The article gives an overview of India's capital markets, tracing their history back to the 18th century. It discusses how capital markets help in investing surplus funds and mainly trade in long-term securities. The key divisions are stock market, bond market, and primary/secondary markets. During the British rule, capital markets were not well organized, but after the introduction of SEBI, they have developed significantly. The study shows that a sound and efficient capital market is crucial for the economic development of a nation by providing long-term loans for various sectors.