The Securities and Exchange Board of India (SEBI) has announced a new framework for testing the IT systems used by market infrastructure institutions (MIIs), including stock exchanges, clearing corporates and depositories. The MIIs will undertake system testing, functional testing, and application security testing, which need to be approved by the Standing Committee on Technology of the respective institutions. The identified software bugs, issues or defects should be remediated immediately, while policies and procedures on the use of third-party systems or software codes should be established. MIIs will have 30 days to submit the testing framework of all their IT systems.
