Stay ahead of the curve! FM tells regulators in the new age of digitization

Stay ahead of the curve! That is the brief from the boss at North Block Nirmala Sitharaman to regulators. Emphasising the need for fair and transparent business practices, Union minister Nirmala Sitharaman on Tuesday said regulators have to be well advanced and ahead of the curve in understanding digitisation to ensure that there is no misuse of technologies.

Speaking at an event to flag off 'Iconic Week' celebrations of the corporate affairs ministry as part of the Azadi ka Amrit Mahotsav (AKAM), she noted that digitisation will have an impact on markets.

Consequently, the Competition Commission of India (CCI), National Financial Reporting Authority (NFRA) and others have to be ahead of the curve to see where the regulations are falling in place, where the norms need a soft touch, where the regulations will have to be a strong deterrent.

"We cannot be behind the curve... the regulators will have to understand at what level and with what effect they need to come in. We have to be well advanced in this kind of situation rather than being caught unawares," she said.

Delving into the topic of digitisation, the minister also said it is very well for regulators and institutes to benefit from digitisation. At the same time, there has to be strong manpower, which constantly looks at ways in which they can evolve firewall mechanisms to safeguard the digital platforms and digital world that have been created for our convenience.

"Every institution will have to give equal attention to experts who have to be deputed on a constant basis to understand the challenges, where they come from, and strengthen the firewall mechanism. Or else that which made our lives easy, that which is making our lives continuously easy, can become the biggest (challenge)...," she said.