Role of SEBI and FIPB

Role of SEBI and FIPB

What is the role of SEBI and FIPB?

Securities and Exchange Board of India – SEBI was established in 1988 as a non statutory body. Later on, in 1992, it became an autonomous body.

It

- regulates the security markets.
- helps to promote the investor relations.
- makes rules and regulations for the security market.
- does not allow the companies to make misleading statements.
- SEBI regulates the working of stockbrokers, share transfer agents, merchant bankers, etc.

Foreign Investment Promotion Board – FIPB is a specialized agency in India. FIBP was transferred to the Department of Economic Affairs in 2003.

- It formulates the proposals to promote investments.
- It helps set friendly guidelines to help more investors.
- It creates a process to implement proposals.
- It helps invite more and more companies to make investments.
- Periodically, it reviews the implementation of projects.