The Bombay Stock Exchange (BSE) had already received SEBI approval for its proposed SME Exchange on Sep 28.
"I would like to inform you that today (Friday) the NSE has also been given permission to start an SME exchange," SEBI Chairman U.K. Sinha said at an interactive session organised by the Bharat Chamber of Commerce (BCC) in Kolkata.
The Small Industries Development Bank of India (SIDBI) is already working with the NSE to set up the SME exchange. It will be a separate exchange within the NSE.
It is likely to be operational within this financial year. The SMEs would be able to raise equity from the market through the exchange and develop their business.