Retail Investors Revolutionize Indian Capital Market Landscape
India's capital markets are undergoing transformative changes, with retail investor participation surging from 3.6 crore to 19.4 crore demat accounts from 2019 to 2025. Domestic institutional ownership has also increased, while foreign ownership has decreased. These shifts signal enhanced trust in India’s financial ecosystem, pivotal for its green transition.
- Country:
- India
The Indian capital market is experiencing a significant shift as retail investors increase their presence, propelling the number of demat accounts from 3.6 crore in 2019 to 19.4 crore by 2025. This change was highlighted by a senior Sebi official during the IVCA Renewable Energy Summit 2025.
Significantly, domestic institutional ownership in listed companies has risen from 13% to 20%, while foreign ownership has declined to 17% from 22%. At the summit, Ruchi Chojer, Executive Director at Sebi, emphasized that trust forms the bedrock of investment in India, a testament to the country's evolving financial landscape.
India's ambitious energy transition is poised to benefit from this market evolution, with alternative investment funds playing a crucial role. Sebi is facilitating this transformation by advocating for ESG adoption and offering regulatory clarity, aiming to channel the estimated USD 250 billion needed by 2030 for renewable energy projects.
(With inputs from agencies.)
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