CCIL to roll out foreign exchange trading platform (FX-Retail) for retail participants

CCIL to roll out foreign exchange trading platform (FX-Retail) for retail participants

• The Clearing Corporation of India Limited (CCIL) will roll out an electronic trading platform for buying/selling foreign exchange by retail customers of banks named FX-Retail on August 05, 2019.

• This will provide the customers of the bank (MSMEs and Individuals) direct access to the market who has a need to purchase or sell US Dollar against the Rupee for delivery. There will be an option for purchase/sell on cash basis (same day), tom basis (next day) or spot basis (two days after the date of transaction).

• The following conditions are however levied:
  • The size of a single transaction is not allowed to exceed $5 million.
  • There is no cap on the number of transactions per customer during a day. The total amount of transactions of a customer shall be subject to the limit assigned by its bank.
  • As a further facility for retail clients, no transaction charges shall be levied by the CCIL on transactions of customers if such transactions do not exceed USD 50,000 per day.
  • A transaction charge of 0.0004% shall be charged by the CCIL for transactions in excess of USD 50,000 per day.

• The customer registration process on the platform shall commence on July 01, 2019 and the platform shall be available for transactions from August 05, 2019.

Points to remember:

1. Name of the platform by CCIL for foreign exchange trading platform for retail participants?
2. FX-Retail is managed by?
3. Various limits?