Financial sector reforms in India
- Radhika Pandey & Ila Patnaik
- May 2019
- National Institute of Public Finance and Policy (NIPFP)
- India
While India’s financial needs are growing, the current regulatory arrangements inhibit growth. The evolving discourse on financial regulatory reforms recognises that the motivation for state intervention in finance must be guided by an understanding of the sources of market failure. Drawing on this approach, the Financial Sector Legislative Reforms Commission's (FSLRC) has drawn up the Indian Financial Code (IFC) that seeks to modernise the Indian financial system by transforming the laws, the regulatory architecture and the working of regulators. What are the components of the draft IFC and how far has the government been able to implement it?
