SEBI Aims for Stable, Trustworthy Capital Markets to Attract Global Investors

Speaking at the Kotak Investor Conference here, Pandey said growth in modern financial markets is no longer measured only by returns.

"Instead, investors are increasingly looking for resilience, credibility and predictability. The regulator's priority is to protect investors while also making it easier for businesses to raise capital and grow," he said.

Pandey said India's appeal to investors lies in its scale and strong growth potential, along with efforts to build transparent and well-governed markets.

"SEBI's responsibility is to ensure that market growth is not only fast, but also reliable and long-lasting," he stated.

He highlighted the expanding role of capital markets in turning India's economic growth into real investment opportunities.

India now has more than 140 million unique investors, and household savings are gradually moving away from physical assets towards financial investments.

"Foreign portfolio investors continue to play a key role in India's markets, even as domestic institutions have become an important stabilising force during periods of global uncertainty," Pandey said.

Equity assets held by foreign investors have grown more than three times since FY16 to around Rs 71 trillion, while total foreign portfolio assets, including debt, stand at about Rs 78 trillion.

"On regulation, SEBI follows a policy of 'optimum regulation,' which aims to avoid unnecessary compliance pressure on genuine businesses while also preventing gaps that could lead to systemic risks," Pandey said.

He pointed to initiatives such as the SWAGAT-FIs framework, which offers single-window access to trusted foreign investors, simplified onboarding for FPIs, and reforms like the closing auction session in equities to improve price discovery.

- IANS