Govt wants to encourage longer-term investment and not speculation via derivatives or short-term trading: Finance Secretary

The Finance Secretary, TV Somanathan, clarified that the recent tax adjustments aim at simplifying the tax structure and slightly increasIng revenues, while encouraging long-term investments and discouraging short-term trading. He highlighted the need to balance various financial assets and the government’s continued support for financialisation. Concerns over speculative actions in derivatives markets were also addressed.