Calcutta Stock Exchange Lacks Formal Revival Plan for Sebi

The Calcutta Stock Exchange (CSE) has not submitted a formal revival plan to the Securities and Exchange Board of India (Sebi). This confirmation came from Minister of State for Finance Pankaj Chaudhary to Parliament on Tuesday, despite the CSE’s request to halt its exit process.

CSE’s Exit Application Status

The exchange had previously asked Sebi in July 2026 to put its voluntary exit application on hold. This application was originally filed in February 2025, marking a significant step in the exchange’s decade-long period without equity trading.

• Sebi has acknowledged the communication from CSE to pause the exit process.
• However, the regulator has not yet received any official proposal detailing the exchange’s revival strategy.
• The initial exit application remains under active consideration by Sebi, with no final decision announced.

Regulatory Compliance and Valuation Process

Optimism for the CSE’s revival had increased following support from the West Bengal government, which led to a surge in its unlisted share prices. Prior to this, Sebi had engaged a valuer to assess the exchange’s assets and liabilities as part of the exit proposal.

The valuation agency has since provided its report to Sebi. However, the regulator is still awaiting certain requested information from the Calcutta Stock Exchange to complete its review.

Path to Resumption: Adhering to Regulations

For the Calcutta Stock Exchange to potentially resume operations, it must strictly comply with several regulatory provisions. These frameworks ensure market integrity and investor protection for any functioning stock exchange.

• Securities Contracts (Regulation) Act, 1956
• Securities Contracts (Regulation) Rules, 1957
• Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2018

These regulations outline the necessary conditions and operational standards required for a stock exchange to function legally in India.