SEBI bets on trading reforms to reverse foreign capital flight
Regulator plans rollout within nine months, sources say; Aims to widen stock lending, ease short-selling in cash equities
The Securities and Exchange Board of India (SEBI) plans to overhaul decades-old rules to reverse foreign capital flight, according to three sources. The changes, if finalized, aim to address the soaring outflows of foreign funds and bolster India's weightage in global stock market indexes. The reforms planned by SEBI include lowering collateral requirements in cash equities and encouraging longer-dated derivatives.
This move suggests that SEBI has listened to the institutional investment community and focused on practical issues investors face.
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- Sebi bets on trading reforms to reverse foreign capital flight economictimes.indiatimes.com