The National Stock Exchange (NSE) witnessed a remarkable surge in its Social Stock Exchange platform, boasting five listings, as four new non-profit organizations (NPOs) joined the fray. The collective fundraising efforts of these entities have garnered close to Rs 8 crore, earmarked for various developmental initiatives. Finance Minister Nirmala Sitharaman lauded this achievement, hailing it as a pivotal moment in bolstering financial inclusion and social welfare across the nation.
Emphasizing the government’s unwavering support for the platform, Sitharaman underscored its role in democratizing investments, thereby empowering individuals to contribute to India’s growth narrative. The Social Stock Exchange, a pioneering initiative, facilitates fundraising for social enterprises through Zero Coupon Zero Principal (ZCZP) bonds.
Among the latest entrants to the exchange are Mukti, Transform Rural India Foundation, Swami Vivekananda Youth Movement, and Ekalavya Foundation, collectively raising substantial sums ranging from Rs 83.5 lakh to Rs 2 crore. SGBS Unnati, the inaugural listing in December 2023, had successfully raised Rs 1.8 crore.
While two NPOs have ongoing subscription offerings, three others are in the process of initiating their fundraising endeavors. Additionally, Madhabi Puri Buch, chairperson of the Securities and Exchange Board of India (Sebi), revealed plans to permit Sebi staff to contribute through ZCZP bonds to NPOs, a decision anticipated during Sebi’s upcoming board meeting.
Buch highlighted the platform’s potential to foster inclusion, trust, and transparency within the NPO sector. Notably, Sebi had previously revised the minimum application and issue sizes, aiming to broaden participation. Ashishkumar Chauhan, MD & CEO of NSE, acknowledged the positive impact of these changes, noting increased donor engagement, including contributions as low as Rs 10,000. Efforts are underway to streamline documentation processes through automation, ensuring a seamless experience for stakeholders.
In a separate development, Union Asset Management Company (AMC) announced the appointment of Madhu Nair as its new CEO. Nair, with extensive experience leading sales divisions at prominent firms like HSBC AMC and Invesco AMC, succeeds G Pradeepkumar, who departs the AMC after a commendable 14-year tenure.
Nair’s appointment underscores Union AMC’s commitment to harnessing expertise to drive growth and innovation within the organization. With a seasoned leader at the helm, the company aims to navigate evolving market dynamics and deliver enhanced value to its stakeholders.
In summary, NSE’s Social Stock Exchange continues to chart an upward trajectory, facilitating impactful fundraising endeavors for social causes. As regulatory frameworks evolve and industry players embrace innovation, the exchange stands poised to catalyze transformative change, fostering a more inclusive and resilient socio-economic landscape.
