Definition of National Securities Depository Limited (NSDL)

National Securities Depository Limited is an Indian central securities depository, based in Mumbai. It was the first electronic securities depository in India that was established on November 8, 1996. NSDL was established with national coverage that was based on a suggestion given by a national institute which was responsible for the economic development of India.

Points to remember:

• National Securities Depository Limited is majorly promoted by Industrial Development Bank of India, Administrator of Specified Undertaking of Unit Trust of India, and National Stock Exchange of India Limited.
• National Securities Depository Limited stays as intermediary among the registrar and the company for the dematerialization of the shares.