Recent developments related to SEBI

Merger of Forward Market Commission (FMC) with SEBI

♤ Though, Justice BN Srikrishna-led FSLRC recommended unification of the regulators. But it was the fallout of NSEL that prompted finance ministry to merge FMC with SEBI immediately.

♤ The merger was aimed at streamlining the regulations and curb wild speculations in the commodities market, while facilitating further growth there. It would increase economies of scope and economies of scale for the government, exchanges, financial firms and stakeholders.

♤ SEBI has also created a separate Commodity Cell and has set up new departments for regulation of commodities derivatives market.