SEBI to propose SOP for unscheduled market holidays

Tuhin Kanta Pandey, Chairman of the SEBI | Photo Credit: Reuters The Securities and Exchange Board of India (SEBI) is set to propose a standard operating procedure (SOP) for operational activities related to unscheduled market holidays, as part of efforts to strengthen market resilience while improving efficiency and ease of doing business.“Our endeavour has been to build resilience and strengthen the risk management systems. At the same time, we want to facilitate greater efficiency and ease of doing business. We are also proposing to formulate an SOP for operational activities related to settlement on unscheduled holidays,” SEBI Chairperson Tuhin Kanta Pandey said at an event marking the 30th anniversary of NSE Clearing Ltd. in Mumbai on August 27.Addressing questions on potential changes to the newly introduced Closing Auction Session (CAS), Pandey said there were currently no plans to modify the system and expressed confidence that participation would increase over time.““We are working to rationalise certain periodic filings and simplify the processes even further,” he said.On the much-awaited initial public offering (IPO) of the National Stock Exchange (NSE), Pandey said SEBI was close to granting its approval, with a decision expected “in a couple of weeks.”Pandey also highlighted the need for market participants to prepare for emerging risks, including those arising from artificial intelligence (AI), legacy and obsolete technology, and common exposures that could amplify contagion risks across the financial system.He emphasised that while clearing systems may function smoothly when markets perform as expected, they must be designed to remain resilient when events do not go according to plan.The event was also attended by NSE CEO Ashish Kumar Chauhan and Vikram Kothari, Managing Director and CEO of NSE Clearing Ltd. Published - August 27, 2026 07:52 pm IST