SEBI proposes shorter DR drills, stronger resilience for market infrastructure

The Securities and Exchange Board of India (SEBI) has suggested conducting shorter disaster recovery drills and implementing stronger resilience measures for market infrastructure institutions (MIIs) in India. This proposal includes carrying out DR drills on non-working days for at least four hours, which would involve switching from the primary data center to the disaster recovery site.

MIIs would continue to simulate real-life market conditions and operational scenarios, including near-capacity loads. SEBI stated that these changes are intended to enhance operational resilience and simplify compliance for MIIs, and they are seeking public feedback on the proposal by October 5. The regulator also aims to improve stress testing at the primary site, requiring MIIs to test various system components, such as database sizes and non-transactional elements.

Additionally, MIIs must monitor system limits and improve error logging to facilitate easier error interpretation. SEBI has proposed a framework for stock exchanges to recover lost trade data in the event of data replication issues between clearing corporations and the near site or disaster recovery site. All comments must be in English, full sentences, and non-abusive or personal.