New Delhi, Jan 25 (PTI) Markets regulator Sebi Friday said it has granted qualifying central counterparty (QCCP) status to two clearing corporations operating in Gujarat International Finance Tec-City, an International Financial Services Centre (GIFT IFSC). Also Read - Govt Allows Operation of Electricity Futures in India
The two entities are India International Clearing Corporation (IFSC) Ltd and NSE IFSC Clearing Corporation Ltd. They carry out the functions of clearing, settlement, collateral management and risk management for various segments of the exchanges. Also Read - CBDT Signs MoU With SEBI For Data Exchange
A QCCP member is subjected to lower capital requirements under the Basel-III framework introduced by the Basel Committee on Banking Supervision. Also Read - SEBI Allows Promoters to Increase Stake by up to 10%
“India International Clearing Corporation (IFSC) and NSE IFSC Clearing Corporation are granted the status of QCCP,” the Securities and Exchange Board of India (Sebi) said in a statement.
Clearing corporations is regulated by the Securities and Exchange Board of India (Sebi) and the Reserve Bank of India, for select products.
Further, it is also subjected, on an on-going basis, to rules and regulations that are consistent with the Principles for Financial Market Infrastructures issued by the Committee on Payments and Market Infrastructures and International Organisation of Securities Commissions.
This is published unedited from the PTI feed.