Page 30 - Bullion World Volume 5 Issue 05 May 2025
P. 30
Infusing vibrance
into the Bullion
ecosystem at
GIFT IFSC
1. The Government of India established the 5. The extended trading hours are expected
International Financial Services Centres to significantly benefit the bullion market
Authority (IFSCA) with a mandate to ecosystem by enabling Qualified Suppliers
develop and regulate financial services, to place sell orders and Qualified
financial institutions and financial products Jewellers/valid India-UAE CEPA TRQ
in the International Financial Services holders to place buy orders on the same
Centres (IFSC) in India. GIFT IFSC at day of creation of Bullion Depository
Gandhinagar, Gujarat, is the maiden IFSC Receipts (BDRs) and receipt of funds,
in the country. respectively, even when such creation
and receipt take place late in the evening.
2. To meet its mandate, IFSCA has been This will result in the optimal and timely
actively undertaking initiatives to enhance utilization of bullion and funds, enhancing
the business environment. One such the costeffectiveness of trading of bullion
initiative is the setting up of a bullion through the IIBX.
exchange in the GIFT IFSC, viz. India
International Bullion Exchange (IFSC) Ltd. 6. Additionally, IFSCA has dispensed with
[IIBX]. IIBX was inaugurated by the Hon’ble the net worth requirements for various
Prime Minister Shri Narendra Modi on July classes of ‘Customers’ eligible to trade/
29, 2022. Since its inauguration, more invest on the IIBX, with the exception of
than 101 tonnes of gold and 1,100 tonnes Qualified Jewellers/Qualified Suppliers
of silver have been imported through the for whom eligibility criteria has been
IIBX. prescribed separately. This will broad
base participation across various products
3. In a significant move, IFSCA recently offered on IIBX. This will also remove
notified the IFSCA (Bullion Market entry barriers and make it easier to access
Regulations), 2025, aimed at improving the investment products proposed to
price discovery, streamlining operations, be offered by IIBX in near future, thus,
enhancing participation, governance and encouraging prospective participants,
safeguarding consumer interests in the including retail investors, to choose
bullion ecosystem within the IFSC. IIBX for their bullion and bullion-related
investments.
4. As part of its ongoing efforts to foster
market vibrancy, liquidity and ease of 7. These measures are expected to
doing business, IIBX has now been strengthen GIFT IFSC’s position as a
granted permission to extend its trading globally competitive bullion trading hub
hours for spot contracts by 3 hours. The and reflect IFSCA’s commitment to
revised trading hours on IIBX for these fostering a robust and efficient financial
contracts shall be 9 AM to 9:30 PM from ecosystem.
the date of such notification by the IIBX.
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