Financial markets remain an important component of India's economic development through different avenues of capital and maintaining financial stability. There are two divisions for the purpose: the capital market and the money market. It is divided broadly into the stock market, referring to the long-term funds mobilized by companies, and the bond market, where issued securities are traded. The stock exchange forms an integral part and consists of the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). It permits short-term borrowings and lending.