SEBI Postpones Deadline for T+0 Settlement Cycle for QSBs to November 1, 2025

The Securities and Exchange Board of India (SEBI) has officially extended the implementation timeline for the optional T+0 rolling settlement cycle for Qualified Stock Brokers (QSBs) to 1 November 2025. This extension follows feedback received from QSBs and discussions with market participants, aiming to ensure a seamless transition without altering the original regulatory framework issued in December 2024.

Extension Granted Following Industry Feedback

Capital markets regulator SEBI announced on Tuesday that the deadline for operational readiness for QSBs, initially set for 1 May 2025, has now been extended to 1 November 2025. The decision comes in response to feedback from QSBs and consultations with stock exchanges, clearing corporations, depositories, and brokers.

“In order to ensure smooth implementation, it has been decided to extend the timeline for QSBs for putting in place the necessary systems and processes for enabling seamless participation of investors in optional T+0 settlement cycle, to November 1, 2025,” the Securities and Exchange Board of India (SEBI) said in a circular.

Framework and Responsibilities Remain Unchanged

As per SEBI’s earlier framework, stock brokers who are designated as QSBs and meet the parameter of minimum number of active clients for qualification as QSB as on 31 December 2024 must implement the required systems and processes to support the optional T+0 settlement cycle. Additionally, newly recognised QSBs must adopt the systems within three months of being included in the updated list.

The regulator also instructed market infrastructure institutions (MIIs) to amend relevant rules and byelaws, ensure implementation of the updated provisions, and communicate the changes widely to both market participants and investors.

SEBI had first introduced the optional T+0 (same day) settlement cycle in the equity cash market for 25 scrips in March 2024, available only to non-custodian clients. Later in December, the scope was expanded to include the top 500 scrips by market capitalisation.

Read More: BSE to Introduce T+0 Settlement for Block Deal Trading from May 2, 2025

Conclusion

The extension to 1 November 2025 for QSBs to implement the optional T+0 settlement cycle reflects SEBI’s commitment to a structured and coordinated transition. While the timeline is revised, the regulatory framework and operational guidelines from the December 2024 circular remain fully in effect.

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