Speaking at the Global Fintech Fest, SEBI Chair Madhabi Puri Buch called for stronger compliance from market participants to foster trust. Buch revealed SEBI’s work on over a dozen AI-driven projects aimed at speeding up regulatory approvals. She highlighted the importance of compliance in protecting investors, particularly in the often “grey areas” of regulation, and stressed the need for regulators to ensure that innovations align with the well-being of consumers.
Buch emphasized that SEBI’s role is straightforward: if an action benefits consumers, regulators will support it; otherwise, they will intervene. She also pointed out the need for creating standards in fintech to integrate new technologies into the market system efficiently. SEBI has recently focused on standardizing processes for IPOs and mutual funds, and Buch noted that the time taken to approve
IPO draft documents has significantly decreased, with most being cleared within three months.
Citing the example of Real Estate Investment Trusts (REITs), Buch pointed out that SEBI had to introduce stricter regulations after the industry faced issues with fractional ownership platforms. She highlighted that REITs wanted to be regulated due to the lack of trust from investors who had been misled by unregulated entities. The Chair underscored that regulations are essential for creating faith in the market and ensuring that businesses operate within acceptable boundaries.
