|Published : 16 Oct 2016, 22:00:29|
BSE International Exchange likely to begin operations in January
MUMBAI, Oct 16 (PTI): BSE International Exchange at the Gujarat International Finance Tec-City or GIFT city is expected to begin operations from January next year.
BSE is planning to invest Rs 500 crore for setting up the international exchange, which will offer a variety of international products. The international exchange would initially start off with derivatives products.
"We plan to start in January 2017, if all goes well," BSE managing director and CEO Ashishkumar Chauhan told reporters here.
He also said the Asia Index, home to the leading indicator of Indian equity market performance, Sensex, will provide the foreign indices on the international exchange.
"The products offered on the international exchange will be different. Primarily it would be international products we would like to trade in. The derivatives would not only be of Indian origin but also foreign," Mr Chauhan said.
At a separate event, he said that as many as 200 brokers have expressed interest to register on the international exchange.
The gift city will be the first international finance services center of India where there would be no levy of securities transaction tax, commodities transaction tax, stamp duty, service tax and income tax. Only MAT (minimum alternate tax) will be applicable.
BSE had signed a pact with GIFT SEZ Ltd in January last year to set up BSE International Exchange and BSE International Clearing Corporation at the GIFT city - the country's first International Financial Services Centre (IFSC).
The international exchange is expected to provide an electronic trading platform that facilitates domestic companies to raise capital in foreign currency by issuing foreign currency-denominated bonds and to trade in such securities.