SEBI’s Madhabi Puri Buch proposes Rs 250 SIP to enhance financial inclusion

SEBI’s Rs 250 SIP proposal: SEBI Chairperson Mhabi Puri Buch has proposed introduction of a Rs 250 per month systematic investment plan (SIP). 

This initiative, driven by itya Birla Sun Life Mutual Fund, aims to make investing more accessible to a larger segment of Indian population.

Affordable SIP with technology

dressing a Confederation of Indian Industry (CII) event, Buch stressed that proposed Rs 250 SIP is designed not only as a low-cost investment option but also to leverage technology for streamlined onboarding and servicing. 

She highlighted that discussions are underway with Association of Mutual Funds in India (AMFI) and or key industry players to ensure feasibility of this initiative.

“This Rs 250 SIP will provide an opportunity for more people to invest, with amounts as low as ₹250 per month, approximately $3,” Buch explained. 

She highlighted that such a minimal investment could democratize wealth creation, aligning with vision of a 'Viksit Bharat' (developed India). 

“Globally, people are amazed when I mention this amount. It’s a significant step towards inclusive financial participation,” she ded.

move by itya Birla Sun Life Mutual Fund represents a pioneering effort in Indian mutual fund sector. If successful, it would set a new precedent for low-cost SIP offerings in country. 

However, Buch clarified that initiative's success depends on its viability, stressing that without it, traction could be limited.

Tech-driven market future

Buch also dressed future of market ecosystem, pointing out that vancements in technology will play a critical role. She praised Indian market for its leing-edge technological developments, which are unparalleled globally. “Our market is at forefront of technology innovation,” she said.

SEBI Chairperson underlined importance of collaboration between regulators and industry stakeholders. “Effective regulation involves co-creation and partnership. This approach is essential given complexity of our market ecosystem,” she concluded.

As mutual fund industry prepares for this potential shift, focus will be on ensuring that Rs 250 SIP can be both viable and impactful in expanding financial inclusion across India.