SEBI proposes shifting the Capacity Building Fund from NABARD to a Section 8 company to enhance governance in the Social Stock Exchange.
Proposed Transfer of Capacity Building Fund
SEBI has announced a proposal to transfer the Capacity Building Fund currently held by the National Bank for Agriculture and Rural Development (NABARD) to a newly incorporated Section 8 company. This move is intended to strengthen the governance and development of the Social Stock Exchange (SSE).
This change emphasizes improved oversight and better alignment of resources dedicated to social enterprises. The regulatory framework concerning the SSE will remain unchanged, focusing instead on operational enhancements.
Legal practitioners working within the realm of social enterprises should closely monitor this proposal, as it could influence governance structures and funding strategies within the sector.
