Description

NSE Clearing Limited revises position limits for KARURVYSYA and HDFCBANK in Securities Lending & Borrowing Scheme effective August 28, 2025.

Summary

NSE Clearing Limited has revised the Market Wide Position Limit (MWPL) and position limits for participants, institutional clients, and non-institutional clients for KARURVYSYA and HDFCBANK securities in the Securities Lending and Borrowing Scheme for August 2025.

Key Points

  • Revised limits effective from August 28, 2025
  • HDFCBANK MWPL increased from 663,950,991 to 1,327,901,982 shares (doubled)
  • KARURVYSYA MWPL increased from 78,833,004 to 94,599,605 shares
  • All participant and client limits increased proportionally
  • References previous circulars NCL/CMPT/67763 and NCL/CMPT/69437

Regulatory Changes

HDFCBANK Limit Changes:

  • Market Wide Position Limit: 663,950,991 → 1,327,901,982 shares
  • Institutional Client Limit: 66,395,099 → 132,790,198 shares
  • Participant Limit: 66,395,099 → 132,790,198 shares
  • Non-Institutional Client Limit: 6,639,509 → 13,279,019 shares

KARURVYSYA Limit Changes:

  • Market Wide Position Limit: 78,833,004 → 94,599,605 shares
  • Institutional Client Limit: 7,883,300 → 9,459,960 shares
  • Participant Limit: 7,883,300 → 9,459,960 shares
  • Non-Institutional Client Limit: 788,330 → 945,996 shares

Compliance Requirements

  • All participants and custodians must note the revised limits
  • Ensure compliance with new position limits from August 28, 2025
  • Monitor positions against the updated thresholds in Securities Lending & Borrowing operations

Important Dates

  • Circular Date: August 26, 2025
  • Effective Date: August 28, 2025
  • Applicable Period: August 2025

Impact Assessment

The revision represents a substantial increase in position limits, particularly for HDFCBANK where limits have doubled. This expansion provides greater flexibility for institutional and retail participants in the Securities Lending & Borrowing Scheme, potentially increasing market liquidity and participation for these securities. The changes reflect updated market conditions and demand patterns in the SLB segment.

Impact Justification

Significant increase in position limits for two major stocks affecting market participants in SLB scheme