What changed
The UNSC has removed 5 individuals and 2 entities from its ISIL (Da'esh) and Al-Qaida Sanctions List. The RBI has informed banks about these updates, effective from May 21, 2026.
What it means for you
Banks must review and update their customer due diligence processes to ensure compliance with the updated sanctions list. This includes verifying the identities of customers and checking for any links to the removed entities.
What you must do
- Review and update customer due diligence processes to ensure compliance with the updated sanctions list
- Verify the identities of customers and check for any links to the removed individuals and entities
- Update internal systems and procedures to reflect the changes in the sanctions list
Who it affects
Commercial Banks, Small Finance Banks, Payment Banks, Urban Co-operative Banks, Rural Co-operative Banks, Regional Rural Banks, Local Area Banks, Non-Banking Financial Companies, Asset Reconstruction Companies, All India Financial Institutions
What is the impact of the updated sanctions list on banks?
Banks must review and update their customer due diligence processes to ensure compliance with the updated sanctions list.
What are the key steps banks must take to comply with the updated sanctions list?
Banks must verify the identities of customers and check for any links to the removed individuals and entities, and update internal systems and procedures to reflect the changes in the sanctions list.
What is the deadline for banks to comply with the updated sanctions list?
The updates are effective from May 21, 2026, and banks must take immediate action to comply.