Focus is on creating inclusive, efficient, and dynamic market, says Sebi chief Buch

Buch also spoke about creating a regulatory framework focused on speed, affordability, focus and inclusivity

As India progresses, the focus remains on creating a market that is inclusive, efficient, and dynamic wherein all citizens can participate in the wealth creation of the nation, said Madhabi Puri Buch, chairperson, Securities and Exchange Board of India (Sebi).

"Inclusion remains a critical aspect of Viksit Bharat, encompassing not just economic and gender inclusion but also language and cultural inclusion. To achieve this inclusive growth, we must focus on creating products that are accessible and viable, such as the Rs 250 micro SIPs," Buch said while speaking at the CII Financing 3.0 Summit.

"This involves ensuring that costs are kept low and that the benefits of economies of scale are passed on to investors. Ultimately, our goal is to facilitate capital formation and wealth creation in a seamless, efficient, low-cost, and highly inclusive way," she added.

Further, while elaborating on the role of the capital market watchdog, she said that the view within Sebi is that capital formation has two sides -- creating capital for industry growth and generating wealth for citizens.

"... initiatives like the Rs 250 micro SIPs are designed to allow even the smallest investors to participate in wealth creation. Technology and low costs make this possible, enabling people to invest even with just a few dollars a month," she said.

"Looking ahead, our market ecosystem will be driven by technology and a diverse range of products and participants. This increasing complexity requires a collaborative approach to regulation, involving co-creation with industry stakeholders," she added.

She further said that the regulator cannot operate in isolation and must consult and work with the ecosystem to develop sensible rules, regulations, products, and services that meet diverse needs. This co-creation is not just a preference, it's a necessity, she said.

According to Buch, there are two data points that highlight India’s growth trajectory. The first is taxes. Buch cited the example of tax collections, including GST. The rising tax collections, Buch believes, suggests that India's economy is on a solid growth path.

Energy consumption is also a key metric, she said.

Buch also spoke about creating a regulatory framework focused on speed, affordability, focus and inclusivity.

She said that the development of technology allows for the creation of scale as they push for creating new products and asset classes tailored to different segments of the population and highlighted that there was a need to move away from a one size fits all mindset.

She further said that at SEBI, they have worked towards restructuring so that their decision making can be focused and efficient.