On May 08, 2020, Union Minister for Finance & Corporate Affairs Smt. Nirmala Sitaraman launched INR-USD (Rupee-Dollar) Futures and Options contracts on two international exchanges namely BSE’s India INX and NSE’s NSE-IFSC at the International Financial Services Center (IFSC) of Gujarat International Finance Tec-City (GIFT City) in Gandhinagar through a video conference.Key Points:
i.Benefits: The launch of Rupee-Dollar Contractor will increase economic activities in the country and will also increase employment as large part of the financial services market associated with India has gone to international financial centers in other countries over the last decade. Bringing these businesses to India is beneficial for the country.
ii.Availability: These deals will be available for 22 hours every day in all time zones for businessmen from all over the world through Gift-IFSC.
iii.Feature: GIFT-IFSC has a world-class environment of trading and its tax system is also competitive. Therefore, it is believed that a large part of the business that has gone to other countries will come to India due to the trading of rupee-dollar contracts. With this, big global traders will start trading in India and India’s IFSC will connect with the whole world.
Note: BSE formerly known as the Bombay Stock Exchange Limited
India INX means India International Exchange Limited
NSE means National Stock Exchange of India Limited
About Ministry of Finance:
Headquarters– New Delhi
Minister of State (MoS)– Anurag Singh Thakur