RBI widens options for rate futures | Reuters

MUMBAI The Reserve Bank of India (RBI) relaxed guidelines on what domestic interest rate futures can be offered on Friday, allowing banks to hedge their short-term interest rate exposure.Until now, banks could not hedge their interest rate risk on active government bond benchmarks other than 91-day treasury bills.Registered exchanges can select the underlying instrument or interest rate of new contracts, subject to RBI approval, the central bank said in a circular. For full statement see: bit.ly/2e4psT7 (Reporting by Suvashree Dey Choudhury; Editing by Toby Chopra)

Reuters October 28, 2016 20:48:34 IST
RBI widens options for rate futures
| Reuters

RBI widens options for rate futures
 Reuters

MUMBAI The Reserve Bank of India (RBI) relaxed guidelines on what domestic interest rate futures can be offered on Friday, allowing banks to hedge their short-term interest rate exposure.Until now, banks could not hedge their interest rate risk on active government bond benchmarks other than 91-day treasury bills.Registered exchanges can select the underlying instrument or interest rate of new contracts, subject to RBI approval, the central bank said in a circular.

For full statement see: bit.ly/2e4psT7

(Reporting by Suvashree Dey Choudhury; Editing by Toby Chopra)

This story has not been edited by Firstpost staff and is generated by auto-feed.

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