The number of monthly active users in the Indian stock market is less than 1 Crore. Nitin Kamat, founder and CEO of the country’s largest online broking firm Zerodha, shared this information on Thursday, quoting the RBI’s Financial Stability Report.
According to a report by RBI, there has been a sharp decline in the number of monthly aquit users in the stock market since January 2022 this year.
Nitin Kamat said in a tweet on Thursday, January 30,”The Financial Stability Report of RBI has given information about the number of monthly active users in the stock market. I am the first to see this data going public. According to this Indian stock market The number of monthly active users in the U.S. is less than 10 million. This number is much less than the estimates being made by the people so far.
Along with this, he has also shared a chart regarding the number of active monthly users in BSE and NSE. After looking at this chart, it is known that this year i.e. from January 2022 onwards, there has been a sharp decline in the number of monthly aquit users.
It is believed that these are the exit users, who have distanced themselves from the stock market in the event of a fall and loss in the market. The Sensex and Nifty have lost more than 10 per cent since the beginning of this year.
Monthly active users(MAU) on Indian capital markets from the 2022 RBI financial stability report.
This is first time I am seeing this data in public. MAUs <1 crore across India, much lesser than what most people expect. My guess is the dip will be a lot more by the end of June. pic.twitter.com/hbJ1mCUXhX
— Nithin Kamath (@Nithin0dha) June 30, 2022
Warning about the number of users, Nitin Kamat said,”My guess is that by the end of June, the number of monthly active users is going to decline further.” If this happens, it could be a major concern for the Indian stock market, which is facing continuous selling by foreign investors and may see further decline in the coming months.
RBI’s Stability Report
RBI in its Financial Stability Report released on Thursday, June 30, 2022, said that India’s economy is on the path of recovery, but the pressure of high inflation, external factors and geopolitical risks need to be closely monitored.
The RBI said in its report, the impact of global conditions on the Indian economy is visible, but it is on the path of recovery. The financial system remains resilient and is conducive to economic revival. Banks as well as non-banking institutions have adequate capital buffer to withstand sudden shocks.