The Securities and Exchange Board of India (SEBI) has extended the Single Window Automatic and Generalised Access for Trusted Foreign Investors (SWAGAT-FI) framework to Foreign Venture Capital Investors (FVCIs).
The move aims to simplify registration, renewal, and KYC requirements for trusted foreign investors, while improving ease of doing business and operational efficiency in India’s venture capital ecosystem.
Background of the SEBI Circular
SEBI had earlier issued operational guidelines for FVCIs in September 2024. Following the notification of the SEBI (Foreign Venture Capital Investors) (Amendment) Regulations, 2025 on December 3, 2025, SEBI has now amended these guidelines to incorporate the SWAGAT-FI framework for eligible FVCIs.
Single-Window Registration for SWAGAT-FI FVCIs
Under the revised framework:
- A SWAGAT-FI FVCI applicant may apply for FVCI and FPI registration simultaneously
- No separate FVCI application form or additional documents are required
- The FVCI application will be processed using the information and documents submitted for FPI registration
This benefit is available only if the applicant appoints the same custodian and Designated Depository Participant (DDP) for both FPI and FVCI registrations.
Conversion to SWAGAT-FI FVCI Status
Existing FVCIs that meet the eligibility criteria for SWAGAT-FI FPI may convert to SWAGAT-FI FVCI status by applying through their DDP.
This conversion is also subject to the condition that the same custodian and DDP are maintained for both registrations.
Revised Renewal and Registration Validity Norms
SEBI has introduced extended validity periods for SWAGAT-FI FVCIs:
For FVCIs Registered on or Before December 31, 2019
- Renewal fee to be paid by March 31, 2025
- For subsequent cycles starting January 1, 2030:
- Registration validity will be 10 years for SWAGAT-FI FVCIs
- Renewal fee and information updates must be submitted at least 15 days before expiry
For FVCIs Registered After December 31, 2019
- Renewal fee and information updates must be submitted at least 15 days before completion of the initial registration block
- Registration validity is 10 years for SWAGAT-FI FVCIs, compared to five years for others.
Reduced KYC Review Frequency
For SWAGAT-FI FVCIs, SEBI has significantly relaxed compliance requirements:
- KYC review periodicity extended to once every 10 years
- This reduces administrative burden while maintaining regulatory oversight.
Implementation Date
- The revised SWAGAT-FI framework for FVCIs will come into effect from June 1, 2026
- Depositories, custodians, and DDPs have been directed to update their systems accordingly.
Why This Matters for Foreign Venture Capital Investors
The extension of SWAGAT-FI to FVCIs is expected to:
- Simplify onboarding and compliance for trusted investors
- Encourage long-term foreign capital into India’s startup and venture ecosystem
- Reduce duplication in registration and documentation
- Align India’s FVCI framework with global best practices
Overall, the initiative reinforces SEBI’s objective of balancing regulatory efficiency with market integrity.
Source: SEBI Circular dated 16/01/2026