their operations within the IFSC.