Sebi to Prioritise Corporate Bond Market Development, Plans Credit Bond Indices and Derivatives
Focus on Deepening Liquidity and Expanding Investor Participation
New Delhi, March 2: The Securities and Exchange Board of India is set to prioritise the development of the corporate bond market this year, with plans to introduce credit bond indices and related derivatives in coordination with the Reserve Bank of India.Chairman Tuhin Kanta Pandey said the regulator will place a very big focus on strengthening the corporate bond segment during his second year in office. He completes one year at the helm of the market regulator on March 1.
Introduction of Credit Bond Indices and Derivatives
Pandey outlines a roadmap that includes the creation of credit bond indices and associated derivative products. The initiative, to be undertaken in coordination with the RBI, aims to deepen the corporate bond ecosystem and provide new instruments that can support price discovery and risk management.The move is part of a broader strategy to enhance market depth and attract a wider range of participants.
Strengthening Secondary Market and Broadening Access
The Sebi chief also highlights plans to deepen secondary market liquidity, expand issuer participation, and widen investor access to the corporate bond market.By focusing on these structural improvements, the regulator seeks to build a more robust and liquid corporate debt market, encouraging greater participation from both issuers and investors while strengthening the overall capital market framework.
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