Archive · 21 Aug 2026
NSE May Allow Shares to Trade Under Permitted-to-Trade Route
NSE may soon sell its shares to the public.
It could first list those shares on another stock exchange.
Then, NSE might allow people to buy and sell them on NSE itself.
This could happen through a system called permitted-to-trade.
That system allows trading but does not mean the shares are officially listed there.
The company still follows listing rules for the exchange where it is actually listed.
NSE already lets more than 200 other companies trade this way.
The plan is important because NSE is preparing to become publicly traded.
NSE may let its shares trade on its platform after listing them on a rival exchange.
The arrangement could use NSE’s existing permitted-to-trade framework without separate Sebi approval.
Permitted-to-trade status allows buying and selling but does not make a company listed on that exchange.
NSE already has more than 200 companies trading on its platform without being listed there.
The move comes as NSE prepares for its own public-market debut.
- Who
- The National Stock Exchange (NSE), with potential involvement from Sebi.
- What
- NSE may allow its own shares to trade on its platform under the permitted-to-trade framework after listing them on another exchange.
- When
- The possibility was reported on Thursday; no specific date was provided.
- Where
- On NSE’s trading platform, after a possible listing on a rival recognised stock exchange.
- Why
- The arrangement could facilitate trading in NSE shares without a separate Sebi approval and support its planned public-market debut.
- Proposed mechanism
- Permitted-to-trade status on NSE after the shares are listed on another recognised stock exchange.
- Separate approval
- An industry source said NSE may not need separate Sebi approval for the arrangement.
- Key distinction
- Permitted-to-trade enables buying and selling but does not constitute a listing on that exchange.
- Existing NSE securities
- More than 200 companies trade on NSE without being listed on NSE.
- Other exchanges
- MSEI and NCDEX together have around 4,000 companies whose securities are permitted to trade without being listed there.
- Significance
- The arrangement could matter as NSE prepares for its public-market debut.