World · India Bureau
NSE chief urges India to revisit ban on self-listing of exchanges
India should reconsider its prohibition on stock exchanges listing their own shares, the National Stock Exchange chairman has said, noting that major global financial centres permit the practice. The position marks a significant statement on a long-standing regulatory constraint in the Indian securities market.
LSN India ·
The National Stock Exchange's top executive has called for India to re-examine its stance on self-listing by stock exchanges, arguing that the practice is commonplace in major financial jurisdictions worldwide.
Injeti, the NSE chairman, noted that while self-listing is permitted across most developed markets, Indian regulators have traditionally viewed it as presenting a conflict of interest. This regulatory stance has prevented Indian exchanges from listing their own shares on their respective platforms.
The remarks come as India's financial infrastructure undergoes expansion and modernisation. Permitting exchanges to self-list could potentially increase capital availability for market infrastructure development and bring Indian practice more closely in line with international standards.
Regulatory authorities, including the Securities and Exchange Board of India, have historically maintained cautious positions on self-listing arrangements. Any policy shift would require careful consideration of safeguards to manage potential conflicts of interest while allowing exchanges greater access to capital markets.
The NSE chairman's intervention signals growing momentum within India's financial sector to revisit restrictions that some industry participants view as unnecessarily limiting compared to global precedent.