The definition of politically exposed persons has been revised by RBI for KYC purposes

Current Context: The Reserve Bank of India (RBI) has indeed revised the definition of Politically Exposed Persons (PEPs) for Know Your Customer (KYC) purposes on 4th January 2024.

• As per the amendment to the Master Direction on KYC, PEPs are now defined as "individuals who are or have been entrusted with prominent public functions by a foreign country, including the heads of states/governments, senior politicians, senior government or judicial or military officers, senior executives of state-owned corporations and important political party officials".
• Bank accounts of PEPs have additional KYC norms under the current provisions and special due diligence has to be undertaken by a senior bank official.

Question:

Q.1 As per the amendment to the Master Direction on KYC, who are considered as PEPs?
a. Individuals who are or have been entrusted with prominent public functions by a foreign country
b. Individuals who are or have been entrusted with prominent public functions by their own country
c. Individuals who are or have been entrusted with minor public functions by a foreign country
d. Individuals who are or have been entrusted with minor public functions by their own country