Calcutta Stock Exchange – BJP Government Pitches Revival to Restore Kolkata's Financial Legacy

Expert Analysis:

• The newly elected BJP government in West Bengal has announced plans to support the revival of the 118-year-old Calcutta Stock Exchange (CSE) as part of its broader strategy to restore Kolkata's position as a major financial centre.

• The revival proposal was announced during the presentation of the 2026–27 West Bengal Budget, where the government acknowledged that CSE has been on the verge of closure because of prolonged regulatory and legal hurdles.

• Founded in 1908, CSE was once India's second-largest stock exchange after BSE and played a significant role in the country's capital markets before trading activity declined sharply over the past decade.

• According to CSE officials, the proposed revival will focus on building a state-of-the-art technology platform with modern surveillance systems, aimed at creating a transparent and efficient marketplace that meets current regulatory standards.

• Management believes a revived exchange could encourage small and medium-sized enterprises (SMEs), public sector undertakings (PSUs), and regional businesses to consider listing on CSE, potentially expanding investment opportunities in eastern India.

• CSE executives have also indicated that the revival could improve investor access to regional capital markets while strengthening Kolkata's role in India's financial ecosystem.

• Despite the optimism, the exchange continues to face significant challenges, including obtaining SEBI approvals, rebuilding market liquidity, upgrading infrastructure, and competing with dominant exchanges such as NSE and BSE.

• If successfully implemented, the initiative could mark the beginning of CSE's return as a regional capital market institution, although execution and regulatory clearances will remain the key determinants of its long-term viability.