SEBI on Wednesday proposed a framework to introduce an IT Resilience Index (ITRI) for Market Infrastructure Institutions (MIIs), to strengthen oversight of critical technology systems in the securities market.
In a consultation paper, SEBI said the proposed index would offer a structured, system-driven mechanism to assess the health and robustness of IT systems across stock exchanges, clearing corporations and depositories. The regulator has invited public comments on the framework until April 15.
The ITRI aims to provide periodic insights into system performance and help MIIs identify vulnerabilities and areas for improvement. It will also enable comparability across institutions through a uniform set of metrics and weightages.
Key parameters
Under the proposal, the index will be computed based on parameters such as availability and security (20 per cent weight each), integrity and governance (10 per cent each), as well as reliability, business continuity, modularity and flexibility (10 per cent each). Scalability and other factors, including incident handling, will carry lower weights.
MIIs will be required to compute the index on a half-yearly basis within 60 days of the end of each period, with comparative analysis submitted to SEBI within 90 days. The computation is expected to be largely automated to minimise discretion and enhance reliability.
An Industry Standards Forum will finalise detailed sub-parameters, thresholds and scoring methodology to ensure consistency. MIIs have already implemented a beta version of the framework and are expected to fully operationalise it within six months, with the first reporting due for the half-year ending September 2026.