LEI registration as a strategic lever for Indian companies in digital global trade

28 května 2025

The digitalisation of global trade is increasing the need for standardised, trustworthy identifiers for legal entities. The Legal Entity Identifier (LEI) has established itself internationally as such a standard. For Indian companies seeking to modernise their processes and capitalise on international business opportunities, LEI registration is now not only relevant from a regulatory perspective but also essential in terms of business strategy.

LEI in India: Regulatory Pressure Meets Digital Opportunities

https://irdai.gov.in/Indian authorities, including the Reserve Bank of India (RBI), the Securities and Exchange Board of India (SEBI), and the Insurance Regulatory and Development Authority of India (IRDAI), have already made the LEI mandatory for various market segments. Examples:

– OTC derivative transactions

– Large borrowers in the banking sector

– Listed transactions

– Insurance companies

As a result, the number of Indian companies with valid LEI registrations is steadily increasing—a positive trend that strengthens international trust in the Indian market.

Use cases for the LEI in international trade

The use of the LEI goes beyond mere regulatory compliance. In international trade, in particular, the LEI Number can massively increase efficiency and security in the following areas:

– Digital customs clearance and freight documents

standardised identification of exporters, importers and logistics service providers simplifies the digital processing of trade documents.

– KYC and AML processes in banking

Banks can significantly reduce onboarding times for corporate customers through LEI-controlled validation.

– ESG reporting and supply chain transparency:

LEI-based links to environmental and social data can be used to provide evidence of sustainable supply chains.

– Smart contracts and blockchain trading platforms:

LEIs are increasingly being used as reliable identifiers in decentralised networks.

These applications convert the LEI number into a digital asset comparable to a global company’s unique identifier, similar to a passport number.

How LEI registration works in India

Indian companies can apply for their LEI number via authorised bodies such as lei.net. The process is divided into:

1. online registration with basic legal data and documents

2. validation by the Local Operating Unit (LOU)

3. assignment and publication of the LEI in the global GLEIF database

The entire process can be completed in a few days – a small investment with high strategic value.

Conclusion: LEI as the key to international competitiveness

The increasing combination of regulatory requirements, technological progress and global trade makes the LEI number indispensable for Indian companies. Those who invest in LEI registration early on will not only benefit from compliance advantages but also from a higher market reputation, efficiency and access to new digital business models.

Now is the right time to apply for your LEI – and prepare your company for the digital future of trade.