Mumbai, Aug. 15 -- The Securities and Exchange Board of India (SEBI) has proposed introducing a mandatory Credit Risk-o-Meter for debt securities to help investors assess the credit risk of individual debt instruments through a colour-coded visual indicator.

SEBI issued the consultation paper on 13 August 2026 and has invited public comments until 3 September 2026. The proposed framework aims to provide investors with a clearer representation of the credit risk associated with debt securities.

Under the proposal, the Credit Risk-o-Meter would be required in offer documents, abridged prospectuses, private placement memorandums and advertisements, as well as on the web and mobile platforms of online bond platform providers (OBPPs). The fr...