SEBI 2.0: Institutional Transformation Under theSecurities Markets Code, 2025
Keywords:
SEBI 2.0, securities markets code 2025, capital market regulation, investor protection, regulatory governance.Abstract
The Securities Markets Code, 2025 marks a decisive shift in India’s capital market regulation by introducing a unified legislative framework and redefining the institutional role of the Securities and Exchange Board of India (SEBI). SEBI 2.0, this transformation reflects a move from fragmented, statute-driven regulation to a consolidated and principle-based regulatory architecture. This paper critically examines the institutional restructuring of SEBI under the securities markets code, 2025, with particular emphasis on expanded regulatory powers, changes in board composition, enhanced disclosure obligations, and strengthened enforcement mechanisms. It analyses how the new code seeks to balance regulatory efficiency with accountability, independence, and investor protection in an increasingly complex and technology-driven securities market. The study also evaluates potential concerns relating to concentration of regulatory authority, checks and balances, and the implications for market participants and democratic oversight. SEBI’s transformation within the broader objectives of capital market development, ease of doing business, and investor confidence, responsive, and futureready regulator. The research adopts a doctrinal, drawing upon statutory provisions, regulatory theory, and comparative insights to assess the effectiveness and challenges of this institutional shift.
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