New Delhi, Aug. 6 -- The Securities and Exchange Board of India (Sebi) has proposed sweeping changes to settlement and risk management rules, aiming to hand greater operational responsibility to clearing corporations, eliminate outdated regulations and reduce compliance and reporting requirements for market infrastructure institutions (MIIs).

A Sebi consultation paper issued on Thursday seeks to make it easier for stock exchanges and clearing corporations to operate by updating master circulars governing settlement and risk management. The proposals are part of Sebi's fifth consultation paper on the regulatory framework for stock exchanges and clearing corporations.

Among the biggest changes is a proposal to make clearing corporations s...