Description
SEBI clarifies that there is no change in the existing regulatory framework for short selling, contrary to incorrect media reports about changes taking effect from December 22, 2025.
Summary
SEBI has issued a clarification (PR No. 85/2025) in response to incorrect media reporting about changes to the short selling framework. SEBI expressly states that there is no change in the existing regulatory framework for short selling and that reports suggesting changes would take effect from December 22, 2025 are incorrect.
Key Points
- Media article incorrectly reported changes to short selling framework effective December 22, 2025
- SEBI clarifies there is no change in existing short selling regulatory framework
- Current short selling regulations remain unchanged
- This is a media correction, not a regulatory update
Regulatory Changes
No regulatory changes. This press release explicitly confirms that the existing short selling framework remains unchanged.
Compliance Requirements
No new compliance requirements. Market participants should continue following existing short selling regulations.
Important Dates
- December 21, 2025: Date of clarification press release
- December 22, 2025: Date incorrectly mentioned in media reports (no changes applicable)
Impact Assessment
Minimal impact. This is a clarification to correct misinformation in media reporting. No operational changes are required by market participants. The existing short selling framework continues to apply without modification.
Impact Justification
This is a clarification press release correcting misinformation. No actual regulatory changes are being introduced, so operational and market impact is minimal.