IFSCA introduces mandatory certification course for KMPs and core management staff of FMEs

The International Financial Services Centres Authority (IFSCA) has issued a circular dated April 1, 2026 (Circular) addressed to all regulated entities in the in the Gujarat International Finance Tec-City International Financial Services Centre (GIFT City IFSC). The Circular, effective immediately, prescribes a mandatory certification requirement for key managerial personnel (KMPs) and other employees discharging core management functions of the Fund Management Entities (FMEs) under the International Financial Services Centres Authority (Fund Management) Regulations, 2025 (FM Regulations).

Key highlights of the Circular have been outlined below:

1. The IFSCA has specified a mandatory certification course titled ‘Regulatory Framework for Fund Management in IFSC: AIFs and Retail Schemes’ offered by the Institute of Company Secretaries of India, for employees of FMEs in GIFT City IFSC.

2. FMEs are required to ensure that their KMPs and all other employees engaged in core fund management activities successfully complete the above certification course on or before September 30, 2026.

3. The FME and the person(s) in control of the FME are made expressly responsible for: (i) ensuring continuous adherence to the eligibility criteria for KMPs as prescribed under the FM Regulations and related circulars and guidelines; and (ii) ensuring timely completion of the specified certification course(s) by all relevant employees, in accordance with the Circular.

4. While the mandatory requirement is directed at KMPs and core fund management staff, the Circular also addresses broader capacity-building across the fund management ecosystem in GIFT-IFSC.

5. Employees of FMEs involved in providing non-operational / support services are encouraged to undertake the certification.

6. In addition, entities supporting the fund management ecosystem in GIFT-IFSC—including, but not limited to, trustees, intermediaries and fund administrators are encouraged to have their personnel pursue this course to: (i) enhance professional competence; (ii) ensure regulatory preparedness; and (iii) promote higher standards of operational excellence within the IFSC.

Conclusion:

Through this Circular, IFSCA operationalises the certification framework contemplated under the FM Regulations by prescribing a specific course for KMPs and employees performing core fund management functions in FMEs.