SEBI Nears NSE IPO Approval; T+0 Settlement Delayed
Overview
India's market regulator, SEBI, is poised to grant a no-objection certificate for the National Stock Exchange's long-awaited IPO by month-end. In parallel, SEBI is shelving immediate plans for T+0 settlement due to implementation challenges. The regulator also announced upcoming simplified KYC norms for retail investors and NRIs to boost market participation.
NSE IPO Nears Reality
The Securities and Exchange Board of India (SEBI) is on the verge of approving the National Stock Exchange's (NSE) initial public offering. SEBI Chairman Tuhin Kanta Pandey indicated on Saturday that a no-objection certificate is likely by the end of the month, paving the way for NSE to proceed with further listing formalities.
T+0 Settlement Put on Hold
Pandey also stated that the regulator is not actively pushing for the T+0 rolling settlement in the equity cash market. Citing significant challenges and limited voluntary adoption, SEBI views the mechanism as potentially disruptive without clear benefits. The deadline for optional T+0 implementation for qualified stock brokers was previously extended to November 2025.
Simplified Onboarding Planned
To attract new investors, SEBI is set to introduce a streamlined Know Your Customer (KYC) process. This initiative aims to reduce paperwork for retail investors and non-resident Indians, enhancing the onboarding experience. Consultations will be held for a secure end-to-end KYC framework for NRIs, eliminating the need for physical visits to India.
Market Growth Continues
India's capital markets have seen robust growth, with unique investors swelling to 13.7 crore from 4.3 crore in FY20. The markets have facilitated Rs 1.7 lakh crore in capital raising through 311 IPOs in the first nine months of the current fiscal year.
