The Securities and Exchange Commission of India (SEBI) has proposed a merchandise exchange and liquidation company to maintain a capacity of twice the forecast peak load of critical IT systems, half of the current four hour load.
Product exchanges are required to maintain trading system capacity at least four times the peak load, following existing guidelines for 2016. However, it was not clear about the company’s liquidation, and the rules only applied to exchanges.
The proposal followed feedback from exchanges and observations by Sebi’s Technical Advisory Committee, flagging critical underuse of existing IT infrastructure.
Draft rules include forward-looking capacity planning, quarterly stress testing and an automated real-time alert system. If the utilization rate exceeds 75% of the installed capacity, immediate corrective action must be taken by the stock exchange and the liquidation company.
The projected peak load should be based on a 180-day trend and a 60-day forecast, but with board approval, a shorter period can be adopted. All hardware, software, and vendor systems are included in the new framework.
The entity must also maintain the asset register and obtain utilization thresholds approved by the Standing Committee on Technology (SCOT) and the Governance Committee.
Regulators requested public comment by July 20th. Once completed, the implementation policy must be submitted by the exchange and CCS within three months.
Released on June 30, 2025
