Description
SEBI extends implementation timeline for margin obligations through pledge/re-pledge system from September 1, 2025 to October 10, 2025.
Summary
SEBI has extended the implementation timeline for margin obligations to be given through pledge/re-pledge in the depository system from September 1, 2025 to October 10, 2025. The extension was granted following representations from depositories (CDSL and NSDL) requesting additional time for system developments and end-to-end testing.
Key Points
- Original implementation date was September 1, 2025
- New implementation date is October 10, 2025
- Extension requested by CDSL and NSDL depositories
- Additional time needed for system developments and testing
- Aims to ensure smooth implementation without market disruption
Regulatory Changes
No changes to the underlying regulatory framework - only timeline extension for the existing SEBI circular dated June 3, 2025 on margin obligations via pledge/re-pledge system.
Compliance Requirements
- Stock Exchanges, Depositories and Clearing Corporations must notify members/participants
- Disseminate information on their websites
- Implement appropriate systems and procedures for compliance
- Make necessary amendments to Bye-laws, Rules and Regulations
- Complete system readiness and end-to-end testing by new deadline
Important Dates
- Original Implementation Date: September 1, 2025 (postponed)
- New Implementation Date: October 10, 2025
- Circular Issue Date: August 18, 2025
Impact Assessment
The extension provides market participants additional time for system preparations, reducing implementation risks. This affects all market intermediaries involved in margin collection and pledging processes, ensuring smoother transition without operational disruptions to investors and market players.
Impact Justification
Timeline extension affects market infrastructure implementation but provides necessary buffer for system readiness