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The Master Direction – Standalone Primary Dealers (Reserve Bank) Directions, 2016 (updated as on May 05, 2025) provides a comprehensive regulatory framework for Standalone Primary Dealers (SPDs) in India. These guidelines establish eligibility criteria, operational norms, capital adequacy requirements, and governance standards to ensure SPDs effectively contribute to the development and stability of the government securities market.

SPDs play a crucial role in the primary and secondary markets for government securities by participating in auctions, market-making, and providing liquidity. The updated directions aim to enhance transparency, risk management, and compliance within the SPD sector, aligning with global best practices and supporting the Reserve Bank of India’s monetary policy objectives.