The National Stock Exchange has decided to cancel the 6% hike in transaction fees on the cash equity market and equity derivatives segments from April 1. The higher fees were introduced on January 1, 2021, to partially augment the NSE Investor Protection Fund Trust (NSE IPFT) corpus, given certain market emergencies now due to broker defaults.

In a statement on Friday, the exchange said its board decided at a Thursday meeting to cancel the 6% increase in trading fees.

To systematically increase NSE IPFT’s corpus, the exchange will restructure NSE IPFT’s contribution to the cash equity market and equity futures segments from Rs 0.01 per crore to Rs 10 per crore and equity from Rs 0.01 per crore to Rs 50 per crore in equity options segment.

“The aforementioned reduction in transaction fees is partially offset by a recalibration of the NSE IPFT contribution, which will result in an effective reduction in the overall transaction fee impact of approximately 4%,” the statement said.