Ashishkumar Chauhan on how NSE became a model of resilience

Disrupting Economic Norms

As home to the fourth largest capital markets globally, India’s rise reflects the transformative power of its financial ecosystem. The market capitalisation of NSE-listed companies has surged over 120 times in the past three decades since 1994 to about ₹440 lakh crore ($5.15 trillion) as of May 16. Unlike any other nation within the per capita income range of $2,500–$20,000, India has fostered a market size unparalleled in scale and influence. Through bold innovation and collaboration among stakeholders, India has shattered conventions to emerge as a formidable force in global financial landscapes.

Also read: How India is reshaping global trade

Disrupting Financial Boundaries

 As an ecosystem, what we manufacture is trust. With over 11 crore unique investors and 22 crore accounts, NSE has achieved near-complete penetration across 99.9 percent of India’s pin codes, leaving only 28 pin codes uncovered. Unlike many global markets where institutions dominate trading, India has seen millions of new individual investors joining the market. This evolution has democratised investment access, engaging one in five households today compared to one in 14 five years ago.

Young investors now lead the charge, with 40 percent of them under 30 years of age with a median investor age of 32. Female investors also comprise a notable one-fourth of the base. Retail investors, once peripheral to the market, now spearhead its transformation, fostering financial inclusion and reshaping India’s investment landscape with trust as the cornerstone. Modern trading platforms have played a key role in this boom, with simple user interfaces, and educational tools that make investing accessible to many first-time investors. Individual investor ownership (direct + mutual funds) in NSE-listed companies has increased to 18.2 percent in December—surpassing FPI ownership for the first time since 2006.

With over 2,700 listed companies on NSE across various sectors, India’s equity market offers a wide range of opportunities for these investors. Investors drive disruptive growth by enabling listed companies to raise and deploy capital efficiently, fostering innovation, boosting economic activity, and creating large-scale employment opportunities, essential for India’s transformative development. As per estimates, household wealth through the equity markets (direct and indirect) has increased by nearly ₹30 lakh crore during the three-year period of 2022-24. Nifty 50 has given better returns in dollar terms (8.5 percent) than S&P (7.6 percent) and gold (7.7 percent) in the last 29 years since the launch of the Nifty in 1996.

NSE’s Investor Protection Fund (₹2,459 crore) and Core Settlement Guarantee Fund (₹12,083 crore) redefine investor security through multi-layered protection mechanisms. A total of 14,670 Investor Awareness Programmes educated over 8 lakh participants in FY25. NSE signed MoUs with several state governments to spread financial literacy among the youth, while collaborations with Zomato and Swiggy focus on gig workers’ financial awareness.

Disruption in Capital Raising

India has disrupted global capital markets by achieving unparalleled success in IPOs. In CY24, NSE facilitated 268 IPOs raising ₹1.67 lakh crore ($19.5 billion), which was the highest in the world by any exchange and drove total equity and debt fund mobilisation to ₹17.9 lakh crore ($209 billion), setting new benchmarks in capital raising. In 2024, India outpaced the US and Europe in IPOs, and NSE alone listed more IPOs than other leading Asian exchanges combined. Among 18 unicorn IPOs worldwide, six originated in India, showcasing the dynamism of its market.

Technology and Regulation 

NSE has disrupted India’s capital markets by fostering resilience through cutting-edge technology, including best-in-class trading platforms and advanced risk management systems. Regulatory innovations by the Securities and Exchange Board of India, such as real-time surveillance and investor protection, have enhanced market integrity. These advancements have positioned India’s markets to thrive amidst global uncertainties. India’s capital markets have emerged as a model of resilience, adapting to global shocks like the Covid-19 pandemic. The rise of newer technologies is driving unprecedented innovation. Regulators are proactively crafting frameworks for these advancements, ensuring India remains a leader in modern capital market practices. Indian capital markets are redefining scalability and inclusion, outperforming many advanced economies.

Disrupting Growth 

The world is facing uncertainties—from tariffs to wars. But amidst all of this, India’s economic growth, advancements, and diplomatic outreach have brought it to the forefront of international discussions. For Bharat to become Viksit, the nation needs capital. With NSE as the catalyst for capital raising, economic growth, wealth creation and job creation, and with cutting-edge technology and regulatory excellence, India is empowering millions to participate in its growth story and positioning itself as a rising financial powerhouse globally.