Finance Minister Nirmala Sitharaman on Thursday introduced the **Securities Markets Code Bill, 2025** in the Lok Sabha, and proposed to send it to the **Parliamentary Standing Committee on Finance** for detailed examination.
After introducing the bill, Sitharaman said: “Sir, I move that the bill be referred to the Parliamentary Standing Committee on Finance. If the Speaker so desires, the committee will submit its report by the first day of the next session.”
The Bill seeks to bring key securities laws into a unified framework by repealing the **SEBI Act, 1992**, **Depositories Act, 1996**, and **Securities Contracts (Regulation) Act, 1956**. (Note: Contrary to some reports, this does not involve the Government Securities Act, 2007.)
First announced in the Union Budget 2021-22, the code aims to eliminate overlaps, inconsistencies and redundancies, thereby promoting a principles-based, modern regulatory environment. Its objectives include better protection of investors, reduced compliance burden, improved governance, technological adaptation, and deepening of capital markets – especially bonds – for better liquidity and lower borrowing costs.
Opposition MPs from Congress and DMK objected to the introduction, raising concerns over excessive centralization of powers. Sitharaman said such issues will be taken into consideration in the committee’s review.
The Speaker will decide on the referral, which is a step towards streamlining India’s rapidly evolving securities ecosystem.
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