The Securities Exchange Board of India through circular dated September 1, 2021 has revised guidelines for Liquidity Enhancement Scheme in the Equity Cash and Equity Derivatives Segments. The Scheme shall have prior approval of the Governing Board of the Stock Exchange which will be valid for one year. The Governing Board of the Stock Exchange may give yearly approval till the time the scheme is in operation.
Its implementation and outcome shall be monitored by the Governing Board at quarterly intervals. The Stock Exchange shall introduce liquidity enhancement schemes on any security. Once the scheme is discontinued, the scheme can be re-introduced on the same security.
