Indian financial markets remain well-regulated, says Sitharaman

India remains a well-governed and I well-regulated financial market for investors and one much-talked about incident should not be considered indicative of how well the markets are governed, Finance Minister Nirmala Sitharaman said on Friday, commenting for the first time on the Adani group stock rout.

- ASIT RANJAN MISHRA

"India remains as before absolutely well-governed, (with a) stable government and also well-regulated financial market and, as a result, investor confidence which existed before shall continue even now. Our regulators are normally very very stringent about certain governance practices. Therefore, one instance, however much talked about it may be, I would think, is not going to be indicative of how well Indian markets are governed," Sitharaman said in an interview to Network-18.

Sitharaman said both State Bank of India and Life Insurance Corporation had issued detailed statements explaining that they were not over-exposed to the Adani stocks.

"They have clearly said their exposure is well within the permitted limits and they are even now with valuations falling as well, sitting over profits," she said.