UPSC-Relevant News Items

1. Securities Markets Code Bill, 2025, aims to strengthen SEBI powers and consolidate market laws.

Page: 3

Summary:

• • The Securities Markets Code (SMC) Bill, 2025, proposes consolidating three legacy laws (SCRA, SEBI Act, and Depositories Act) into a single framework to enhance market efficiency.
• • The Bill aims to strengthen investor protection, decriminalize minor regulatory lapses, reduce the compliance burden, and promote the ease of doing business in the country.
• • SEBI’s powers are enhanced, allowing it to designate officers as Ombudsman for effective grievance redressal, and the size of the regulatory board is proposed to increase from 9 to 15 members.

Additional Facts:

• • The Securities and Exchange Board of India (SEBI) is the statutory regulatory body established under the SEBI Act, 1992, which currently governs capital markets through the consolidation of laws like the SCRA (1956), ensuring investor protection and development under the Ministry of Finance.
• • The proposed Securities Markets Code Bill (2025) exemplifies policy reform aimed at regulatory efficiency, merging multiple central laws into a unified framework to enhance ease of doing business and strengthen institutional capacity through expanded board size and grievance redressal mechanisms like the Ombudsman.

Linkage with UPSC course:

• • General

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