The explosion in domestic investment is heralding a new era for Indian capital markets, according to SEBI chief Tuhin Kanta Pandey. At the CII event in Japan’s Osaka, he described this phenomenon as among the nation’s most significant milestones, even as global markets grapple with trade disruptions and geopolitical storms.
Businesses are thriving in capital mobilization efforts. In 2025, India dominated IPO counts worldwide and stood third in fundraising totals. This prowess stems from tamed inflation, bulging forex coffers, and stable external finances, cementing India’s status as a top-tier economy with blistering growth paces.
India’s DPI innovations are crafting fresh global paradigms, Pandey asserted. Initiatives such as GST 2.0, labor code overhauls, and income tax reliefs are revitalizing demand and capital flows. India’s stock market, fifth in global market cap rankings, follows the US (48.2%), China, Japan, and Hong Kong.
Mutual funds are entrenching further, with equity SIPs climbing steadily. AIF sector is fueling private wealth creation dynamically. Expanding debt segments, escalating PE/AIF bets, and REITs/InvITs are drawing sustained investments into infrastructure and realty. Municipal bond issuance is picking up steam.
Empowering investors through education tops SEBI’s list, coupled with aggressive anti-fraud digital measures and responsible investment pushes. For FPIs, enhancements in rules, registration ease, settlement efficiency, and persistent global networking are opening doors wider.
Pandey’s vision underscores a democratized market where retail powerhouses drive India’s ascent to financial supremacy.