'Benchmark To Hong Kong, Singapore, Dubai': Ajay Bagga Makes The Case For LTCG, STT Relief
NDTV Profit 2 hrs ago·14 Oct 2026, 4:58 am
Foreign investors have been aggressively selling Indian equities this year, with net outflows exceeding Rs 3 lakh crore. This massive capital flight has prompted veteran market watcher Ajay Bagga to argue that the government should cut the Long Term Capital Gains (LTCG) tax and the Securities Transaction Tax (STT) to make Indian assets more attractive to global investors.
Bagga specifically suggests shifting the benchmark for LTCG calculations from the Sensex to the MSCI India Index, which tracks performance against global peers. This move would help Indian stocks appear more competitive to foreign funds. The core argument is that a lower tax burden on long-term gains could reverse the current selling trend and stabilize the market.
Investors should watch the government's response to these demands. If tax relief is announced, it could act as a strong support level for the market. Conversely, if the government maintains the current tax structure, foreign selling may persist, creating volatility in the stock prices of major listed entities.
Affected stocks
Bearish1 stock
Bull / bear label is derived from the article's AI sentiment — indicative, not advice. Prices may be delayed.
Key takeaways
- Concerns National Securities Depository (NSDL).
- Category: Economy.
- AI reads the tone as negative (potentially bearish) for the stock.
- Flagged as a high-impact, market-moving story.
Why it matters
This is a high-impact development for National Securities Depository and could move the stock. The tone is negative — watch for downside reaction. Use the price and stock snapshot to gauge how the market is responding.
