Sebi Social Stock Exchange Rules: Impact Auditors in Focus
Why in the news
Sebi revised Social Stock Exchange compliance, putting social impact auditors in the spotlight.
Key facts
- The 19 September 2025 circular requires Annual Impact Report audits only from enterprises that have raised money on the SSE.
- Breaches can cost ₹1 lakh daily up to ₹1 crore, with delisting and lost tax benefits.
- Auditors link NGO work to Sebi-defined indicators, using SROI and ESG ratings.
| SSE point | Detail |
|---|---|
| Launched | 2022 |
| NGO instrument | Zero Coupon Zero Principal (ZCZP) |
| Registered NGOs | 200+ (May 2025), BSE and NSE |
Concerns
- Limited auditor capacity, standardisation gaps, data and field verification costs, hard for small NGOs.
Exam angle
- Regulator: Sebi; instrument: ZCZP.