India's first International Exchange at GIFT city to start trading from January 16

Prime Minister Narendra Modi had earlier this week inaugurated India's first international exchange-India INX at the International Financial Services Centre (IFSC) in GIFT city in Gandhinagar, Gujarat. Image Source: Official Twitter Handle

Trading on the new India International Exchange at Gujarat International Finance Tec-City (GIFT city) will begin from January 16, Monday in equity, currency and interest rate derivatives to start with, a top company official said.

Through the new international exchange, country's oldest bourse BSE will look to provide electronic trading platform that will facilitate domestic firms to raise capital in foreign currency by issuing foreign currency dominated bonds.

"First we will start with equity, currency, commodities and interest rate derivatives to begin with," the official said. "In the second phase we plan to use this platform to raise funds, including Masala bonds, FCCBs or equities for Indian companies."

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Prime Minister Narendra Modi had earlier this week inaugurated India's first international exchange-India INX at the International Financial Services Centre (IFSC) in Gujarat International Financial Tech City (GIFT) in Gandhinagar.

ALSO READ: Full Text: PM Modi’s address on the occasion of Inauguration of the India International Exchange at GIFT city, Gandhinagar

With this, India has found a new place on the global financial map.

The International Exchange (INX) will provide a platform for domestic companies to raise capital in foreign currency through bonds, he said, adding the exchange will also permit trading in such securities.

The exchange, which is a wholly-owned subsidiary of BSE, will trade in equities, commodities and interest derivatives in the first phase, the official said, adding later it will trade equity instruments of Indian and foreign companies.

Masala bonds will also be available for trading, he said.

BSE will be investing around Rs 500 crore in the international exchange, according to the MoU it has signed with the Gujarat government.

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