The Hindu Business Line : SIAI charts revival plan for regional stock exchanges

THE Securities Industries Association of India (SIAI), the apex body of the broking community in the country, has decided to strive for the revival of regional stock exchanges, which have become almost defunct.

Mr Ajit Day, one of the spokespersons of SIAI, told Business Line here that the revival of the bourses would require a policy shift.

"The continuation of the policy has seen the slow death of regional bourses. After the 2001 scam, the regional bourses were considered unnecessary and were administratively pushed to the brink. In the absence of suitable corrective and business development measures in a competitive environment, the daily turnover of the regional bourses came down to unviable levels. It needs a review to return the focus on the regional bourses''.

According to Mr Day, the apex body would meet in July to draw up a comprehensive revival plan and pursue the initiative with the authorities.

Ms Deena Mehta, also a spokesperson of the apex body, felt the regional bourses could survive with the national bourses. "What we need is a national order-book system by which order matching at the regional exchange would get a marginal preference."

It can give the investors competitive price, quality of service and national networking in association with national bourses.