India’s markets regulator chair emphasized that financing the nation’s infrastructure expansion and green transition requires a robust banking system supported by a deep and liquid bond market. Strengthening these financial pillars can drive sustainable capital flows, enhance market depth, and unlock long-term investment opportunities across sectors.
In a key statement shaping the outlook for India’s financial ecosystem, the Securities and Exchange Board of India (SEBI) chair highlighted the need for a strong banking system complemented by a deep, liquid bond market to fund critical infrastructure projects and support the nation’s green transition goals.
Key Highlights
Financial Infrastructure for Growth
The SEBI chair stressed that sustainable development and the ambitious infrastructure push require resilient banking institutions that can efficiently channel credit to priority sectors, reducing funding bottlenecks.
Deepening Bond Markets
A vibrant and liquid bond market was flagged as essential to diversify financing sources beyond traditional bank lending, enabling long-term debt issuance and unlocking institutional investment.
Green Transition Financing
Financing India’s transition to cleaner energy and sustainable projects hinges on mobilizing capital at scale — a task made easier by integrating bond market instruments with robust banking intermediation.
Regulatory Vision
The remarks align with ongoing regulatory efforts to modernize India’s capital markets and enhance participation from domestic and global investors.
Sources: Reuters, Marketscreener