New Delhi [India], January 5 (ANI): Union Commerce and Industry Minister Piyush Goyal on Wednesday called for transparency and the highest level of integrity in the stock markets.

Addressing the National Stock Exchange (NSE) function to mark the Silver Jubilee Celebration of 25 Years of Nifty Index and 20 Years of Launching of Derivatives Markets in India, he said this will empower households to look at greater incomes through investment besides encouraging foreign investors.

Also Read | COVID-19 Surge in Delhi: Appointments for Driving, Learning Licence Tests Suspended From Tomorrow.

"I think perception matters in the financial world, and therefore it is imperative we must put in place a strong system to maintain the highest level of integrity and transparency, which will encourage every Indian to invest in the stock market and empower households to look at greater incomes through investment besides encouraging foreign investors,"

Goyal said the NSE has been able to eliminate a lot of bad practices and brought in more transparency in the working of the exchange.

Also Read | IBPS PO Preliminary Exam 2021 Results Declared At ibps.in; Here Are Steps To Check The Result.

"On a lighter note, many people are missing the charm and the excitement of trading in the ring as it used to happen earlier, but I think given the current market dynamics and the size of the markets, I'm sure the ring could not handle this level of trade volumes," he said.

Goyal said India has earned respect globally, with its robust technical solutions for handling large trade volumes. "It is equally pertinent that all financial products pass through the prism of 'Trust, Transparency, and Accountability' so that they can turn into a rainbow of colors for the investors," he said.

He further said that the Stock Exchanges play a pivotal role in providing capital both to the industry and service sector and you channelize household savings and institutional flows for capital formation.

Goyal quoted Prime Minister Narendra Modi, "Wealth creation is good, but for me, the real value of our securities market lies in their contribution to the development of the nation, to the improvement of all sectors, and to the welfare of the vast majority of citizens."

"In this spirit, capital markets can become a source of finance for productive purposes like Infrastructure and Agriculture, which can benefit a very large majority of our population. Also, commodity derivative markets can be used to eliminate risks of farmers," he said.

The Union Minister said India is on the path of unprecedented economic growth. The rising economic indicators have showcased India and its true potential and capacity.

"We have had the highest ever exports in the history of India. During December 2021, goods exports stood at USD 37 billion, up by about 37 per cent over last year. Exports have exceeded USD 30 billion for nine months in a row consecutively setting a record every month since April 2021," he said, adding, "Moody's recently upgraded India's rating, we recorded the highest ever FDI, we see a robust GST collection, Vibrant Startup ecosystem, Record Mfg and Services PMI - just to name a few indicators!"

He said that the Government under the leadership of PM Modi has worked in a mission mode to reduce the compliance burden. He called upon the NSE to create a single KYC system for all trading and financial transactions like the NSWS.

"Recently we have launched the National Single Window System, one-stop portal, has been launched on a pilot basis created which is a one-stop portal for approvals and clearances needed by businesses," said Goyal, adding, "Is it possible to implement a single-window portal for doing robust common KYC system for Stock Brokers, Mutual Fund and depositories etc.?"

Lauding NSE for being recognized as the largest derivatives exchange globally for 2019 and 2020, he said it will contribute strongly to India's growth story.

"As we celebrate Azadi ka Amrit Mahotsav, PM said the next 25 years will be 'Amrit Kaal' for both India and the NSE also, in a way defining the future of India and the future of investing in India. NSE is adding to this momentum with its Nifty 50 index, which in a way has become the 'Stock of the Nation.' The Index has grown by 15 times in the last 25 yrs symbolizing the growth potential of the Indian economy. It has made the common man a part of India's growth story. I'm sure the Nifty 50 will continue to play a very important role in making GIFT City an international financial hub. NSE symbolizes New India's commitment for strong economic growth."

He also gave a Seven Sutra mantra for the growth of the stock exchange market, which includes safeguarding the interests of Small Retail Investors and the MSMEs by improving their financial literacy, launching financial products suitable to their risk appetite and meeting their investment needs, the strong need for participants to be well informed about products that they are investing into, encourage sentiment shift from Speculation to Diversification, from Momentary gains to building long-term portfolios, bringing Ease and simplicity to products which include launching products in regional languages and collaborating with schools and colleges to imbibe investment and trading skills at a young age.

It also includes reducing volatility and the sudden spikes to enlarge the investor base and induce robust capital formation, and following the International Best Practices (Wall Street, NASDAQ, etc.), and aiming to be among the top three exchanges in the world.

He said let us all make a New Year Resolution to help in making Stock Exchanges a frontier to achieve a target of USD 5 trillion economy. "India cannot become a developed country without world-class securities and commodities market," he said quoting PM Modi.

"Let us work together to deepen our markets and make an "Aatmanirbhar Financial Market" so that Indian corporates do not have to look at other markets for funding and risk management requirements," he said. (ANI)

(This is an unedited and auto-generated story from Syndicated News feed, LatestLY Staff may not have modified or edited the content body)