RBI vide circular dated February 09, 2024 has allowed Branch/subsidiary/joint venture of an Indian bank in GIFT-IFSC to act as a Trading Member (TM)/Trading and Clearing Member (TCM) of IIBX, and Indian banks authorized to import gold/silver to act as Special Category Client1 (SCC) of IIBX.
The TM/TCM shall execute trades only on behalf of clients (without proprietary trading). For TM/TCM activities, the parent bank (‘bank’) shall seek a No Objection Certificate (NOC) from the Reserve Bank prior to its branch/subsidiary/joint venture in GIFT-IFSC seeking TM/TCM status on IIBX.
A bank acting as a TM/TCM/SCC of IIBX shall be required to seek additional approval from the Department of Regulation, Reserve Bank of India in case of any change in their role or scope of activities at IIBX from those permitted by this circular.
