Bourses' inputs sought to set up SME platform

MUMBAI, INDIA: The government is seeking inputs from the stock exchanges in the country to set up SME Exchange, said a Finance Ministry official.

“We have requested them (stock exchanges) to provide inputs on various issues, especially with regard to expediting the SME platform to facilitate resource mobilisation by SMEs,” the official said after a meeting of representatives of stock exchanges and brokers.

Also read: BSE SME Exchange provides great opportunities

The exchanges and other stakeholders, he said, have been asked to provide consolidated inputs within two to three weeks.

The meeting was called by Finance Ministry to sort out issues for setting up of SME platform which has been pending since January last year. 

Also read: BSE SME Exchange eyes 1 mn listings

A Task Force set up by Prime Minister Manmohan Singh had recommended setting up of a dedicated stock exchange or platform for SMEs.

Market regulator Securities and Exchange Board of India (SEBI) has also laid down the regulations for governance of SME Platform or exchange.

Under the SEBI norms, companies with post-issue paid up capital of less than Rs 25 crore will be permitted to seek listing on SME platform. Once the limit is exceeded, they would be shifted to main platform.