NSDL expects all settlement backlog to be cleared by Thursday night after network glitch
NSDL anticipates resolving a settlement backlog by Thursday night following a network disruption affecting equity trade settlements.Summary
National Securities Depository Ltd. (NSDL) expects to clear all delayed equity trades by Thursday night after a technical network issue disrupted inter-depository settlement flows earlier in the week. The disruption stemmed from instability in NSDL’s network, temporarily impacting connectivity with Central Depository Services (India) Ltd. (CDSL), a crucial link for transferring securities. An NSDL spokesperson confirmed the issue was resolved and settlement activity is normalizing, stating, “It was a network issue…We have resolved it and expect complete normalcy by the end of tonight, with all pending trades being settled.”
Typically, shares are credited by 10:30 am and securities sold are debited by 3:30 pm the following trading day. The disruption caused delays in crediting shares bought on Tuesday and Wednesday to some investors’ demat accounts.
NSDL has initiated a review to enhance network resilience and prevent future occurrences, including a deeper evaluation of its redundancy frameworks and an independent assessment. The incident highlights the importance of robust disaster recovery and business continuity frameworks in India’s post-trade market infrastructure, prompting regulators to prioritize these measures.
(Source：The Hindu - Business Line)