By Euan Rocha and Abhirup Roy
GANDHINAGAR Indian stock market operator BSE aims to win market share from financial hubs such as Singapore and Hong Kong by investing in technology and offering almost 24-hour trading at its new exchange in Gujarat, Chief Executive Ashishkumar Chauhan said.The International Exchange will trade a range of financial instruments, including equities, commodities and currency, in Gujarat International Finance Tec-City (GIFT), which has been created to spearhead India's push to attract more foreign investment.Speaking on the sidelines of the exchange's inauguration on Monday, Chauhan said the new bourse would offer a response time of four microseconds, describing it as "one of the fastest, if not the fastest, exchanges in the world". It will also offer trading 22 hours a day, Chauhan said, with a goal of extending that to 23 hours.
"GIFT city could be more like what Hong Kong is for China," Chauhan said at the inauguration by Prime Minister Narendra Modi on the sidelines of the Vibrant Gujarat investor summit. Technology and long trading hours could also help to attract high-frequency traders, said Chauhan, who expects the exchange become profitable in two to three years.
National Stock Exchange, BSE's main rival, is also expected to set up a bourse in Gujarat. Analysts have said that India faces significant challenges in furthering its ambitions as a financial hub, citing a lack of tax incentives and a rupee currency that is only partially convertible.
Chauhan, however, says that GIFT city will be key, providing the type of international finance centre required to accelerate India's growth. (Editing by Rafael Nam and David Goodman)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Your guide to the latest cricket World Cup stories, analysis, reports, opinions, live updates and scores on https://www.firstpost.com/firstcricket/series/icc-cricket-world-cup-2019.html. Follow us on Twitter and Instagram or like our Facebook page for updates throughout the ongoing event in England and Wales.
Updated Date: Jan 09, 2017 21:45:05 IST