The Securities and Exchange Board of India (SEBI) has taken a major step towards making investment in India easier for foreign investors. SEBI has introduced ‘SWAGAT-FI’ framework, which is an integrated registration system. The main objective of this new arrangement is to simplify the compliance and onboarding process for foreign investors, so that they can enter the Indian market without any hassle.
FPI and FVCI registration from a single application
The biggest feature of the SWAGAT-FI framework is that now eligible foreign investors will be freed from the hassle of separate registration. Under this new system, investors can register to obtain both Foreign Portfolio Investor (FPI) and Foreign Venture Capital Investor (FVCI) status through a single application. This will eliminate the need to fill separate forms and submit documents. At the same time, it also allows investors to manage their securities under different capacities through an integrated investment and accounting experience.
Validity of registration now 10 years
Giving relief to foreign investors, SEBI has extended the validity period of registration. Under this new framework, registration will now be valid for 10 years. This means that investors will not have to go through the renewal process again and again. Additionally, the registration fee will now also have to be paid only once per decade (every 10 years). This move will save both cost and time for foreign investors.
Which foreign investors will be eligible?
This framework specifically targets low-risk and “credible” foreign investors who have strong regulatory oversight in their home jurisdictions. Existing FPIs who meet the eligibility criteria can also convert to SWAGAT-FI status by applying to their Designated Depository Participant (DDP). Additionally, certain contribution-related restrictions have been removed for SWAGAT-FI FPIs, particularly in respect of resident Indian contributions made through the Liberalized Remittance Scheme (LRS).
List of Major Beneficiaries
SEBI has clarified that the primary beneficiaries of this framework will include government and financial institutions. The table below shows the main categories that can avail the benefits of this scheme:
Investor Category Description Central Banks Central banks of various countries Sovereign Wealth Funds Government-owned investment funds Mutual funds Appropriately regulated and broad-based funds Insurance and pension funds International insurance companies and pension schemes
date of entry into force
SEBI has issued a circular in this regard on 16 January 2026. The provisions of this framework will come into effect from June 1, 2026, giving market participants adequate time to adapt to the new system. This deadline will provide custodians and other intermediaries the opportunity to update their systems in accordance with SWAGAT-FI requirements.
Last Updated: 17 January 2026
