UK Sinha, Chairman SEBI, has called for greater cooperation among BRICS countries by way of sharing information with each other besides mooting the development of a BRICS bond market.

Speaking at a BRICS event on investment flows in Mumbai, Sinha said: “If you are talking of fund flows, it is important that we start looking at nittygritty of how to develop a BRICS bond market. So far as our individual systems are concerned , I think by sharing information, by trying to know what each other country is doing we have a lot to learn from each for example in areas of how FPI flows are covered, what are systems of settlement, how the trading happens, what are requirements for an FPI to come and invest from one BRICS country to another and once this happens there will be a lot of learning and perhaps it will also bring about opportunities for more and more cooperation.”

He observed that India has simplified its foreign portfolio investor in the last three years adding that there were close 9,000 FPIs registered, and SEBI would happy to share knowledge and experience with partner countries on how the regulations had fared.

“Going by global stability and investor protection concerns, it is very important that the FPI have the assurance that there is good amount of corporate governance in the country where they are investing. I am happy to tell that the last three years have shown a very good progress as far as corporate governance is concerned in this country. These regulations have been very well appreciated by the world now including the ranking by the world bank,” Sinha said.

“However when we look at the outflow from one BRIC country to another BRIC country and the BRICS countries as a whole then we find that a lot of ground has to be covered,” Sinha concluded.

Sinha also said the Real Estate Investment Trusts, Infrastructure Investment Trusts and corporate governance were other areas for sharing of knowledge and experience among BRICS countries.

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