SEBI Issues Master Circular on Social Stock Exchange
In News
What Happened
Why It Matters
Background
History & Context
What Changed
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BEFORE: Guidelines for SSE listing, ZCZP issuance, and social impact reporting were scattered across multiple separate SEBI circulars issued since 2022. NOW: All rules are consolidated into a single Master Circular, creating a one-stop reference for compliance.
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BEFORE: NPOs and FPEs often faced ambiguity regarding the specific timelines and formats for Annual Impact Reports (AIR) due to fragmented regulatory updates. NOW: The Master Circular standardizes the ESG disclosure norms and clearly defines the mandatory templates and audit requirements for social impact reporting.
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BEFORE: Regulatory navigation for minimum fund-raising limits and registration conditions required cross-referencing overlapping notifications. NOW: The circular streamlines registration conditions and issue sizes, simplifying the onboarding process for social enterprises.
Prelims Angle
NCERT Connection
Practice Questions
Q1
With Reference ToWith reference to the Social Stock Exchange (SSE) in India, consider the following statements: 1. Zero Coupon Zero Principal (ZCZP) instruments are issued by For-Profit Social Enterprises (FPEs) to raise traditional equity capital. 2. The SSE framework allows both Not-for-Profit Organizations (NPOs) and For-Profit Social Enterprises (FPEs) to participate. Which of the statements given above is/are correct?