India Post partners with SBI Mutual Fund to streamline KYC Verification Services
Published: Apr 30, 2025
By TIOLCorplaws News Service
NEW DELHI, APR 30, 2025: IN a landmark initiative aimed at simplifying the customer on-boarding process for mutual fund investors, the Department of Posts (DoP) has entered into a strategic partnership with SBI Funds Management Limited (SBIFM), a prominent asset management company. The collaboration, formalized through a Memorandum of Understanding (MoU), will leverage India Post's extensive network to provide doorstep KYC verification services for investors of SBI Mutual Fund. This initiative aims to streamline the KYC process, ensuring convenience, security, and regulatory compliance for investors across India.
The MoU was officially signed between the Manisha Bansal Badal, General Manager, Business Development Directorate, Department of Posts, and Munish Sabharwal, Senior Vice President, SBI Funds Management Limited, in a ceremony held at Dak Bhawan, New Delhi.
India Post, with its vast network of over 1.64 lakh post offices spread across even the remotest corners of the country, is uniquely positioned to support initiatives aimed at financial inclusion. With post offices in urban areas, rural towns, remote villages, and even areas with limited access to other financial services, the Department of Posts has the unparalleled reach to assist with customer service requirements, including KYC verification.
As part of the MoU, India Post will facilitate the completion of KYC formalities for SBI Mutual Fund investors by collecting the necessary forms and documents from investors across the country. The KYC documents will be collected by India Post's trained personnel, ensuring a high level of security, accuracy, and privacy in the process.
By leveraging India Post's nationwide network, this partnership will ensure that investors, regardless of their location, can easily complete the KYC process. This will be particularly beneficial for investors in rural, underserved, and far-flung areas who often face challenges in accessing traditional financial services. The door-to-door KYC service will offer immense convenience to investors, allowing them to complete the entire process from the comfort of their homes. This is particularly advantageous for senior citizens, individuals with mobility challenges, or those living in remote areas, where access to physical banking services is limited.
This collaboration directly supports the Government of India's Jan Nivesh initiative, which aims to increase financial inclusion and encourage more people to participate in India's capital markets. It also contributes to the ongoing efforts to digitize financial services under the Digital India program. With India Post's trusted network, this partnership will help demystify the KYC process and provide a gateway for individuals, particularly in rural and semi-urban areas, to engage with investment products such as mutual funds. By offering KYC services at the doorstep, the initiative also plays a crucial role in educating the masses about the importance of compliance with financial regulations.
India Post's role in facilitating KYC verifications has been demonstrated through its successful collaboration with other mutual fund companies, including UTI Mutual Fund and SUUTI (Securities and Exchange Board of India's public fund). In these partnerships, India Post successfully handled over 5 lakh KYC verifications in a short period, showcasing its ability to manage high-volume operations with precision, security, and efficiency.
India Post is actively exploring new avenues for collaboration with both public and private sector organizations in the financial services sector. With its strong infrastructure, trained workforce, and credibility, India Post is well-positioned to play a larger role in promoting financial literacy, digital on-boarding, and investment participation among the Indian populace.
