India's Vision: A Trustworthy Capital Market for Global Investors
Synopsis
India is actively transforming its capital markets into a dependable environment for long-term global investors, as stated by SEBI Chairman Tuhin Kanta Pandey. This strategic initiative aims to cultivate investor confidence amidst global market fluctuations.
Key Takeaways
India is building a stable and trustworthy capital market for global investors.
Investor focus has shifted to resilience and predictability .
SEBI aims for sustainable and reliable market growth.
Over 140 million unique investors are now in the market.
Foreign portfolio investments have surged significantly.
Mumbai, February 25 (NationPress) - India is striving to establish its capital markets as a reliable and trustworthy hub for long-term global investors, amidst increasing volatility and geopolitical challenges in international markets, according to Tuhin Kanta Pandey, Chairman of the Securities and Exchange Board of India (SEBI).
During the Kotak Investor Conference, Pandey emphasized that the evolution of modern financial markets is now evaluated not just by returns, but also by resilience, credibility, and predictability.
“The regulator’s focus is on safeguarding investors while simultaneously facilitating easier capital acquisition for businesses,” he remarked.
Pandey highlighted that India's attractiveness to investors stems from its scale and significant growth potential, paired with ongoing initiatives to foster transparent and well-governed markets.
“SEBI's role is to ensure that market growth is not only rapid but also stable and enduring,” he added.
He underscored the growing impact of capital markets in transforming India’s economic advancements into tangible investment prospects.
Currently, India boasts over 140 million unique investors, with household savings gradually shifting from physical assets to financial investments.
“Foreign portfolio investors remain crucial in India’s markets, while domestic institutions have become a key stabilizing element amidst global uncertainties,” Pandey mentioned.
Since FY16, equity holdings by foreign investors have surged more than threefold to approximately Rs 71 trillion, with total foreign portfolio assets, including debt, reaching around Rs 78 trillion.
“Regarding regulation, SEBI adopts an ‘optimum regulation’ approach, aiming to minimize unnecessary compliance burdens on genuine businesses while also addressing potential systemic risks,” he explained.
He pointed to initiatives like the SWAGAT–FIs framework, which provides streamlined access for trusted foreign investors, simplifying onboarding for FPIs and implementing reforms such as the closing auction session in equities for enhanced price discovery.
Point of View
SEBI is positioning the nation as a competitive player in the international financial landscape.
NationPress
10 May 2026
Frequently Asked Questions
What is SEBI's role in India's capital markets?
SEBI's primary role is to regulate and protect investors while facilitating capital growth for businesses, ensuring market stability and transparency.
How has the investor landscape changed in India?
India now boasts over 140 million unique investors, with a notable shift from physical to financial investments among households.
What is the significance of foreign portfolio investors in India?
Foreign portfolio investors are crucial to India's markets, providing essential liquidity and stability, especially during periods of global uncertainty.
What initiatives has SEBI introduced for foreign investors?
SEBI has launched the SWAGAT–FIs framework to streamline access for trusted foreign investors and simplify the onboarding process.
How has the equity investment landscape evolved since FY16?
Equity assets held by foreign investors have increased more than threefold since FY16, reaching around Rs 71 trillion.
