INDIA

AML / KYC

UIDAI, NPCI Testing Face Authentication with Banks

By Editors | 08/10/2020

NPCI has commenced phase one tests of using facial authentication in non-financial transactions with ICICI Bank, Yes Bank, RBL Bank and Fino Payments Bank.

Capital / Liquidity

RBI Defers Implementation of NSFR, Final Tranche of CCB

By Editors | 02/10/2020

The delays are a result of “continuing stress on account of Covid-19”, giving banks a further six months until 1 April 2021 to meet the higher requirements.

Securities / Derivatives

SEBI Orders Faster Liquidation of Defaulting Brokers’ Assets

By Editors | 01/10/2020

Stock exchanges and clearing corporations should sell brokers’ securities if debit balances are not cleared in 5 days, and to sell other broker assets six months after the default.

Securities / Derivatives

SEBI Guidelines for Investment Advisers Take Effect

By Duruthu E Chandrasekera | 29/09/2020

The guidelines, finalised in July, require investment advisors to only offer either advisory or distribution services to a client, but not both.

Securities / Derivatives

SEBI Considers ‘Backstop Facility’ for Debt Mutual Funds

By Duruthu E Chandrasekera | 29/09/2020

The backstop facility would have to be able to buy relatively illiquid investment-grade corporate bonds from mutual funds in times of stress.

Enforcement

SEBI Quadruples Penalties Against CRAs Over IL&FS Failures

By Editors | 26/09/2020

In December, SEBI issued INR 2.5 million penalty orders against ICRA, India Ratings & Research and Care Ratings. This has been raised to INR 10 million.

Capital / Liquidity

India Establishes Netting Certainty for Bilateral OTC Derivatives

By Manesh Samtani | 24/09/2020

Parliament passed a bill providing legal basis for bilateral netting of OTC derivatives contracts which are not centrally cleared.

Securities / Derivatives

SEBI Issues Risk Management Rules for Negative Commodity Prices

By Editors | 23/09/2020

Clearing corporations are directed to ensure their systems are ready to implement the alternate risk management framework by 21 November.

Market Infrastructure

SGX, NSE Formalise Agreement to Operationalise ‘Connect’

By Manesh Samtani | 22/09/2020

The Connect will bring trading of SGX Nifty products to GIFT City to create a larger pool of liquidity, comprising both foreign and domestic market participants.