{"id":25040,"date":"2026-04-25T16:52:49","date_gmt":"2026-04-25T11:22:49","guid":{"rendered":"https:\/\/trending.niftytrader.in\/?p=25040"},"modified":"2026-04-25T16:52:49","modified_gmt":"2026-04-25T11:22:49","slug":"sitharaman-calls-for-anticipatory","status":"publish","type":"post","link":"https:\/\/www.niftytrader.in\/markets\/sitharaman-calls-for-anticipatory\/","title":{"rendered":"Sitharaman Calls for Anticipatory Regulation as Capital Markets Scale Up"},"content":{"rendered":"<p data-section-id=\"ec78l9\" data-start=\"237\" data-end=\"335\">Finance Minister pushes SEBI to simplify KYC, deepen bond markets and strengthen surveillance<\/p>\n<p data-start=\"336\" data-end=\"622\"><span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Nirmala Sitharaman<\/span><\/span> on Saturday called for a more \u201csophisticated and anticipatory\u201d regulatory approach in India\u2019s capital markets, urging <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Securities and Exchange Board of India<\/span><\/span> to strengthen investor trust while adapting to rapid technological and structural changes.<\/p>\n<p data-start=\"624\" data-end=\"778\">Speaking at SEBI\u2019s 38th Foundation Day, Sitharaman emphasised that regulation must move beyond a reactive approach and evolve alongside market complexity.<\/p>\n<p data-start=\"780\" data-end=\"949\">\u201cThe lesson\u2026 is not that regulation should become more restrictive, but that it should become more sophisticated and anticipatory rather than merely reactive,\u201d she said.<\/p>\n<p data-start=\"1327\" data-end=\"1520\">Also Check :<\/p>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li><a href=\"https:\/\/www.niftytrader.in\/nifty50-contributors\">Nifty 50<\/a><\/li>\n<li><a href=\"https:\/\/www.niftytrader.in\/nifty-bank-contributors\">Bank Nifty<\/a><\/li>\n<li><a href=\"https:\/\/www.niftytrader.in\/stocks-price\/bse\">Sensex<\/a><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2 data-section-id=\"1wjeo2q\" data-start=\"951\" data-end=\"1022\">SEBI urged to simplify KYC and create seamless investor experience<\/h2>\n<p data-start=\"1023\" data-end=\"1172\">The Finance Minister highlighted the need for simplified, standardised and fully digital Know Your Customer (KYC) processes across financial sectors.<\/p>\n<p data-start=\"1174\" data-end=\"1337\">She said SEBI should take the lead in building a seamless investor experience, reducing friction in onboarding and improving accessibility for retail participants.<\/p>\n<p data-start=\"1339\" data-end=\"1451\">This push aligns with the broader goal of increasing financial inclusion while maintaining compliance standards.<\/p>\n<p data-start=\"1339\" data-end=\"1451\">Also Read : <a href=\"https:\/\/www.niftytrader.in\/markets\/paytm-says-rbi-action-on-ppbl\/\">Paytm Says RBI Action on PPBL Has No Business Impact<\/a><\/p>\n<h2 data-section-id=\"1wkzsnm\" data-start=\"1453\" data-end=\"1523\">Record IPO activity underscores strong capital formation momentum<\/h2>\n<p data-start=\"1524\" data-end=\"1581\">Sitharaman pointed to robust activity in primary markets:<\/p>\n<ul data-start=\"1583\" data-end=\"1653\">\n<li data-section-id=\"1ljpwde\" data-start=\"1583\" data-end=\"1603\">366 IPOs in FY26<\/li>\n<li data-section-id=\"1v8gtad\" data-start=\"1604\" data-end=\"1653\">Capital raised: approximately \u20b91.9 lakh crore<\/li>\n<\/ul>\n<p data-start=\"1655\" data-end=\"1758\">These figures indicate sustained capital formation and strong investor participation in equity markets.<\/p>\n<p data-start=\"1760\" data-end=\"1830\">She also highlighted India\u2019s early adoption of key market innovations:<\/p>\n<ul data-start=\"1832\" data-end=\"1947\">\n<li data-section-id=\"1x8gexn\" data-start=\"1832\" data-end=\"1856\">T+1 settlement cycle<\/li>\n<li data-section-id=\"1ngl3l9\" data-start=\"1857\" data-end=\"1916\">ASBA (Application Supported by Blocked Amount) for IPOs<\/li>\n<li data-section-id=\"1m32hvr\" data-start=\"1917\" data-end=\"1947\">UPI-based IPO applications<\/li>\n<\/ul>\n<p data-start=\"1949\" data-end=\"2013\">These measures have significantly expanded retail participation.<\/p>\n<h2 data-section-id=\"1ouwlrx\" data-start=\"2015\" data-end=\"2088\">Retail participation rising, but investor awareness remains critical<\/h2>\n<p data-start=\"2089\" data-end=\"2203\">The Finance Minister cautioned that rising retail participation must be matched with stronger financial awareness.<\/p>\n<p data-start=\"2205\" data-end=\"2377\">\u201cParticipation without understanding can create vulnerability,\u201d she said, stressing that investor protection should evolve from a defensive approach to a developmental one.<\/p>\n<p data-start=\"2379\" data-end=\"2468\">This reflects growing regulatory focus on informed participation rather than just access.<\/p>\n<h2 data-section-id=\"1lv4bzo\" data-start=\"2470\" data-end=\"2532\">SEBI asked to deepen corporate and municipal bond markets<\/h2>\n<p data-start=\"2533\" data-end=\"2648\">Sitharaman called for a stronger push to develop India\u2019s corporate bond market and expand municipal bond financing.<\/p>\n<p data-start=\"2650\" data-end=\"2788\">She noted that infrastructure investment required for India\u2019s long-term growth cannot rely solely on government budgets or bank financing.<\/p>\n<p data-start=\"2790\" data-end=\"2998\">\u201cIndia needs not just bigger markets, but better markets,\u201d she said, highlighting the need for collaboration between SEBI, state governments, and urban local bodies to strengthen the municipal bond ecosystem.<\/p>\n<h2 data-section-id=\"7r1ge2\" data-start=\"3000\" data-end=\"3062\">Emerging risks from fintech, AI and fin-fluencers flagged<\/h2>\n<p data-start=\"3063\" data-end=\"3155\">The Finance Minister identified new risks emerging from technological disruption, including:<\/p>\n<ul data-start=\"3157\" data-end=\"3244\">\n<li data-section-id=\"ohv1mt\" data-start=\"3157\" data-end=\"3189\">Unregistered \u201cfin-fluencers\u201d<\/li>\n<li data-section-id=\"oidwxq\" data-start=\"3190\" data-end=\"3215\">Deepfake-driven fraud<\/li>\n<li data-section-id=\"1f5nqqy\" data-start=\"3216\" data-end=\"3244\">AI-enabled cyber threats<\/li>\n<\/ul>\n<p data-start=\"3246\" data-end=\"3374\">She called for stronger enforcement, improved surveillance systems, and wider use of tools like SEBI Check to protect investors.<\/p>\n<h2 data-section-id=\"vgwawm\" data-start=\"3376\" data-end=\"3429\">SEBI\u2019s legal and regulatory strength highlighted<\/h2>\n<p data-start=\"3430\" data-end=\"3495\">Sitharaman cited SEBI\u2019s strong track record in legal enforcement:<\/p>\n<ul data-start=\"3497\" data-end=\"3621\">\n<li data-section-id=\"48eo9v\" data-start=\"3497\" data-end=\"3543\">Over 90% success rate in the Supreme Court<\/li>\n<li data-section-id=\"emfhsq\" data-start=\"3544\" data-end=\"3588\">73% at the Securities Appellate Tribunal<\/li>\n<li data-section-id=\"1ijkooo\" data-start=\"3589\" data-end=\"3621\">92% at Civil Courts and NCLT<\/li>\n<\/ul>\n<p data-start=\"3623\" data-end=\"3695\">These figures reflect institutional strength and regulatory credibility.<\/p>\n<h2 data-section-id=\"1eh1mnh\" data-start=\"3697\" data-end=\"3764\">Global integration and cross-border risk management emphasised<\/h2>\n<p data-start=\"3765\" data-end=\"3915\">The Finance Minister said Indian regulation must remain aligned with global standards to address cross-border risks and attract international capital.<\/p>\n<p data-start=\"3917\" data-end=\"4024\">This includes coordination with global regulators and adapting frameworks to international market dynamics.<\/p>\n<h2 data-section-id=\"3kmyia\" data-start=\"4026\" data-end=\"4094\">Capital markets seen as key to funding India\u2019s growth ambitions<\/h2>\n<p data-start=\"4095\" data-end=\"4205\">Sitharaman linked capital market development to India\u2019s broader economic goals under the Viksit Bharat vision.<\/p>\n<p data-start=\"4207\" data-end=\"4264\">She said large-scale investments will be required across:<\/p>\n<ul data-start=\"4266\" data-end=\"4379\">\n<li data-section-id=\"109qd2n\" data-start=\"4266\" data-end=\"4284\">Infrastructure<\/li>\n<li data-section-id=\"18tykco\" data-start=\"4285\" data-end=\"4302\">Manufacturing<\/li>\n<li data-section-id=\"wg1pk5\" data-start=\"4303\" data-end=\"4324\">Energy transition<\/li>\n<li data-section-id=\"jxfzbl\" data-start=\"4325\" data-end=\"4346\">Urban development<\/li>\n<li data-section-id=\"1yzk1f\" data-start=\"4347\" data-end=\"4379\">Innovation and human capital<\/li>\n<\/ul>\n<p data-start=\"4381\" data-end=\"4502\">Such investments, she noted, cannot be financed by public funds or banks alone, underscoring the role of capital markets.<\/p>\n<hr data-start=\"4504\" data-end=\"4507\" \/>\n<h2 data-section-id=\"1xvwnkw\" data-start=\"4509\" data-end=\"4516\">FAQs<\/h2>\n<h3 data-section-id=\"14uxfx1\" data-start=\"4518\" data-end=\"4597\">What did Finance Minister Nirmala Sitharaman say about market regulation?<\/h3>\n<p data-start=\"4598\" data-end=\"4763\"><span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Nirmala Sitharaman<\/span><\/span> called for a shift toward anticipatory regulation that is proactive, technology-driven, and aligned with evolving market risks.<\/p>\n<h3 data-section-id=\"1ct5y5c\" data-start=\"4765\" data-end=\"4832\">Why is anticipatory regulation important for capital markets?<\/h3>\n<p data-start=\"4833\" data-end=\"4999\">It helps regulators address risks before they materialise, especially in areas like fintech, AI, and cyber threats, ensuring market stability and investor protection.<\/p>\n<h3 data-section-id=\"1yhe730\" data-start=\"5001\" data-end=\"5052\">What reforms did Sitharaman suggest for SEBI?<\/h3>\n<p data-start=\"5053\" data-end=\"5195\">She suggested simplifying KYC processes, enhancing surveillance systems, deepening bond markets, and improving investor protection frameworks.<\/p>\n<h3 data-section-id=\"1kp9uwf\" data-start=\"5197\" data-end=\"5244\">How strong is India\u2019s IPO market in FY26?<\/h3>\n<p data-start=\"5245\" data-end=\"5363\">India recorded 366 IPOs raising about \u20b91.9 lakh crore, indicating strong capital formation and investor participation.<\/p>\n<h3 data-section-id=\"1i3zago\" data-start=\"5365\" data-end=\"5417\">What risks did the Finance Minister highlight?<\/h3>\n<p data-start=\"5418\" data-end=\"5548\">She flagged risks from fin-fluencers, deepfake fraud, and AI-driven cyber threats, calling for stronger enforcement and awareness.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Finance Minister pushes SEBI to simplify KYC, deepen bond markets and strengthen surveillance Nirmala Sitharaman on Saturday called for a more \u201csophisticated and anticipatory\u201d regulatory approach in India\u2019s capital markets, urging Securities and Exchange Board of India to strengthen investor trust while adapting to rapid technological and structural changes. Speaking at SEBI\u2019s 38th Foundation Day, [&hellip;]<\/p>\n","protected":false},"author":4,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1362],"tags":[],"ppma_author":[1331],"class_list":{"0":"post-25040","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-finance-and-economy-news"}," _eael_post_view_count":0,"authors":[{"term_id":1331,"user_id":4,"is_guest":0,"slug":"sourabh","display_name":"Sourabh Sharma","avatar_url":{"url":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/11\/Sourabh-Sharma.png","url2x":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/11\/Sourabh-Sharma.png"},"0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":""}],"_links":{"self":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/25040","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/comments?post=25040"}],"version-history":[{"count":1,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/25040\/revisions"}],"predecessor-version":[{"id":25042,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/25040\/revisions\/25042"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media\/25041"}],"wp:attachment":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media?parent=25040"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/categories?post=25040"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/tags?post=25040"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/ppma_author?post=25040"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}