In a historic milestone, India’s stock market capitalization has crossed the $5 trillion mark in FY25, making it the fifth-largest capital market globally. Finance Minister Nirmala Sitharaman, addressing the 150th anniversary of BSE, credited this achievement to robust policy frameworks, increasing retail investor participation, and a surge in primary market activity.
Highlighting the democratization of wealth creation, FM Nirmala Sitharaman revealed that India added 4.1 crore demat accounts in FY25, bringing the total to 19.2 crore. Notably, the median age of investors now stands at 32 years, with over 40% under the age of 30, and one in every four investors being a woman.
“This youthful energy is fueling India’s financial inclusion revolution,” she said. The minister also lauded the mutual fund industry for its rapid growth, with assets under management (AUM) tripling from ₹22 lakh crore to ₹65 lakh crore in just five years. Unique mutual fund investors increased from 2 crore to 5.4 crore during the same period.
IPO activity was another key highlight, with the number of public offerings tripling in five years — from 106 to 320 — culminating in record equity issuances worth ₹4.2 lakh crore in FY25, double that of FY24. Domestic Institutional Investors (DIIs) also emerged as dominant players, investing ₹6.1 lakh crore compared to Foreign Portfolio Investors’ (FPIs) net outflow of ₹1.3 lakh crore.
The data reflects India’s deepening financial ecosystem, with increasing participation across age groups, genders, and geographies. As capital markets mature, India’s vision of becoming a globally integrated and inclusive economic powerhouse appears more achievable than ever.
