India’s capital markets set for 16% annual growth through FY30 on rising financialization: Macquarie
- IBEF
- September 28, 2026
India’s capital markets revenue pool is expected to grow at a 16% compound annual growth rate (CAGR) between FY26 and FY30, driven by rising household financialization, deeper equity participation and expanding product offerings, according to Macquarie Research. Indians save around Rs. 44.19 lakh crore (US$ 500 billion) annually in financial assets, with nearly half of these savings held in cash and deposits, creating a significant pool for market-linked products. Macquarie noted that increasing GDP per capita, formalisation of savings and greater participation in physical and financial assets are steadily expanding the addressable pool of household savings. The brokerage highlighted that India’s capital markets remain underpenetrated, with around 3% of the population active on the NSE and approximately 4% owning mutual funds. At the same time, demat accounts have increased sharply from 21 million in FY13 to around 225 million in FY26, indicating stronger retail participation in capital markets.
Retail investment has also been supported by the growing adoption of systematic investment plans (SIPs), with annual SIP inflows rising from below Rs. 1 lakh crore (US$ 11.32 billion) in FY19 to around Rs. 3.5 lakh crore (US$ 39.60 billion) in FY26. Monthly SIP inflows have remained above Rs. 30,000 crore (US$ 3.39 billion) since early FY26. Macquarie expects stock exchanges to record around 13% annual revenue growth through FY30, with transaction revenues projected to expand at about 12% annually and non-transaction revenues at around 15%. The increasing contribution of data, connectivity, listings and index-linked products is expected to diversify exchange revenues and reduce dependence on trading volumes. However, the report highlighted a near-term disruption from the Closing Auction System, with its impact on equity, derivatives and margin-trading volumes potentially persisting for two quarters as market liquidity and trading strategies adjust. Overall, the report points to increasing financialization and capital-market participation as key drivers of India’s investment, wealth and exchange revenue pool through FY30.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Partners
