SEBI pulls plug on IRRA platform as exchanges call it ‘structurally redundant’

The Securities and Exchange Board of India (SEBI) has decided to discontinue the Investor Risk Reduction Access (IRRA) Platform with immediate effect, ending a backup trading facility introduced in 2023 to support brokers during system disruptions.

Launched as a safety net in 2023

The IRRA Platform was launched in October 2023 as an emergency mechanism to help brokers continue trading operations during technical glitches or outages in their primary systems. It was designed to reduce investor risk and ensure continuity in market activity during disruptions.

Stronger market infrastructure reduces need

SEBI said the decision reflects the significantly improved resilience of India’s trading ecosystem. The regulator noted that modern systems have become far more robust, reducing the dependence on standalone contingency platforms like IRRA.

Key upgrades strengthening the system

The move comes after major enhancements across the market infrastructure, including:

Business Continuity Planning and Disaster Recovery (BCP-DR) frameworks

Strengthened cyber security systems

Market Security Operations Centres (M-SoC)

SEBI said these upgrades have made trading systems more stable and resilient against disruptions.

Low usage and structural redundancy

According to exchanges, brokers rarely used the IRRA Platform since its launch. Based on this low adoption, the platform has been described as “structurally redundant,” with existing systems already handling contingency needs effectively.

Contingency pool trading facility to continue

While IRRA is being phased out, SEBI confirmed that contingency mechanisms will not be removed entirely. The Contingency Pool Trading Facility will continue to operate, with its framework set to be further strengthened.

Circular effective May 7, 2026

The decision has been formalised through a SEBI circular, which will come into effect from May 7, 2026. From this date, the IRRA Platform will no longer be part of India’s market infrastructure system.