India sees massive rise in demat accounts
What's the story
India's retail investing landscape has witnessed a major transformation in 2025, with nearly 21 crore demat accounts opened by the end of October. This is a huge jump from the two-and-a-half crore accounts in 2016 and four crore in 2020. The growth shows a major change in how Indians see and engage with capital markets.
Market growth
SIP contributions reach new heights
The retail investing boom is not just limited to demat accounts but also includes systematic investment plans (SIPs). Monthly SIP contributions have hit a record high of over ₹29,500 crore in October 2025. For the fiscal year 2024-25, total SIP inflows crossed ₹2.63 lakh crore. Meanwhile, India's mutual fund industry's assets under management (AUM) have more than doubled in five years to an all-time high of ₹80 lakh crore.
Geographic expansion
Retail investor participation expands beyond metropolitan centers
Retail investor participation has also expanded beyond metropolitan centers into Tier 2 and Tier 3 cities. NSDL's reach now covers over 99% of Indian pin codes, making capital markets accessible across the country's vast geography. This is a major step toward democratizing investing in India and ensuring that even those in smaller towns have access to these financial opportunities.
Market resilience
Technology and regulatory reforms strengthen retail investing
The rise of user-friendly platforms by traditional brokers, discount brokers, mutual fund providers, and banks has made investing easier than ever. Mobile-first solutions, Aadhaar-based KYC processes, and rapid account opening have empowered millions to participate in the markets. Despite challenges such as geopolitical tensions and market volatility due to high crude oil prices and currency depreciation, India's markets proved resilient with domestic institutional investors continuing to deploy capital.