India's Securities and Exchange Board of India proposed new measures to manage risks and broaden funding avenues as margin trading facility volumes surge. The regulator suggested allowing traders to raise funds via non-convertible debentures and expanding eligible collateral, aligning with the broader cash market. India's MTF book has grown sharply, with outstanding positions reaching about 1.3 trillion rupees, or $13.78 billion, by mid-2026, around 50% higher than a year ago. SEBI also proposed clearer caps on broker exposure based on net worth, safeguards to protect client funds, and a requirement that passive client-level breaches be resolved within 30 days. Currently limited to select stocks and equity ETFs, MTF-eligible securities are under review alongside those for margin, collateral, and the Securities Lending and Borrowing Mechanism, with a separate discussion paper to follow.