India’s union finance minister P Chidambaram said on Friday that he will take more steps to boost investments in financial instruments.
The remarks came after the country’s capital market regulator, the Securities and Exchange Board of India (SEBI) reviewed its rules governing mutual funds and IPOs in order to attract more investments. Chidambaram indicated that the government is looking into several other suggestions for improvements in market conditions and boosting investments.
The FM said that he has requested Sebi chairman to schedule another board meeting in the month of September for decision on several other suggestions. He pointed out that the recent reforms in rules will help the mutual fund industry and also improve savings for the households in the country.
The government will soon consider on the proposal to provide tax benefits to equity MF investors under the Rajiv Gandhi Equity Savings Scheme. SEBI has approved several measures to promote investments from the country as well as from aboard. New aspects like E-IPO and other reforms in the mutual funds will make it easier for foreign investments to participate in the Indian capital markets.
"The examination by the government and Sebi is likely to be completed in the next two weeks," Chidambaram.
The FM had earlier said in his first statement as the FM that the government will take steps to boost investments in mutual funds, insurance policies and other well-designed financial instruments.