Hyderabad,1st November 2023: The Association of Investment Bankers of India (AIBI) organized a National Workshop on ‘Capacity Building on Critical Areas of the Primary Market’ at National Stock Exchange office in Mumbai today. During the day-long workshop, the members of AIBI which is the investment bankers’ sole representative body to SEBI and various statutory authorities, discussed what critical roles regulators, stock exchanges, investment bankers, and other related market intermediaries must play and what is expected from each of these stakeholders during capital formation processes.
Dr. Bhagwat Karad Hon’ble Union Minister of State for Finance Government of India, said, “It is quite heartening to note that the Indian capital market has shown resilience in testing times and has become the most advanced and progressive marketplace globally. The role of AIBI and merchant bankers is notable in contributing towards the orderly development of the Indian capital market.”
Mr. Mahavir Lunawat, Chairman of Association of Investment Bankers of India, said, “In today’s workshop, we had a meaningful dialogue on the role and expectations of regulators, stock exchanges, merchant bankers, law firms, and data providers in making the primary market more robust and transparent. All stakeholders agreed that there is a need to work together more closely for simpler IPO documentation and processes for capital formation. We collectively identified the need for capacity building, bringing more momentum in advocacy campaigns for financial literacy, enhancing transparency and good governance, and boosting investors’ confidence.”
He added, “Along with market intermediaries, the body of merchant bankers will continue to advocate the orderly growth of capital market, keep interest of investment bankers aligned and enhance investor awareness and promote best practices via strategic measures.”
Mr. Ashish Chauhan, MD & CEO of National Stock Exchange, said, “Gone are the days when investors were afraid of investing in stock markets. Today, we have eight crore direct investors in the stock markets. Most of the new investors have come over the last three years, during Covid and post-Covid. Mobile phones and mobile applications have helped wherein now more people are saving through the stock markets. These eight crore investors are actually five crore unique households which is 17% of India’s all households put together that are directly investing in Indian stock markets. And largely, their entry is through IPO markets. I commend AIBI and all its members for ensuring that capital formation remains the most important pillar of running of capital markets.”
Going forward, AIBI will continue to work on identifying desired practices and processes that must be adopted for larger and faster capital formation which is the most critical tool for achieving ease of doing business and in turn contributes to nation-building. AIBI will also be analyzing IPO processes, the timelines involved, and how the same can be streamlined while meeting regulatory expectations.
Besides Mr. Ashish Chauhan, MD & CEO, National Stock Exchange; Mr. V S Sundaresan, Executive Director, SEBI; Mr. Mahavir Lunawat, Chairman of Association of Investment Bankers of India; other dignitaries like Mr. Anant Barua, Former, Wholetime Member SEBI; Mr. Rajesh Dangeti, CGM, SEBI; Mr. Deep Mani Shah, CGM, SEBI; Mr. J N Gupta, MD, Stakeholders Empowerment Services Investment; and Mr. Prithvi Haldea, Founder & Chairman, Prime Database attended the national workshop.
Other participants consisted of investment bankers, data providers, corporate law firms, and related market intermediaries.