SEBI Streamlines Cash Flow Disclosure in Corporate Bond Market

The Securities and Exchange Board of India (Sebi) has streamlined the operational process for cash flow disclosure in the corporate bond market. This comes after a comprehensive review of the Request for Quote (RFQ) Platform framework aimed at simplifying trade execution.

Under the new regulations, yield-to-price calculations on the RFQ platform have been simplified. Instead of relying on actual payment dates, the calculations will now be based solely on due dates listed in the cash flow schedule. This eliminates the need for complex day count adjustments, making the process more straightforward.

To promote transparency, Sebi now requires issuers to disclose detailed cash flow schedules, covering interest, dividends, or redemption payments, in the centralised corporate bond database. These requirements apply to new issues from August 18, 2025, and to existing ISINs throughout their remaining maturity.

(With inputs from agencies.)