Bold reforms need not be big bang, says Sebi chairman Tuhin Kanta Pandey

Reforms will enhance efficiency and robustness of the market, and we have been using tech to facilitate things: Tuhin Kanta Pandey

Bold reforms need not be big bang, and going forward, the capital market regulator will use the right mix to achieve its objectives, Sebi chairman Tuhin Kanta Pandey said during his keynote address at the Moneycontrol Global Wealth Summit on March 7 in Mumbai.

"Bold reforms need not be big bang. Many a times small reforms cumulatively as more effective. Going forward, Sebi will use a right mix to achieve objective," the chairman said. The capital market regulator added that reforms are a way to enhance efficiency and robustness in the equity market, and Sebi will be using technology to facilitate changes.

Tuhin Kanta backed the regulator's efforts to develop new instruments as a tool for capital raising. "New products like REITs, InvIT and municipal bonds have huge potential to boost infrastructure development in the country. These products not only provide a diversified source of funding but also reduce reliance on traditional source of capital," said the chairman.

"Reforms will enhance efficiency and robustness of the market, and we have been using technology in a big way to facilitate things which earlier we couldn't even imagine," said the chairman, as he underscored that Sebi is mandated to reduce risk in the system through regulation and to protect investors' interest.

"Indian capital market has seen a surge in individual and domestic institutional investor participation, ease of investing through digital platforms have significantly boost retail investor engagement," said Tuhin Kanta, as he acknowledged the 'enormous' work done by fintech players to bring out apps that facilitate investing 'so easily'.

The chairman also said teamwork with in Sebi, as well as with market participants will together help create a conducive ecosystem for investing.

"As we intend to grow at the speed that we are aspiring, we need to have both foreign and domestic capital to support the growth momentum. With strong economic fundamentals and favourable demographics, India is a bright spot for long term investing," Tuhin Kanta Pandey said.

The presence of long term foreign capital will support India's infrastructure  growth, Sebi said. "We are conscious of the need to create conducive environment to attract foreign capital. We will be happy to engage with FPI and AIF industry participants to address their difficulties," chairman added.