IDR, dedicated exchange for SMEs figure in Sebi agenda
The Indian Depository Receipts (IDR), dedicated exchange for SMEs and debt market based product for infrastructure financing figure prominently in the plan of action of SEBI in the next 12 to 18 months, according to Sebi chairman M.Damodaran.
By TNN |
KOCHI: The Indian Depository Receipts (IDR), dedicated exchange for SMEs and debt market based product for infrastructure financing figure prominently in the plan of action of SEBI in the next 12 to 18 months, according to Sebi chairman M.Damodaran.
The IDRs to help overseas companies to raise funds and get listed in India will boost the credibility of the Indian capital market, which is already setting benchmark for transactional efficiency in the global arena, said Mr Damodaran while delivering the 9th Fedbank Hormis Memorial Foundation commemorative lecture organized in memory of Federal Bank founder K.P.Hormis.
A dedicated exchange for SMEs to prevent them the hassle of going to London to raise money for their needs is also on the cards in 2007, he said. Another important measure that Sebi is considering is to provide a debt market instrument for long term financing of physical infrastructure that, according to Mr Damodaran, left a lot to be desired in the country.
He also said Sebi is currently processing an application of Korean mutual fund which plans to enter India. ``This is definitely a vote of confidence for the Indian market as it is marginally behind Korean capital market in market capitalisation,’’ he pointed out.
One regulatory challenge that Sebi is facing is regarding the regional exchanges. Unless they come up with viable business proposition, the future is bleak for them, he said.
The IDRs to help overseas companies to raise funds and get listed in India will boost the credibility of the Indian capital market, which is already setting benchmark for transactional efficiency in the global arena, said Mr Damodaran while delivering the 9th Fedbank Hormis Memorial Foundation commemorative lecture organized in memory of Federal Bank founder K.P.Hormis.
A dedicated exchange for SMEs to prevent them the hassle of going to London to raise money for their needs is also on the cards in 2007, he said. Another important measure that Sebi is considering is to provide a debt market instrument for long term financing of physical infrastructure that, according to Mr Damodaran, left a lot to be desired in the country.
He also said Sebi is currently processing an application of Korean mutual fund which plans to enter India. ``This is definitely a vote of confidence for the Indian market as it is marginally behind Korean capital market in market capitalisation,’’ he pointed out.
One regulatory challenge that Sebi is facing is regarding the regional exchanges. Unless they come up with viable business proposition, the future is bleak for them, he said.
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