PNs are market instruments that are created and traded overseas. Hence, Indian regulators cannot ban the issue of PNs. However, they can only be regulated, and they are indeed being regulated by the securities market regulator in India, SEBI. When a PN is traded on an overseas exchange, the regulator in that jurisdiction would be the authority to regulate that trade.
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Regulation of PNs
PNs are market instruments that are created and traded overseas. Hence, Indian regulators cannot ban the issue of PNs. However, they can only be regulated, and they are indeed being regulated by the securities market regulator in India, SEBI. When a PN is traded on an overseas exchange, the regulator in that jurisdiction would be the authority to regulate that trade.
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