Markets regulator SEBI will soon set up a working group to comprehensively review the short selling and Securities Lending and Borrowing frameworks. Announcing this at an event in Mumbai, SEBI Chairman Tuhin Kanta Pandey said the frameworks need to be aligned with global best practices.
Mr. Pandey said, the move will help deepen the cash equities market, improve price discovery, and strengthen linkages with the derivatives segment. He said that SEBI’s approach will remain calibrated, data-driven and consultative.
Highlighting country’s strong capital market performance, he said in financial year 2024-25, equity markets raised 4.6 trillion rupees, while 2 trillion rupees has already been mobilised in the current financial year. The number of unique investors has grown to 135 million, up from 38 million in financial year 2019.
In the mutual fund segment, Assets Under Management have crossed 75 trillion rupees with monthly SIP inflows exceeding 280 billion rupees. However, penetration remains low, with only 6.7 per cent of households investing. SEBI has revised incentives for distributors to attract first-time women investors and participants from smaller cities.