The Securities and Exchange Board of India (SEBI) is set to revamp its regulatory framework by eliminating outdated policies and refining essential ones to streamline compliance and enhance ease of doing business, Chairman Tuhin Kanta Pandey said on Saturday.
Speaking at the Mint India Investment Summit & Awards 2025, Pandey emphasised SEBI’s commitment to optimising regulations while minimising the compliance burden and associated costs.
Regulatory Reforms and Fundraising Acceleration
The chairman said that the regulator is actively working to expedite fundraising processes in capital markets, ensuring that issuers of securities face minimal delays, reported Livemint. “SEBI will weed out those (policies) which are outdated and rationalise those which may be necessary. This will be consistent with our object of achieving optimum regulation and creating ease of doing business by reducing compliance burden and the cost of regulation,” Pandey added.
To further facilitate efficient capital flow, the regulatory body has set clear norms for security issuers and is leveraging technology to streamline operations, the official explained.
“SEBI prescribes norms for issuers of securities to ensure that funds are raised without delay and deployed efficiently. Internally, SEBI is using technology, including artificial intelligence, to ensure that the fundraising documents are cleared as fast as possible without compromising on disclosures,” Pandey said.
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Promoting Compliance and Market Integrity
SEBI is also reinforcing its enforcement mechanisms to address market misconduct. The regulator has adopted a mix of off-site supervision and on-site inspections to identify and rectify non-compliance. “SEBI has to enforce these regulations to determine misconduct on part of market participants. This enforcement is carried out through a judicious mix of off-site supervision and on-site and thematic inspections,” Pandey said.
A significant move towards ensuring regulatory adherence is SEBI’s push for voluntary compliance, the official noted.
He urged market players to proactively align with prescribed guidelines. “While SEBI will continue to enhance its supervision capabilities, it’s desirable that market participants are also nudged towards voluntary compliance with regulations,” he added.
Strengthening Surveillance with Technology and Intelligence
Market surveillance remains a key focus area for SEBI, with real-time monitoring of secondary market transactions, Pandey noted. “Trades in secondary market are under surveillance on a daily basis, and alert systems have been put in place to detect suspicious patterns of trading,” he explained.
Additionally, SEBI is leveraging social media intelligence to track and analyse market trends and potential irregularities. “Market intelligence in the form of investor complaints as well as posts on social media also form an important part of SEBI’s surveillance mechanism,” Pandey stated.
The regulator is also strengthening its collaborations with other financial and law enforcement agencies to enhance information sharing and enforcement actions, the official pointed out.