SEBI to consider broker feedback on RBI's new funding norms
Business
SEBI is stepping up after stockbrokers raised concerns about the Reserve Bank of India's (RBI) new funding norms.
The updated rules, which kick in from April 2026, would tighten banks' funding to proprietary traders under capital market exposure rules and include a proposal to increase bank guarantee collateral requirements to 100% from 50%.
SEBI Chairman Tuhin Kanta Pandey said the regulator will listen to broker feedback before making any decisions.
Industry groups warn of potential negative impact
These changes could make trading more expensive and slow down market activity, which isn't great for anyone who invests or follows stocks.
Industry groups say it could make it harder for brokers to borrow money.