NEW DELHI: The stock exchanges and brokerages are playing a crucial role in capital formation in India and we need to ensure that public faith in the capital market is not eroded due to frauds and scams, said Anurag Thakur, Minister of State for Finance.Speaking at a convention organised by Association of National Exchanges Members of India (Anmi), Thakur on Saturday underscored the importance of a robust capital market for India to become a $5 trillion economy.Capital market plays a significant role in any nations development.
In our journey to become a $5 trillion economy by 2024-25, the role of the capital market is paramount, said Thakur.
A countrys capital market plays a significant role in building the economy as it channelises domestic saving into long term financial assets.He added that the Indian capital market was quite robust and deep.The minister also highlighted a number of steps taken by the government and its achievements in the last couple of years.
Thakur said the government is focussed on the deregulation of the market and ease of compliance for the investor.Nehal Vora, Managing Director - CEO at Central Depository Services who was also present at the convention urged all the intermediaries to work together.
Agreeing with Thakur, he added if India needs to become a $5 trillion economy, it needs to have a robust financial market.Referring to the upcoming initial public offering (IPO) of state-owned Life Insurance Corporation, Vijay Bhushan, President of the Anmi said we need to unlock the true potential of the jewel and mobilise one crore investor for the IPO.Finance Minister Nirmala Sitharaman in her Budget Speech on February 1 had announced the IPO and raised the divestment target to Rs 2.1 lakh crore for the next financial year.