The Reserve Bank of India(RBI) announced that the requirement to update KYC information on a regular basis has been extended for another three months, till March 31, 2022. The relaxation was granted in light of the current uncertainties surrounding the new omicron variant. When the second wave of COVID-19 reached the country in May and many states imposed lockdowns, the RBI gave individuals till December 31, 2021, to update their KYC information. The extension was granted so that banks and other regulated companies do not impose cash deposit or withdrawal limitations on account holders.
Regulated institutions such as banks, mutual funds, and financial enterprises are expected to comply with know-your-customer (KYC) rules under the central bank’s mandate. Account users must provide papers such as proof of identification and proof of address, with the option of submitting KYC forms, video KYC or exchanging documents using DigiLocker.