Understanding Key Amendments - February 2026

SECURITIES EXCHANGE BOARD OF INDIA

SEBI Constitutes Working Group on Technology Roadmap for Market Infrastructure Institutions (MIIs)

Overview

On 8 January 2026, the Securities and Exchange Board of India (SEBI) constituted a Working Group to develop a short-term (5-year) and long-term (10-year) Technology Roadmap for Market Infrastructure Institutions (MIIs). This move reflects SEBI’s recognition of the rapidly evolving role of technology in securities markets, particularly in areas such as trading operations, market surveillance, risk management, investor protection, and regulatory oversight.

The Working Group will take a forward-looking and integrated view of how MIIs can adopt emerging technologies to ensure that India’s securities market remains robust, secure, and globally competitive in the digital era.

Key Highlights

• The Working Group will design both a 5-year and a 10-year technology roadmap for MIIs, addressing current needs as well as future technological shifts.

• The roadmap will examine adoption of advanced technologies including AI and machine learning, distributed ledger technology, cloud computing, SupTech and RegTech solutions, tokenisation, and quantum-safe systems.

• The Group is chaired by Dr. D. B. Phatak, Professor Emeritus at IIT Bombay, and includes Chairpersons of the Standing Committee on Technology of MIIs, senior officials from stock brokers and Registrars and Transfer Agents (RTAs), and experts in technology and securities markets.

• Emphasis is placed on resilience, cybersecurity, scalability, and alignment between technological innovation and regulatory objectives.

The constitution of the Working Group is likely to shape a more technology-driven regulatory and operational framework for MIIs over the next decade. Once the roadmap is finalised, MIIs and market participants may face clearer expectations on technology adoption, cybersecurity resilience, data governance, and system interoperability. Greater use of AI, cloud infrastructure, SupTech and RegTech solutions could enhance real-time supervision, risk management, and compliance efficiency, while also increasing regulatory scrutiny. At the same time, the focus on advanced technologies such as tokenisation and quantum-safe systems signals a push towards future-proofing market infrastructure against emerging risks. Overall, the initiative is expected to drive sustained investment in technology, talent, and controls, strengthening market integrity and positioning the Indian securities market as resilient, globally competitive, and aligned with India’s long-term digital economy vision.

SEBI Facilitates Seamless Digital Signature Certificate Functionality for FPIs

Overview

On 8 January 2026, SEBI introduced an enhanced Digital Signature Certificate (DSC) functionality for Foreign Portfolio Investors (FPIs) within the Common Application Form (CAF) portal. This initiative is part of SEBI’s broader effort to digitise and simplify the FPI onboarding process. The new functionality integrates the FPI registration application and the DSC application into a single, unified workflow, allowing applicants to obtain a DSC directly while submitting their CAF.

Key Provisions

• FPIs can now apply for a DSC and submit their registration application simultaneously through the CAF portal, eliminating the need for separate processes.

• The enhancement follows SEBI’s March 27, 2023 circular permitting FPIs to use digital signatures for execution of CAF and other registration-related documents.

• Embedding DSC issuance within the CAF portal makes the process faster, more efficient, and more user-friendly for FPI applicants.

• Detailed process flows and FAQs have been made available on the India Market Access Portal to assist applicants.

This development is expected to significantly reduce timelines and procedural friction in FPI onboarding, making India’s securities market more accessible to global investors. Over time, greater reliance on integrated digital processes may lead to increased standardisation, fewer documentation-related delays, and improved regulatory efficiency. The move also signals SEBI’s continued focus on end-to-end digitisation of market access frameworks, which could pave the way for further automation and technology-led reforms in investor registration, compliance, and ongoing reporting for FPIs.

Securities and Exchange Board of India (Mutual Funds) Regulations, 2026

Overview

On 14 January 2026, SEBI notified a comprehensive revamp of the Mutual Fund Regulations, replacing a framework that has largely remained unchanged for over thirty years. Approved at SEBI’s December board meeting, the revised regulations will come into force from 1 April 2026 and are aimed at strengthening transparency, governance, and investor protection in the mutual fund industry. The overhaul introduces a reworked expense structure, enhanced disclosure requirements, and expanded accountability for trustees and senior management of asset management companies.

Key Highlights

• Performance-Linked Base Expense Ratio: Mutual fund schemes may now offer a base expense ratio linked to scheme performance, subject to conditions including expense ratio structure and disclosures prescribed by SEBI.

• Introduction of Base Expense Ratio (BER): The new framework separates the asset management companies (AMC’s) management fee as a Base Expense Ratio, with other costs such as brokerage, securities transaction tax, stamp duty, and exchange fees to be disclosed separately instead of being bundled under the Total Expense Ratio.

• Enhanced Governance Framework: The roles and responsibilities of trustees and key managerial personnel have been expanded standards across asset management companies (AMCs), strengthening oversight and accountability within mutual fund houses.

• Rationalisation of Brokerage Caps: Brokerage limits have been reduced across segments, with cash market caps lowered to 6 base points (bps) from 8.59 bps earlier and derivatives brokerage capped at 2 bps from 3.89 bps.

• Improved Transparency and Disclosures: Clearer expense categorisation and enhanced disclosures are intended to help investors better understand the true cost of investing in mutual fund schemes.

The revised regulations are likely to significantly alter how mutual fund costs are structured, disclosed, and monitored, bringing greater clarity for investors and tighter oversight for AMCs. Performance-linked expenses may push fund managers to align pricing more closely with outcomes, while the separation of management fees from transaction-related costs enhances transparency and comparability across schemes. At the same time, stricter governance responsibilities for trustees and senior management could raise compliance expectations and operational discipline across the industry. Over the long term, the reforms are expected to strengthen investor confidence, promote fairer pricing, and modernise India’s mutual fund regulatory framework in line with global best practices.

SEBI issues Circular on ‘’Simplification of requirements for grant of accreditation to investor’’

Overview

On 9 January 2026, SEBI in exercise of powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992, read with Regulations 2(1)(ab) and 36 of AIF Regulations, issued a circular simplifying the requirements for grant of accreditation to investors under the Accredited Investor framework introduced in the SEBI (Alternative Investment Funds) Regulations, 2012 which was notified on 03 August 2021. Further, various modalities in this regard were specified vide SEBI circular dated 26 August 2021 [subsumed in Chapter 12 of master circular for Alternative Investment Funds (AIFs) dated 07 May 2024 (master circular)].  Subsequently, simplification requirements for grant of accreditation to investors were issued vide SEBI Circular SEBI/HO/AFD/PoD1/2023/189 dated 18 December 2023. The circular builds on earlier amendments and clarifications issued in 2021 and 2023 and is aimed at reducing procedural friction in the accreditation process while maintaining prudential safeguards for AIFs. The changes take effect immediately and apply to all AIFs and recognised accreditation agencies.

Key Highlights

• Interim Execution Pending Accreditation

  Investment managers are now permitted to finalise and execute contribution agreements and initiate operational processes based on their own assessment of an investor’s eligibility, even before the formal accreditation certificate is issued.

• Safeguards on Corpus and Fund Flow

  Commitments from such investors will not be counted towards the scheme corpus, and funds cannot be received, until the investor obtains the accreditation certificate from an accreditation agency, preserving compliance with corpus-based prudential norms for AIFs.

• Simplification of Net Worth Documentation

  The requirement to submit a detailed break-up of net worth as an annexure to the net worth certificate has been removed based on market representation, which was in  reference  to  accreditation  based  on  net-worth  criteria,  as  per  Annexure  A under ‘Annexure 8 of master circular: modalities of accreditation’. Chartered accountants may now simply certify whether the investor meets the prescribed threshold, without specifying the exact net worth amount.

• Enhanced Compliance Oversight

  Trustees, sponsors, or managers of AIFs must ensure that compliance with this circular is captured in the Compliance Test Report prepared by the manager in terms of Chapter 15 under the Master Circular for AIFs.

The revised framework is expected to expedite investor onboarding and reduce documentation-related delays for AIFs, particularly in time-sensitive fundraising scenarios. By allowing contribution agreements to be executed pending formal accreditation, the circular provides greater operational flexibility to fund managers while retaining safeguards around corpus calculation and fund receipt. Over time, streamlined net worth certification and clearer compliance expectations may improve consistency across accreditation agencies, lower transaction friction for sophisticated investors, and support more efficient capital formation in the AIF ecosystem without diluting investor protection.

Ease of doing investment - SEBI issues Circular on “Special window for Transfer cum Dematerialization of Physical Securities”

Overview

On 30 January 2026, SEBI in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with regulation 101of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Regulation 37 and 38 of Securities and Exchange Board of India(Registrars to an Issue and Share Transfer Agents) Regulations, 2025, announced the opening of a special one-time window to facilitate the investors to get rightful access to their securities and the transfer and dematerialization (demat) of physical securities that were bought or sold prior to 1 April 2019. This initiative is aimed at easing long-standing investor difficulties in securing legal ownership of physical securities and builds on the earlier special window introduced on 02 July 2025 for re-lodgement of transfer deeds. The measure seeks to protect investor rights while advancing SEBI’s broader objective of moving the securities market towards full dematerialization.

Key Highlights

• One-Year Special Window: The window will remain open from 5 February 2026 to 4 February 2027 for eligible transfer and dematerialization requests.

• Coverage of Earlier Rejections: The facility extends to transfer requests that were earlier rejected, returned, or not processed due to documentation or procedural deficiencies.

• Mandatory Dematerialization with Lock-in: Securities transferred through this window will be credited only in demat form and will be subject to a one-year lock-in from the date of transfer registration, during which they cannot be transferred, pledged, or lien-marked.

• Clear Eligibility Framework: Only transfers executed before 1 April 2019, supported by original security certificates and executed transfer deeds, are eligible under the window.

• Prescribed Documentation: Transferees must submit original certificates, executed transfer deeds executed prior to April 01, 2019, proof of purchase (where available), KYC documents of the transferee (as per ISR forms), a recent Client Master List not older than 2 months, of the demat account of the transferee, duly attested by the Depository Participant, and an undertaking-cum-indemnity as per the format at Annexure-A.

Certain obligations have been placed on Listed Companies, RTAs and Depositories to mandatorily verify PAN, identity proof and address proof of transferor(s) and transferee(s), resolve name mismatch between PAN and transfer deed through Officially Valid Documents or gazette notification, and address signature difference or non-availability as per Para (B) of Schedule VII of the SEBI (LODR) Regulations, 2015. Where objection memo is not delivered, the transferor is non-cooperative/untraceable, or required documents are unavailable, an advertisement of the proposed transfer seeking objections within 30 days must be published in one English national daily and one regional language daily of the transferor’s last known address, also hosted on the company’s website, with only minimal charges, and transfer effected only after 30 days. Legal heir(s) may claim securities if the transferee is deceased under the transmission procedure. Securities credited to the transferee’s demat account are subject to a one-year lock-in, which continues if fraud is detected, and release is only in favour of the claimant pursuant to a competent court order.

Further, the  listed  companies  and  RTAs  shall process  the  transfer  requests  within  70  days from   the   date   of   receipt   of   request   from   the   transferee   with   complete documentation and shall publicize the opening of this special window through various media including print and social media, once every two months during the one-year period.

The special window is expected to resolve a significant number of legacy cases involving physical securities, allowing investors to finally obtain clear and enforceable ownership in demat form. By mandating dematerialisation and imposing a temporary lock-in, SEBI balances investor facilitation with safeguards against misuse. Over time, this initiative should further reduce the volume of physical securities in the market, improve transparency in ownership records, and support SEBI’s long-term goal of a fully digitised, secure, and investor-friendly securities ecosystem.

Securities and Exchange Board of India (Stock Brokers) Regulations, 2026

Overview

On 7 January 2026, SEBI in  exercise  of  the  powers  conferred  by  section  30  read  with section 11(2) and section 12 of the Securities and Exchange Board of India Act, 1992 (15 of 1992) notified the SEBI (Stock Brokers) Regulations, 2026, introducing a comprehensive and modernised framework governing the registration, conduct, and responsibilities of stock brokers and clearing members in India’s securities market. The Regulations, which came into force immediately, replace the three-decade-old SEBI (Stock Brokers) Regulations, 1992. The new regime consolidates registration norms, operational obligations, governance standards, and investor protection requirements, reflecting the increased complexity, scale, and technology dependence of today’s securities markets. 

Key Highlights

• Unified and Flexible Registration Framework: A SEBI-registered stock broker may act as a clearing member, and vice versa, in any segment with the approval of the relevant exchange or clearing corporation, without the need for separate registration. The provisions of Chapters II, Chapter III, Chapter V, Chapter VI and Chapter VIII of these regulations other than provisions specified under regulation 13, regulation 14, regulation 15(5) and regulation 19 shall mutatis mutandis apply to a clearing member and any reference to a recognised stock exchange in that case shall be taken as reference to a clearing corporation.

• Detailed Registration and Eligibility Process: Applications are routed through recognised stock exchanges, which assess eligibility and forward recommendations to SEBI within prescribed timelines. Brokers may operate across exchanges and segments subject to approvals. The Board shall consider all matters it deems relevant for grant of certificate and examine whether the applicant is eligible for membership of a recognised stock exchange; has adequate infrastructure and at least two years’ experience in trading or dealing in securities; has been subjected to disciplinary proceedings or enforcement action; is a fit and proper person under Schedule II of the SEBI (Intermediaries) Regulations, 2008; has any financial liability due under the Act or SCRA; has obtained NISM or specified certification; satisfies minimum net worth and deposit requirements; and has a designated director staying in India for not less than 182 days (existing brokers to comply within six months). On satisfaction, the Board shall grant certificate subject to conditions and intimate the stock exchange; it may refuse after hearing, communicate reasons within thirty days, allow reconsideration, and require payment of specified fees, with up to six months’ extension on sufficient cause.

• Expanded Compliance and Governance Requirements: Mandatory appointment of a compliance officer, maintenance of minimum net worth, adherence to a detailed Code of Conduct, and prompt redressal of investor grievances within 21 days.

• Enhanced Record-Keeping and Transparency: Brokers must maintain extensive physical or electronic records, including transaction registers, client ledgers, contract notes, margin records, and depository documentation, with special provisions for execution-only platforms.

• Stronger Investor Protection and Risk Management: Obligations include segregation of client funds and securities, robust risk management systems, cybersecurity frameworks, confidentiality safeguards, and compliance with KYC, SCORES, ODR, and Investor Charter requirements.

• Market Integrity and Surveillance: Brokers are required to establish systems to detect and report fraud or market abuse, supported by whistleblower protections and board-level accountability.

• Inspection, Action and Relaxation Powers of the Board: The Board may inspect stock brokers through an inspecting authority or auditor (including joint inspections), with or without notice in investor/public interest; brokers and their management must assist, provide records, allow access and examination, after which the Board may take action and recover inspection costs. Brokers are liable for violations such as excessive brokerage, non-compliance, default, non-cooperation, manipulation, unregistered/off-exchange dealing, non-furnishing of information, and non-payment of penalties. The Board may grant regulatory sandbox exemptions and relax enforcement on specified grounds, with recorded reasons and confidential treatment up to 180 days.

• Code of Conduct for Stock Brokers: Stock brokers must maintain integrity, fairness and diligence, act in investors’ interest, avoid fraud, manipulation, false markets, unfair solicitation and misleading statements, and provide competent, confidential and prompt client service, including execution, contract notes and payments, while managing conflicts of interest. As underwriters, they must act ethically with issuers, avoid misrepresentation, disclose conflicts, protect confidential information, report material adverse changes, transfer business if required, avoid unfair competition, and not engage in price manipulation or UPSI sharing.

• Payment of Fees: Registered brokers and clearing/self-clearing members in cash, commodity derivatives and electronic gold receipt segments shall pay turnover-based fees on transactions (including off-market), plus Rs. 50,000 annual fee for clearing/self-clearing members and Rs. 50,000 non-refundable application fee, via SEBI’s online gateway. Exchanges collect and remit monthly, maintain records; primary liability remains with the intermediary, 1% monthly interest applies for delay, financial year is 1 April–31 March, and provisions apply mutatis mutandis to clearing corporations.

• Networth and Deposit Requirements: Members must maintain minimum base networth of Rs. 1 crore (trading), Rs. 5 crore (self-clearing), Rs. 15 crore (clearing) and Rs. 50 crore (professional clearing), or higher variable networth where applicable (not for Execution Only Platforms), computed with specified inclusions/exclusions and lower norms for currency derivatives. Prescribed segment-wise deposits (e.g., Rs. 50 lakh for derivatives, Rs. 1 crore for electronic gold receipts) must be maintained with exchanges/clearing corporations, with debt segment exemption for gross settlement without settlement/trade guarantee fund.

The SEBI (Stock Brokers) Regulations, 2026 are expected to significantly raise governance, compliance, and operational standards for market intermediaries. By replacing fragmented and outdated norms with a consolidated framework, the Regulations bring greater regulatory clarity and flexibility, particularly by allowing seamless roles across broking and clearing functions. At the same time, the expanded obligations around risk management, cybersecurity, surveillance, and investor protection may increase compliance costs and oversight for brokers, especially smaller entities. Over the long term, the framework is likely to strengthen market integrity, improve investor confidence, and align India’s broking ecosystem with global best practices in a technology-driven and increasingly digital securities market.

RESERVE BANK OF INDIA

Reserve Bank of India and European Securities and Markets Authority sign a Memorandum of Understanding on cooperation and exchange of information related to Central Counterparties

Overview

On 27 January, 2026, the Reserve Bank of India (RBI) and the European Securities and Markets Authority (ESMA) have entered into a fresh Memorandum of Understanding on cooperation and information sharing relating to Central Counterparties regulated and supervised by the RBI. This MoU replaces the earlier arrangement signed on 28 February 2017 and updates the framework to reflect evolving regulatory standards and cross-border clearing realities. The agreement strengthens supervisory coordination between Indian and European Union (EU) regulators while supporting the stability of global financial markets.

Key highlights

• The MoU creates a formal mechanism for cooperation and exchange of supervisory information relating to RBI-regulated Central Counterparties (CCPs).

• It allows ESMA to place regulatory reliance on RBI’s oversight and supervisory framework, subject to safeguards for EU financial stability.

• The arrangement aligns with each authority’s domestic legal and regulatory framework, without diluting their respective powers.

• It reinforces the role of international regulatory cooperation in enabling cross-border clearing and settlement activities.

• The updated MoU reflects current market practices and regulatory expectations, replacing the 28 February 2017 agreement.

The MoU is expected to ease regulatory friction for Indian CCPs seeking or maintaining recognition in the European Union. By enabling supervisory reliance, it reduces duplicative oversight and supports smoother cross-border clearing access for market participants. Over time, this may enhance India’s integration with global derivatives and clearing markets, improve confidence among international investors, and support financial stability through closer coordination between regulators. The agreement also signals India’s continued commitment to aligning its financial market infrastructure with global standards while retaining strong domestic supervision.

RBI Issues Amendment Directions on Priority Sector Lending - Targets and Classification

Overview

On 19 January, 2026, the Reserve Bank of India (RBI) issued the Reserve Bank of India (Priority Sector Lending – Targets and Classification) (Amendment) Directions, 2026, amending the Master Directions on Priority Sector Lending issued in 2025. The amendments are intended to align the priority sector lending (PSL) framework with recent regulatory changes, expand the scope of eligible on-lending institutions, and tidy up references and clarifications in existing provisions. The amended directions will take effect from the date specified in the notification.

Key highlights

• The PSL framework has been updated to reflect regulatory changes that have been notified separately, ensuring consistency across RBI instructions.

• The National Cooperative Development Corporation (NCDC) has been notified as an eligible entity under the on-lending route of PSL, subject to prescribed conditions.

• Certain references to existing instructions have been updated to remove ambiguity and improve interpretational clarity.

• The amendments also provide clarification on select provisions of the 2025 Master Directions, reducing scope for inconsistent application by regulated entities.

The inclusion of NCDC as an eligible on-lending entity is likely to broaden credit flow to the cooperative and rural sectors, particularly in agriculture and allied activities. For banks and financial institutions, the amendments offer greater flexibility in meeting PSL targets through on-lending while maintaining regulatory alignment. The clarificatory changes should also reduce compliance uncertainty and supervisory friction. Overall, the amendments signal RBI’s intent to fine-tune the PSL framework to support priority sectors more efficiently, while keeping the regime aligned with evolving regulatory and institutional structures.

RBI issues Reserve Bank - Integrated Ombudsman Scheme, 2026

Overview

On 16 January, 2026, the Reserve Bank of India (RBI) has issued the revised Reserve Bank – Integrated Ombudsman Scheme (RB-IOS), 2026, after examining feedback received on the draft Reserve Bank – Ombudsman Scheme, 2025 that was released on October 7, 2025. The final scheme incorporates modifications based on stakeholder and public feedback, details of which are set out in an annexure to the notification. The RB-IOS, 2026 will come into force from July 1, 2026 and is intended to further strengthen the RBI’s grievance redressal framework.

Key Highlights

• The revised scheme consolidates and strengthens the existing ombudsman framework under an integrated structure.

• Feedback from stakeholders and the public has been formally reviewed and incorporated into the final scheme, improving clarity and operational effectiveness.

• The scheme aims to enhance efficiency in complaint handling and resolution by streamlining processes under a unified framework.

The RB-IOS, 2026 is expected to improve consumer confidence by making grievance redressal faster, more consistent, and easier to navigate across regulated entities. For banks and other RBI-regulated institutions, the integrated framework may lead to more standardized handling of complaints and closer supervisory scrutiny of grievance trends. Over time, the scheme is likely to reduce fragmentation in ombudsman processes, improve accountability, and reinforce trust in the financial system through a more responsive and transparent dispute resolution mechanism.

Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026 and Directions on Export and Import of Goods and Services

Overview

On January 16, 2026, the Reserve Bank of India issued the Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026 along with the corresponding Directions on Export and Import of Goods and Services. These regulations and directions will come into force from October 1, 2026. The new framework replaces a largely prescriptive approach with a more principle-based regime, with the stated objective of promoting ease of doing business, particularly for small exporters and importers, while enabling faster and more efficient service delivery by Authorised Dealers.

Key highlights

• The regulations adopt a principle-based approach, moving away from detailed procedural prescriptions.

• The framework is designed to simplify compliance requirements for exporters and importers, with a specific focus on smaller businesses.

• Authorised Dealers are empowered with greater operational flexibility to handle export and import transactions and provide quicker customer service.

• The regulations and directions have been finalised after considering stakeholder feedback on draft versions issued vide Press Releases dated 2 July 2024 and 4 April 2025.

• An annexure to the notification sets out RBI’s response to major comments received during the consultation process, enhancing transparency.

The new FEMA export–import framework is expected to reduce compliance friction and transaction delays, especially for MSMEs engaged in cross-border trade. Greater reliance on principles and enhanced discretion for Authorised Dealers may improve turnaround times and customer experience, while also shifting greater responsibility onto banks for sound risk assessment and monitoring. Over time, the regulations could contribute to more efficient trade finance processes, improved export competitiveness, and a more facilitative foreign exchange regime aligned with India’s evolving trade and payments ecosystem.

RBI issues Reserve Bank of India (Internal Ombudsman) Directions, 2026

Overview

On January 14, 2026, the Reserve Bank of India (RBI) has issued a set of Master Directions on Internal Ombudsman mechanisms applicable to different categories of regulated entities. These directions follow the draft Master Direction released on October 7, 2025 for public and stakeholder consultation. After examining the feedback received, RBI has incorporated suitable modifications into the final framework and issued separate, entity-specific directions to strengthen internal grievance redressal systems.

Key highlights

• The draft Internal Ombudsman framework released on October 7, 2025 has been finalised after considering stakeholder and public feedback, with details of feedback and RBI’s response set out in an annexure.

• Separate Master Directions have been issued for each category of regulated entity, including commercial banks, small finance banks, payments banks, Non-Banking Financial Companies (NBFCs), non-bank prepaid payment instruments (PPI) issuers, and credit information companies.

• The directions mandate a structured internal ombudsman mechanism within regulated entities to review and resolve customer complaints before they escalate externally.

• The framework aims to improve independence, consistency, and effectiveness of internal grievance handling across the financial sector.

These directions are expected to significantly strengthen in-house grievance redressal and reduce the burden on external ombudsman mechanisms. For regulated entities, the new framework will require tighter processes, clearer accountability, and potentially enhanced governance around complaint handling. Over time, this may lead to faster resolution of customer grievances, improved consumer trust, and closer supervisory scrutiny of how entities manage and learn from complaint trends. The directions also align with RBI’s broader push towards early, internal resolution of disputes as a key pillar of consumer protection.

INSOLVENCY AND BANKRUPTCY BOARD OF INDIA

IBBI (Liquidation Process) (Amendment) Regulations, 2026 

Overview

The Insolvency and Bankruptcy Board of India (IBBI) has notified the Insolvency and Bankruptcy Board of India (Liquidation Process) (Amendment) Regulations, 2026 on 2 January 2026. The amendment modifies the reporting and compliance framework applicable to liquidators under the Liquidation Process Regulations, 2016. The changes come into force from the date of publication in the Official Gazette.

Key Amendments

• Regulation 47B(1) has been replaced to provide that the liquidator must file forms, along with their enclosures, as notified by the IBBI from time to time, on an electronic platform of the Board, and within the timelines specified for each form.

• The earlier version prescribed specific reporting requirements within the regulation itself. The amendment shifts this to a dynamic, notification-based framework, allowing the Board to modify forms and timelines without amending the regulations each time.

The amendment streamlines and strengthens the liquidation compliance framework by allowing the IBBI to prescribe and update filing requirements through notifications rather than repeated regulatory amendments. This gives the regulator greater flexibility to respond to practical and supervisory needs, while reinforcing a fully digital, centralised reporting mechanism. For liquidators, it increases the responsibility to closely monitor IBBI notifications and adhere strictly to revised forms and timelines, as non-compliance may arise not from the regulations themselves but from subsequent Board directions. Overall, the change is aimed at improving regulatory oversight, consistency in reporting, and real-time monitoring of liquidation proceedings.

Disclaimer:-

The content provided in this update is for educational and informational purposes only and should not be construed as legal advice or the opinion of Tempus Law Associates. Tempus Law Associates disclaims any liability in connection with the use of this information without seeking appropriate legal counsel.