SEBI's Resilience: Indian Market's $105 Trillion Surge Through Equity and Debt

India's Financial Market Surpasses $105 Trillion in Equity and Debt Issuances

Securities and Exchange Board of India (SEBI) Chairman Tuhin Kanta Pandey announced on Wednesday that the country's financial market has seen a significant growth in equity and debt issuances, amassing approximately $105 trillion between FY16 and FY26 (up to January).

Strength of the IPO Market

• The number of Initial Public Offerings (IPOs) has increased, with 329 IPOs raising $1.8 trillion in FY26, compared to $1.7 trillion from 320 IPOs in FY25.
• The growth of the IPO market underscores the strength of the Indian financial market, with issuers showing confidence in public markets for long-term capital ventures.

Growth of the Corporate Bond Market

The corporate bond market has expanded at a Compound Annual Growth Rate (CAGR) of about 12% from FY15, reaching Rs 58.2 trillion by the end of January 2026.

Substantial Growth of Mutual Fund Assets

• Mutual fund assets have experienced substantial growth, increasing from Rs 12 trillion in FY16 to nearly Rs 81 trillion presently.

Rise of Foreign Portfolio Investors

• Foreign portfolio investors continue to play a pivotal role in the Indian financial market, with equity assets under custody soaring to Rs 71 trillion by January 2026, up from Rs 19 trillion in FY16.
• The total FPI assets, including debt, amount to around Rs 78 trillion.

Domestic Institutional Investors and Market Resilience

Domestic institutional investors now provide a strong counterbalance, enhancing market resilience against global economic volatility.

Improved Performance in Global Indices

• India's improved performance in global indices has been cited, with the MSCI India (USD) Index's CAGR of around 9%, outperforming the MSCI Emerging Markets Index's 6% over six years.

Policy Advancements in Alternative Investment Funds

• The minimum investment threshold for Large Value Funds has been reduced to Rs 25 crore for accredited investors, facilitating the growth of the AIF ecosystem to Rs 6.5 trillion by December 2025.

Promoting Market Participation in REITs and InvITs

Policy advancements in REITs and InvITs have been expanded to include a broader array of Qualified Institutional Buyers, promoting wider market participation in these investment avenues.

• $105 trillion: Total equity and debt issuances between FY16 and FY26 (up to January)
• $1.8 trillion: Amount raised by 329 IPOs in FY26
• Rs 58.2 trillion: Corporate bond market size by the end of January 2026
• Rs 81 trillion: Mutual fund assets presently
• Rs 71 trillion: Equity assets under custody of foreign portfolio investors by January 2026
• Rs 6.5 trillion: Growth of the AIF ecosystem to by December 2025