Indian stock mkt among best-performing ones

Many new companies have been listed in the last 10 years and overall, the growth of the corporate sector has increased, especially in the banking sector. Investors received attractive returns from 13 stocks out of 78 IPOs listed in 2023-24 fiscal -- Ashish Chauhan, MD & CEO, NSE

New Delhi: If the Indian stock markets are considered among the best-performing ones in the world, it is due to the political stability and the creation of a robust social security framework the country has witnessed in the last 10 years, according to Ashish Kumar Chauhan, MD and CEO of National Stock Exchange (NSE).

In a conversation with IANS, Chauhan who has been closely associated with the Indian stock exchanges - having served both the BSE and NSE - emphasised that when poverty reduces in a country, people’s confidence levels boost and they begin to participate in the economic activity and overall growth increases.

“A lot of good work has been done in the past 10 years and I feel that the creation of social security, while reducing the overall fiscal deficit is the most significant development under Prime Minister Narendra Modi’s rule,” said Chauhan, who has been the founder-member of the NSE and this is his second stint with the exchange.

Investors received attractive returns from 13 stocks out of 78 IPOs listed in fiscal year 2023-24. The S&P BSE IPO index surged 69 per cent in FY24. As of December 31, 2023, about 55.51 per cent of NSE’s shareholding was with the public, while the rest is owned by non-public.

Chauhan said that there will be more IPOs in 2024-25 if the market remains bullish.

Social welfare schemes like Pradhan Mantri Suraksha Bima Yojana (PMSBY), Pradhan Mantri Jeevan Jyoti Yojana (PMJJBY), the Atal Pension Yojana (APY), Ayushman Bharat and others with crores of beneficiaries have instilled new confidence among the citizens, even in small towns and cities, to grow financially and invest beyond traditional instruments.

In 2013-2014, the Nifty index was around 7,500. Today, Nifty is above 22,000 which has been a meteoric rise.

The exchange saw many firsts and scaled new heights, while adopting cutting-edge technologies for seamless, hassle-free operations for the investors under Chauhan’s guidance.

For Q3 FY24, the NSE registered an 8 per cent rise in consolidated net profit to Rs1,975 crore. During the first nine months of FY24, NSE contributed Rs28,131 crore to the exchequer.

According to him, many new companies have been listed in the last 10 years and overall, the growth of the corporate sector has increased, especially in the banking sector.

“There have been massive investments across the spectrum, especially in building infrastructure, like roads, ports, metros, electricity generation and others in the last decade. On the other hand, income has risen steadily and unemployment rate decreased significantly,” Chauhan noted.

A mechanical engineer from IIT Bombay and alumnus of IIM Calcutta, Chauhan is considered one of the foremost experts in financial market policies.