Business
Sebi nod for International Financial Services Centre norms
New Delhi, March 22
Market regulator
Securities and Exchange Board of India (Sebi) on Sunday approved a new
set of norms for setting up of stock exchanges and other capital market
infrastructure in India's first International Financial Services Centre
(IFSC) in Gujarat's GIFT City.
"Stock exchanges and clearing
corporations would be provided concessions for setting up ventures in
the IFSC. All existing exchanges would be allowed to set up their
subsidiaries in the IFSC under the relaxed regimes," its chairman U.K.
Sinha said after a meeting of the Sebi board.
The BSE and NSE
have already signed MoUs for setting up international exchanges at
Gujarat International Finance Tec-City (GIFT City) in the state capital
Gandhinagar.
Under the new regime, rules and regulations differ and are more relaxed from those applicable outside the IFSCs.
The
move is expected to generate an estimated Rs.1,334 crore per day -- or
Rs.200,000 crore per year -- worth of trading in rupee derivatives that
currently goes to exchanges outside India.
GIFT City chief
execitive Ramakant Jha said the new guidelines would provide a
much-needed fillip to the new IFSC regime and would save billions of
dollars worth financial services business that India is losing out to
other global hubs.