Comprehensive up-to-date news coverage

HomeNewsBusinessRBI allows independent primary dealers to provide all foreign exchange market making...

RBI allows independent primary dealers to provide all foreign exchange market making services

Published on

Follow us on Google News for latest updates and information.

News Tech: The Reserve Bank of India (RBI) has allowed standalone primary dealers to offer all forex market making functions on 5 August. In a statement on development and regulatory guidelines, the RBI said, “This move will provide foreign exchange clients with a wider range of market makers to manage their currency risks, thereby expanding the Indian forex market. ‘

The RBI said guidelines on both counts will be issued soon. RBI strives to maintain stability in the FX market. The central bank has repeatedly said it will not tolerate excessive volatility in the rupee exchange rate against the dollar. As part of the actions announced on August 5, the RBI will launch alternative benchmark interest rates worldwide, with the exception of the widely used Mumbai Interbank Outright Rate (MIBOR) based Overnight Index Swap (OIS) contracts.

A broader market presence would strengthen the ability of independent primary dealers to support the primary issuance of government bonds and activities in the secondary market, he said. In addition, RBI has allowed standalone primary dealers to trade on the offshore Rupee Overnight Index Swaps market. This is done with the aim of improving price discovery and removing segmentation between onshore and offshore swap markets, the central bank said.

Announced that it had moved to Internationally, they have a broader participant base beyond banks and are more liquid, according to RBI. In this regard, the RBI proposes setting up a committee to conduct a detailed review of the issue, including the need to move to another benchmark. The committee said it would suggest the most appropriate route.

See also  Thruvision says their relationship with US Customs is exceeding order expectations

Latest articles

Australia and the United States announced the International Olympic Committee for the Space Surveillance Telescope

In Science and Space: The Australian Department of Defense (DoD) and the United...

How to Create Local Account on Windows 11

Hello everyone, in this article we will show you how Create a local account...

One-of-a-kind rides are featured at the Highlands Car Show, which benefits charity

News Tech: At the Highlands Church car show on September 24, auto enthusiasts...

Crypto Energy Study Ignored By Agencies, Irking Lawmaker

News Tech: In response to recommendations made by a White House assessment on...

More like this

Australia and the United States announced the International Olympic Committee for the Space Surveillance Telescope

In Science and Space: The Australian Department of Defense (DoD) and the United...

How to Create Local Account on Windows 11

Hello everyone, in this article we will show you how Create a local account...

One-of-a-kind rides are featured at the Highlands Car Show, which benefits charity

News Tech: At the Highlands Church car show on September 24, auto enthusiasts...

Crypto Energy Study Ignored By Agencies, Irking Lawmaker

News Tech: In response to recommendations made by a White House assessment on...

Use SSH on Windows/macOS/Linux

Hello everyone in this article on Use SSH on Windows/macOS/Linux. An SSH connection creates...

The United States Space Force has selected Firefly Aerospace for the VICTUS NOX “Rapid Space” mission

In Science and Space: Firefly Aerospace, Inc. today announced that it has been...