The decision of the Securities and Exchange Board of India (Sebi) to raise the currency derivatives limit to $100 million from $45 million is likely to boost the currency derivatives market and give the National Stock Exchange of India (NSE) an edge in the segment.
Earlier, trading in currency derivatives had a limit of $15 million per exchange per client, enabling trades to be spread across exchanges. The limit has now been raised to $100 million without any specified limit for each of these exchanges.
“It will deepen the market because limits are now fungible across all exchanges. This will bring in