India to review credit and commodity derivatives bans

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Indian regulators may reconsider their bans on the trading of simple credit-risk-mitigation techniques, such as credit default swaps (CDSs), and on some exchange-traded commodity derivatives.

Draft guidelines on trading of single-entity CDSs were issued in 2007 by the Reserve Bank of India (RBI), India's central bank, with the expectation that trading would start last year. But in June 2008, the RBI postponed the planned implementation in the wake of the domestic derivatives scandals and the fina