SEBI extends NPO registration validity for SSE and lowers minimum subscription for ZCZP
In April 2026, the Securities Exchange Board of India (SEBI) relaxed key norms for the Social Stock Exchange (SSE), extending the registration validity for Not-for-profit organisations (NPOs) and lowering the minimum subscription requirement for Zero Coupon Zero Principal (ZCZP) instruments.
Key Highlights
Extension of Period: The regulator has extended the registration period for NPOs to 3 years from 2 years, during which NPOs can remain registered on the SSE without raising funds.
In April 2026, the Securities Exchange Board of India (SEBI) relaxed key norms for the Social Stock Exchange (SSE), extending the registration validity for Not-for-profit organisations (NPOs) and lowering the minimum subscription requirement for Zero Coupon Zero Principal (ZCZP) instruments.
Key Highlights
Extension of Period: The regulator has extended the registration period for NPOs to 3 years from 2 years, during which NPOs can remain registered on the SSE without raising funds.
- This move takes into account practical challenges faced by NPOs, including delays in statutory and regulatory approvals that often slow fundraising.
Minimum Subscription requirement: SEBI has lowered the minimum subscription requirement for Zero Coupon Zero Principal (ZCZP). instruments to 50% from 75% to enhance fundraising flexibility for NPOs.
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- This relaxation applies to projects where costs and outcomes can be implemented on a clearly identifiable per-unit basis.
Issue Compliance: SEBI has highlighted that funds will be refunded to investors if the minimum subscription requirement is not met.
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