New Cybersecurity Framework in India to Ease Burden on Smaller Firms

In the context of less compliance pressure on smaller market intermediaries, the Securities and Exchange Board of India (SEBI) has also unveiled a redesigned and simplified Cybersecurity and Cyber Resilience Framework (CSCRF). It is a giant leap towards the safety of the Indian financial markets as well as the capability to comply with the international standards.

The new framework also includes graded compliance norms, that provide exemptions and lesser compliance conditions to small parties. In the example of Asset Under Management (AUM) of the portfolio managers, once it reaches 3,000 crore, the requirement of meeting will not be necessary any more as it will assist them to save cost of meeting the new rules, which can be very expensive at times and even a pain in technical terms.

In spite of the enormous cheers the new framework has been getting among the level stakeholders as a way of enhancing security within the marketplace, smaller companies have been noted to still find themselves battling scores of problems. The reason is that large organizations can simply

offset absence of compliance costs and commentators such as Deloitte and KPMG and because does not imply that small stakeholders can always manage it which explains why it is not always easy.

The structure also holds the top-level management directly accountable to cyber governance and transfers all the liability of third-party risks to the regulated entities. It is an indicator of the adverse consequences of failure to comply and it can also result in expensive litigation and publicity.

It has been explained above that in all ways, most successful implementation and enforcement but most importantly in the manner of making small firms adopt it profitably in order to build real toughness to the entire market will characterize its actual success, as the specialists describe it.

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