Description

NSE Clearing announces international holidays for 2026 on which custodial rejections with code '2' will not attract penalties for institutional trades.

Summary

NSE Clearing Limited has notified trading members and custodians of 11 international holidays in 2026 on which custodial rejections indicated by rejection code ‘2’ will not attract penalties. This circular relates to the Delivery Versus Payment (DVP) mechanism for institutional trades and applies to the custodian confirmation day (T+1).

Key Points

  • 11 international holidays designated for penalty exemption in 2026
  • Custodial rejections with code ‘2’ will not attract penalties on these dates
  • Applies to trading members and custodians
  • Holiday exemption applicable for T+1 day (custodian confirmation day)
  • Relates to DVP (Delivery Versus Payment) framework for institutional trades

Regulatory Changes

No regulatory changes. This is a continuation of existing provisions under the DVP framework previously established via circular NSE/CMPT/6653 dated September 16, 2005.

Compliance Requirements

Trading Members and Custodians must:

  • Note the designated international holidays for 2026
  • Apply penalty exemptions for custodial rejections with code ‘2’ on these dates
  • Ensure systems account for T+1 day calculation when determining holiday applicability

Important Dates

2026 International Holidays (No Penalties for Code ‘2’ Rejections):

  1. Thursday, January 01, 2026
  2. Monday, January 19, 2026
  3. Monday, February 16, 2026
  4. Monday, May 25, 2026
  5. Friday, June 19, 2026
  6. Friday, July 03, 2026
  7. Monday, September 07, 2026
  8. Monday, October 12, 2026
  9. Wednesday, November 11, 2026
  10. Thursday, November 26, 2026
  11. Friday, December 25, 2026

Note: Holidays apply to custodian confirmation day (T+1 day)

Impact Assessment

Operational Impact: Low - This is a routine administrative notification that provides clarity on penalty exemptions for institutional trade settlements.

Market Impact: Minimal - Affects only the penalty framework for custodial rejections on specific international holidays, ensuring trading members and custodians are not penalized for confirmations delayed due to holidays abroad.

Affected Entities: Trading members and custodians processing institutional trades through the DVP mechanism.

Contact: NCL Clearing Operations - cm_clearing_ops@nsccl.co.in | 18002660050 (Option 2)

Impact Justification

Administrative circular listing international holidays for penalty exemptions on custodial rejections. Limited operational impact affecting only institutional trade confirmations on specific dates.