RBI Updates UNSC Sanctions List Under UAPA Section 51A

RBI Directs Implementation of Updated UNSC Terrorist Sanctions List

The Reserve Bank of India (RBI), on October 27, 2026, issued two notifications—RBI/2026-27/302 and RBI/2026-27/301—directing all regulated entities, including commercial banks, NBFCs, co-operative banks, and financial institutions, to implement updates to the United Nations Security Council’s (UNSC) Consolidated Sanctions List under Resolution 1267 (1999), as amended by Resolutions 1989 (2011) and others concerning ISIL (Da'esh) and Al-Qaida. The updates include the amendment of three entries and removal of three others from the list, in compliance with Section 51A of the Unlawful Activities (Prevention) Act, 1967.

Section 51A, introduced via the Unlawful Activities (Prevention) Amendment Act, 2019, mandates central government authorities, including the RBI, to freeze, seize, or attach the funds, financial assets, or economic resources of individuals and entities designated by the UNSC. The directive applies to all commercial banks, small finance banks, payment banks, urban and rural co-operative banks, regional rural banks, local area banks, non-banking financial companies (NBFCs), asset reconstruction companies, and all-India financial institutions. The entities are directed to ensure immediate implementation of the updated list to prevent financial flows to designated individuals and groups.

"All financial institutions must review their customer databases and transaction profiles immediately and ensure full compliance with the updated sanctions list,"

the RBI circular emphasized. Non-compliance may attract regulatory action under the Prevention of Money Laundering Act, 2002. This development reinforces India’s alignment with global counter-terrorism financing standards and mandates robust Know Your Customer (KYC) and transaction monitoring systems across the financial sector.