Industry Odisha Bureau, May 18: To reach out more number of people and create financial awareness to investors, the Securities and Exchange Board of India (SEBI) is all set to open its office in Bhubaneswar very shortly.
This was announced by SEBI Chairman Tuhin Kanta Pandey here on Monday. Pandey said the rental agreement to open the SEBI office will be signed today while permanent building of the office will be constructed very soon.
Addressing an Investor Awareness Program here, Pandey said Odisha’s strong economic performance is reflected in rising market participation from the state, though significant potential remains untapped.
The number of securities market investors from the state has grown from about 2.5 lakh in FY15 to around 28. lakh in FY26. Mutual fund participation has also expanded, with nearly 15 lakh unique investors holding around 59 lakh folios and managing assets worth about Rs 71,000 crore, he pointed out.
Pandey said this trend reflects “rising awareness, aspirations and confidence” among households, even as participation is still at an early stage.
Explaining the role of financial markets, Pandey described them as a bridge between savings and investments, linking household savings with businesses that require capital for expansion.
He highlighted that funding through equity, debt, REITs, InvITs and municipal bonds is becoming increasingly important in supporting infrastructure and economic development.
He also pointed to the growing role of municipal bonds globally and in India. As of FY26, 22 urban local bodies have raised over Rs 4,500 crore through 31 issuances, underscoring their potential as a financing tool for urban infrastructure.
Market capitalisation has risen from about Rs 95 lakh crore in FY16 to around Rs 463 lakh crore by April 2026. Corporate bond markets have also grown significantly, while retail investor participation has surged to about 145 million unique investors, compared with 38 million in FY19.
Despite strong growth, SEBI’s Investor Survey 2025 shows a significant gap between awareness and participation. While 63 percent of households are aware of securities market products, only 9.5 percent actually invest. Urban participation stands at about 15 percent, compared with just 6 percent in rural areas, he noted.
Addressing concerns around foreign portfolio investor (FPI) withdrawals, Pandey described them as a normal part of global capital movement rather than a sign of distress.
“The FPI’s come and go depending upon what they think about the relative situation between one country vis-a-vis another global jurisdiction. There are a number of factors which are contingent. ‘What are the returns that the FPI’s are getting in a particular market post?’ It’s a dollar return, not a rupee return, in a market, depending upon various factors like interest rates, arbitrage, the stance of the central banks,” Pandey said.
Pandey also flagged the risks posed by unauthorized deposit schemes, noting that state governments have the legal tools to act against such operations. He pointed to laws like the Chit Fund Act and the Banning of Unauthorized Deposits Act.
He urged investors to stick to regulated avenues such as mutual funds, Portfolio Management Services (PMS), and Alternative Investment Funds (AIFs), with support from bodies like the Association of Mutual Funds in India.
When asked how SEBI is addressing threats from AI tools and their impact on market integrity, the SEBI Chairman said, “Most of the recent concerns around AI tools are related to cybersecurity. As you know, markets rely heavily on software systems, and if cybersecurity is threatened or vulnerabilities are found in the software, there is a risk of attacks. If such attacks are successful, they can pose a serious threat to market integrity.”
“Therefore, we have e to proactively ensure that all the software we deploy, including those provided by third-party vendors, is well protected. There has to be aggressive patch management and extensive use of conventional tools to identify vulnerabilities, so that any weaknesses are immediately patched,” he added.
