India's CCIL launches FX forwards clearing

currency-dec-09

MUMBAI – The Clearing Corporation of India (CCIL) has launched clearing and settlement for foreign exchange forwards trades from trade date, in response to counterparty credit and settlement risks inherent in the product.

The industry utility launched the service yesterday (December 1). As of then, based on data available with CCIL, the outstanding notional in the forex forwards market in India was around $450 billion.

CCIL said the guarantee offers participants risk mitigation, exposure reducti