SEBI Simplifies Cash Flow Disclosures to Boost Bond Market Transparency

India's corporate bond market just got a significant upgrade. The Securities and Exchange Board of India (SEBI) is rolling out several key reforms designed to make things clearer, simpler, and more efficient for investors and issuers.

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Launch of 'Bond Central' Portal

On February 27, 2025, SEBI Chairperson Madhabi Puri Buch launched Bond Central, a brand-new centralised online portal set to be the go-to source for everything related to corporate bonds in India. Built in collaboration with the Online Bond Platform Providers Association and market infrastructure institutions like stock exchanges and depositories, the platform is free for everyone.

So, what can you do on Bond Central? You'll get a unified view of corporate bonds from different exchanges and issuers. The platform lets you:

• Compare bond prices with Government Securities (G-Secs) and other fixed-income benchmarks.
• Check out detailed risk assessments.
• Browse official bond documents and disclosures.
   

Bond Central levels the playing field; investors get the necessary information without jumping through hoops.

The first version is already live at www.bondcentral.in, and SEBI plans to keep improving it based on user feedback.

Simplification of Cash Flow Disclosures

SEBI is also making it simpler for companies to share their financials. Issuers of listed Non-Convertible Debtentures (NCDs) or Non-Convertible Redeemable Preference Shares (NCRPS) can now include a simple web link and QR code to their audited financials from the past three years instead of stuffing bulky documents into disclosure filings.

The goal? Less paperwork, smoother filing, and fewer technical snags. Don't worry; key financial and operational details still need to be disclosed directly in the documents.

Mandatory Use of Electronic Book Platform (EBP)

Starting May 18, 2025, SEBI is tightening rules around private debt placements. Any deal worth ₹20 crore or more must now go through the Electronic Book Platform (EBP). That's a significant drop from the previous ₹50 crore threshold.

The EBP system allows for transparent, electronic bidding on debt securities. This means better price discovery, less intermediary dependence, and a more open market. In short, it's a cleaner, faster way to raise funds and helps build investor trust.

Standardisation of Record Dates

To clear up confusion around payment schedules, SEBI is standardising how companies set their record dates and the cut-off date to determine who's eligible for interest, dividend, or principal payments. From now on, the cut-off date is 15 calendar days before the payment is due.

This change means less guesswork and more consistency across different bond issuances.

Industry Response

The reaction so far? Largely positive. Aditi Mittal, Chairperson of the OBPP Association and Co-Founder of IndiaBonds, put it this way: "For India's corporate bond market to reach its full potential, investors need clarity, confidence, and accessibility. Bond Central delivers on all three fronts."

Conclusion

These reforms, from the launch of Bond Central to new disclosure norms and a tighter EBP mandate, mark a significant step forward for India's corporate bond market. SEBI's message is clear: make the system transparent, reduce friction, and give investors the tools they need to make wise decisions.

If things go as planned, expect more confidence, better participation, and a stronger, more inclusive financial ecosystem.