2. Further, in terms of RBI circular UBD.BPD.(PCB).Cir.No.9/09.29.00/2013-14 dated September 4, 2013, certain Urban Cooperative Banks (UCBs) specifically permitted by the Department of Cooperative Bank Supervision for the purpose, can also undertake intra-day short sale of Government securities. In this context, it is advised that UCBs, so permitted will also have to adhere to the short sale limits, reporting and other risk management requirements prescribed for eligible entities by the Reserve Bank from time to time.
3. A reference is also invited to the existing monthly reporting requirement on short sale as set out in the Annex to RBI Circular IDMD.PCD.06/14.03.07/2014-15 dated September 30, 2014. The reporting format has since been modified to capture the changes in the regulatory limits during the month (for instance, due to change in the outstanding amount of the security and/or its benchmark status) and the same is enclosed as Annex. Eligible entities should submit a duly certified report of the daily security-wise short sale position, as per the revised format, to the Financial Markets Regulation Department, Reserve Bank of India, Mumbai on a monthly basis by 8th of the succeeding month. The soft copy of the report should be emailed.
4. All other terms and conditions contained in the aforementioned circulars remain unchanged.