Kautilya Economic Conclave
Capital markets will lead India's growth, not just support it, says SEBI Pandey
This story was originally published at 20:07 IST on 4 October 2025
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MUMBAI – India's capital markets will not simply support the country's growth story but will lead it, Securities and Exchange Board of India Chairman Tuhin Kanta Pandey said at the Kautilya Economic Conclave 2025 Saturday. Pandey said the markets regulator has been focused on reforms in recent years to ease the path for investors seeking to invest in Indian assets. He also spoke of the measures SEBI has been taking to improve investor protection.
Pandey said SEBI has implemented a new subsystem of the Unified Payments Interface—"validated UPI handles"--along with the "SEBI Check" facility to safeguard investors from cyber fraud. The regulator is also actively monitoring social media platforms, he said.
For the ease of doing business, SEBI has introduced measures such as the T+1 settlement cycle, a reduction in the initial public offering listing timeline to T+3 working days from T+6 working days, and recommended changes in rules to ease minimum public offer thresholds for large issuers seeking to list on stock exchanges. It had also proposed that infrastructure investment trusts and real estate investment trusts with issue sizes exceeding INR 10 billion should access an electronic book provider platform for such issuances.
Further, the regulator has reduced the minimum investment threshold for large value fund schemes of alternative investment funds to INR 250 million from INR 700 million to promote higher investor participation. This is also to promote adoption of accreditation by investors and provide additional relaxations and operational flexibilities to accredited investor-only schemes of alternative investment funds, he said.
SEBI has also approved the introduction of single-window access for foreign portfolio investors and foreign venture capital investors seeking to participate in the Indian securities market. It has also eased regulatory compliance for FPIs investing only in government securities, he said.
To simplify access to passive investing vehicles such as index funds and exchange-traded funds, the markets watchdog has introduced the mutual fund lite framework--offering streamlined entry norms, lighter compliance, and operational flexibility for passive schemes, he said. SEBI has also specified periodic disclosures and event-based disclosures of material events or information with specified timelines, to ensure transparency and information symmetry in the market, he added. Under the measures to reduce risks in the ecosystem and ensure that only credible companies access capital markets, for initial public offerings of small and medium enterprises, it has introduced a new set of eligibility criteria in terms of profitability, a cap on offer for sale, and restriction on the use of the offer proceeds, and introduced phased release of lock-in on promoter contribution, he added. End
Reported by Simran Rede
Edited by Deepshikha Bhardwaj
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