BSE starts work on setting up global stock exchange

Our Bureau Kolkata | Updated on January 24, 2018

The Bombay Stock Exchange hopes to set up the proposed international stock exchange within a year at the Gujarat International Finance Tec-city near Gandhinagar.

Ashish Chauhan, MD and CEO, BSE, told reporters on the sidelines of CII event on Saturday that the proposed bourse “could come up in the next 9 to 12 months”. BSE, supported by Deutsche Boerse, has started preparation for executing the project.

The proposed exchange would be located in the International Financial Services Centre (IFSC) within the GIFT City. The Government aims to create a global financial centre on the lines of those in Dubai, Singapore and Hong Kong to check flight of trading in securities to offshore financial hubs. The BSE Brokers Forum has picked a 3-lakh-sq-ft space at IFSC at a cost about ₹150 crore.

He said the BSE had begun scouting for international companies, who could enlist their stocks on the proposed exchange.

Chauhan said the participants in the international exchange would enjoy certain tax-related benefits as well as exemptions from provisions of the Companies Act 2013.

“The GIFT City would have the status of a special economic zone for the financial entities. The exemptions from relevant India laws and regulations to be enjoyed by both foreign and international entities needed to be fully spelt out,” he pointed out.

He mentioned that SEBI, RBI and IRDA have already formulated relevant regulatory frameworks for the first international financial hub on the Indian soil. “However, the other regulators, including the Ministry of Corporate Affairs and the Ministry of Finance, are yet to come up with specific regulatory provisions for IFSC”, Chauhan added.

Published on June 28, 2015

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