The Reserve Bank of India has issued directions to all regulated entities to implement updates to the UNSC’s 1267/1989 ISIL (Da’esh) & Al-Qaida sanctions list pursuant to Section 51A of the UAPA, 1967. Three entries in the sanctions list have been amended, requiring immediate action by financial institutions to ensure compliance.
RBI Directs Financial Institutions to Implement Amended UNSC Sanctions List
The Reserve Bank of India (RBI), on October 19, 2026, issued a circular (RBI/2026-27/296) addressed to all regulated entities—including commercial banks, co-operative banks, non-banking financial companies, and financial institutions—requiring them to implement updates to the United Nations Security Council’s (UNSC) 1267/1989 ISIL (Da’esh) & Al-Qaida sanctions list. This action is taken under Section 51A of the Unlawful Activities (Prevention) Act, 1967 (UAPA), which mandates enforcement of sanctions as prescribed by the UNSC.
The circular notifies that three entries in the sanctions list have been amended, including modifications to the names, aliases, and identifying details of designated individuals and entities. Financial institutions are instructed to immediately screen their databases and freeze assets related to the listed persons or entities without delay, in accordance with their obligations under the UAPA.
"All entities are required to ensure strict compliance with the updated sanctions list and report any non-compliance or difficulties in implementation to the concerned authorities immediately,"
The directive reinforces the RBI’s ongoing role in ensuring that India’s financial system remains aligned with global counter-terrorism and anti-money laundering standards. Practitioners in banking and financial regulation must ensure that client onboarding, KYC, and transaction monitoring systems are updated with the latest UNSC data to mitigate legal and reputational risks.
Citations
- The Unlawful Activities (Prevention) Act, 1967, Section 51A
