SEBI Proposes Shorter Disaster Recovery Drills and Stronger Backup Controls

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Published on September 16, 2026

SEBI Proposes Shorter Disaster Recovery Drills and Stronger Backup Controls

The Securities and Exchange Board of India (SEBI) has proposed enhanced business continuity and disaster recovery requirements for market infrastructure institutions, including stock exchanges. The proposed measures are aimed at improving operational resilience and strengthening preparedness against technology-related and other disruptions.

The consultation paper outlines measures covering three key areas: reducing the duration of mock disaster recovery drills, enhancing stress-testing requirements for primary data centres, and strengthening data recovery mechanisms.

SEBI has also proposed tighter controls over system configurations and backup arrangements to improve the reliability and recoverability of critical market infrastructure. The measures are intended to ensure that exchanges and other market infrastructure institutions can restore essential operations more effectively during disruptions. CASansaar

The regulator has invited public comments on the proposed changes as part of its consultation process.