Capital market must reduce friction and compliance costs: Sebi Chief

Capital market must reduce friction and compliance costs: Sebi Chief

2 minutes, 4 seconds Read

Securities and Exchange Board of India (Sebi) Chairman Tuhin Kanta Pandey | Photocredit: Ani/Sandip Mahankal

Securities and Exchange Board of India (Sebi) Chairman Tuhin Kanta Pandey underlined the urgent need for innovation on capital markets that not only broadens opportunities, but also reduces compliance costs, making the system safer and more accessible for both emptors and investors.

He spoke on the 22nd annual Capital Markets Conference (Capam2025), organized by Ficci.

Pandey emphasized that reforms must actively support faster capital formation and at the same time must ensure long -term investors. “Innovation in the capital market must reduce friction and compliance costs for issuers, investors and intermediaries, while the risk is managed. It must also offer a diverse range of opportunities, depending on the risky appetite,” he said.

Pandey emphasized Sebi’s regulatory initiatives and pointed to the shortening of IPO times, the acceptance of digital processes and guarantees such as blocking funds and direct payments, he said, the costs and improved efficiency. He added that a verified payment channel in front of SEBI-registered intermediaries via UPI will come into effect on October 1, 2025. According to him, this step will protect investors against cyber fraud, a growing concern in the era of digital finances.

The SEBI chairman also noted that technology should be seen as a trust -Multiplier instead of a showpiece, especially at a time when cases of fake apps and non -registered intermediaries continue to come to the surface. Sebi, he said, collaborates with social media platforms to curb such fraudulent activities.

Thinking about the changing landscape, Pandey said that innovative regulations have contributed to creating new asset classes and instruments. “AIFS, REITS, INTERS, SIPS, SIFS, PMS, These acronyms are now taking an important place on the Indian capital market.”

He also pointed out that the effects market of India has been considerably expanded, with 13 crore unique investors, 7 crore investment funds investors and a capital pipeline worth Ā£ 1.4 Lakh Crore. “Transparency attracts long -term capital,” he noted, called for stronger disclosures, better checks and coordinated incentives to meet the ambition of building a larger and deeper capital market.

Pandey approached emerging challenges and said that although artificial intelligence is an asset, it should not be seen as a replacement. “Adopt ai, but with Safeguard,” he emphasized. He repeated that unnecessary processes should be eliminated, and the emphasis must be on developing new product classes and strengthening sustainable domestic capital formation in the midst of global uncertainties.

Published on August 21, 2025

#Capital #market #reduce #friction #compliance #costs #Sebi #Chief

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *