01 October,2026 11:50 AM IST | Mumbai | mid-day online correspondent
Securities and Exchange Board of India (SEBI) Chairman Tuhin Kanta Pandey. File picture
Securities and Exchange Board of India (SEBI) Chairman Tuhin Kanta Pandey on Wednesday said the market regulator is not currently considering any proposal to allow stock exchanges to trade in their own shares, reported news agency PTI.
His remarks come amid reports suggesting that the market regulator was exploring the possibility of setting up a panel to examine whether the bourses would eventually be allowed to participate in self-trading of shares.
"There is no such thing going on. It will be, if it happens or when it happens, you will come to know. So, there is no such thing at the moment," Pandey said.
The issue of stock exchanges such as the BSE and National Stock Exchange (NSE) trading in their own shares has come into focus in recent weeks, following the NSE's Rs 22,569 crore initial public offering (IPO) and its subsequent listing on the BSE.
Pandey had said that NSE would not be permitted to trade its shares on its own platform at present.
He had then clarified that the exchange had not sent any proposal seeking the regulator's approval for trading on its own platform.
"No, there is no such letter (from NSE), and there is no such requirement," he had said.
SEBI does not permit a recognised stock exchange to list on its own platform. However, under the permitted to trade route the shares of the exchange can trade on its own platform.
Permitted to trade is not the same as listing as it only helps investors to buy and sell the security on another bourse, while a listed company has disclosure and compliance obligations towards the primary exchange where it is listed.
Under the permitted to trade framework, an exchange can allow trading in shares that are listed on another recognised stock exchange. The company does not become listed on the exchange where its shares are permitted to trade.
Pandey informed that SEBI is pursuing the finalisation of draft guidelines on bond indices and derivatives with the Reserve Bank of India (RBI).
"Yes, I believe they have prepared some draft guidelines and asked for comments, and I think we are pursuing with RBI to finalise," he said. He, however, could not offer any timeline for finalisation of the guidelines, as it needs to be checked with RBI.
Pandey further said both SEBI and RBI were working to make the registration and onboarding process faster, seamless and digital for foreign portfolio investors (FPIs). He added that SEBI has revamped the NSDL portal and introduced the India Market Access portal for FPIs.
"The KYC process is also getting more streamlined," Pandey said.
In August, SEBI had allowed individual foreign investors to complete their regulatory onboarding digitally, in a move aimed at simplifying the process and boosting their participation in the Indian securities market.
(With inputs from PTI)
