International Bullion Exchange to come up this year in India

The country's first international bullion exchange is likely to come up this year with a single consortium of market infrastructure intermediaries (MIIs) operating it, said International Financial Services Centres Authority (IFSCA) chairman Injeti Srinivas.

Speaking at the bell ringing ceremony to mark the listing of Indian Railway Finance Corporation Limited (IRFC)'s $750 million 10-year bond at India International Exchange (INX) in GIFT IFSC, Srinivas said that regulations for the bullion exchange had been notified.

"The exchange will operate on a delivery-based model for allocated and unallocated bullion. However, there will be underlying security backing the unallocated bullion," he added.

Commenting on the development, India INX managing director and chief executive officer V Balasubramaniam added that a single entity owned by a consortium of MIIs will run the international bullion exchange.

"All MIIs including BSE, NSE, MCX, NSDL, CDSL together will own this consortium. In-principle we have taken this call and are in the process of finalising the framework," said Balasubramaniam, adding that BSE would look to make India INX a hub for participating in all the ventures within the IFSC.