Search
RBI allows 9 Banks G-Sec trading using Digital Rupee
November 03, 2022
“We have been given a new platform to trade in government securities by the RBI, in which we will transact using digital currency,” three officials aware of the development were quoted as saying by Moneycontrol.
The bank regulator has allowed Bank of Baroda, State Bank of India, Union Bank of India, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, Yes Bank, IDFC First Bank, and HSBC to participate in the first segment of the project, the report added.
The officials said that more than ₹100 crore of transactions had taken place by 12 pm on November 1 on the NDS-OM platform. The Clearing Corporation of India‘s portal showed that transactions of bonds worth ₹275 crore were undertaken on the first day via wholesale Central Bank Digital Currency, according to the report.
One of the officials claimed that because transactions are settled quickly on the platform, banks incur lower expenses and shorter settlement times. The Clearing Corporation of India (CCIL) currently settles deals in government securities on a T+1 basis, which means the securities are debited and the funds are credited one day after the transaction date.
Important Links:
- 4-IN-1 Professional Diploma in Banking, Financial Services & Insurance (PDBFSI): https://tscfm.org/courses/4-in-1-professional-diploma-in-banking-financial-services-insurance-pdbfsi/