The International Financial Services Centres Authority (IFSCA) has issued a consultation paper seeking comments on the draft of the IFSCA (Procedure for Making Regulations and Subsidiary Instruction) Regulations, 2025.
The draft seeks to replace the 2021 framework and aims to promote ease of doing business by strengthening transparency, stakeholder participation, and regulatory clarity in the IFSC ecosystem.
Key highlights of the proposed regulations include:
1. ๐๐ฑ๐ฉ๐๐ง๐๐๐ ๐๐ฉ๐ฉ๐ฅ๐ข๐๐๐๐ข๐ฅ๐ข๐ญ๐ฒ: ย While the 2021 Regulations focused solely on โregulationsโ, the 2025 draft introduces the concept of โsubsidiary instructions-covering circulars, guidelines, frameworks, etc., and mandates public consultation for those involving substantive policy.
2. ๐๐๐ง๐๐๐ญ๐จ๐ซ๐ฒ ๐ฉ๐ฎ๐๐ฅ๐ข๐ ๐๐จ๐ง๐ฌ๐ฎ๐ฅ๐ญ๐๐ญ๐ข๐จ๐ง: The new regulations propose mandatory public consultation not just for regulations, but also for key subsidiary instructions (circulars, guidelines, frameworks) with clear timelines and publication of public feedback. Further, the draft Regulations propose exploration of additional consultation mechanisms beyond website publication, including expert or advisory committees;
3. ๐๐ข๐ง๐ข๐ฆ๐ฎ๐ฆ 21 ๐๐๐ฒ๐ฌ: IFSCA will provide a minimum of 21 calendar days for receiving public comments.
4. ๐๐ฑ๐๐ฆ๐ฉ๐ญ๐ข๐จ๐ง๐ฌ: These regulations are not applicable to procedural or internal matters, exigencies, matters concerning market integrity where regulatory intervention may be required regulations, etc.
These draft regulations mark a shift towards a more participatory and transparent regulatory process within IFSCs especially for subsidiary instruction.