The Securities and Exchange Board of India ("SEBI") vide its circular dated November 13, 20191 has amended its earlier circular dated June 19, 2019, on continuous disclosures and compliance norms which are to be followed by the entities whose municipal debt securities are listed or are proposed to be listed on the recognized stock exchanges.

The circular amends the provisions of earlier circulars to comply with the new amendments to the SEBI (Issue and Listing of Municipal Debt Securities) Regulations, 2015 ("ILDM Regulations") which, inter alia, include amendments on:

  • Revised timelines for submission of annual and half yearly financial results;
  • Compliance with respect to preparation and submission of financial statements;
  • Creation of escrow accounts for the purpose of payment obligations due to investors;
  • Creation of sinking fund account for redemption of municipal debt securities;

The provisions of this circular shall come into force with immediate effect.


1. Bearing number SEBI/HO/DDHS/CIR/P/134/2019

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