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Core Purpose

Reserve Bank of India amends notification S.O. 2192(E) concerning permissible contracts for trading in securities.

Detailed Summary

The Reserve Bank of India notification amends its earlier notification S.O. 2192(E) dated January 8, 2010, concerning securities contracts. The amendment modifies sub-clause (1) of clause (A) to specify the types of contracts for sale or purchase covered, which includes government securities, gold-related securities, and money market securities. It lists exceptions such as spot delivery contracts, contracts traded on recognized stock exchanges permissible under the Securities Contracts (Regulation) Act, 1956, and any contracts specifically permitted by the RBI from time to time. The amendment takes effect from the date of publication in the Official Gazette.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-MH-E-13022025-260991 EXTRAORDINARY PART III-Section 4 PUBLISHED BY AUTHORITY No. 112] NEW DELHI, THURSDAY, FEBRUARY 13, 2025/MAGHA 24, 1946 1109 GI/2025 (1) RESERVE BANK OF INDIA (Financial Markets Regulation Department) (CENTRAL OFFICE) NOTIFICATION Mumbai, the 7th February, 2025 F. No. FMRD.DIRD.14/14.03.042/2024-25.β€”In exercise of the powers conferred on the Reserve Bank of India under Section 16 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956) vide Government of India Notification No. S.O. 183(E) dated 1st March, 2000, the Reserve Bank of India hereby amends notification number S.O. 2192(E) dated 8th January, 2010 ('the notification') as under: In clause (A), for sub-clause (1), the following shall be substituted, namely:- "(1) contract for the sale or purchase of Government Securities, gold related securities and money market securities, other than: a) spot delivery contracts, b) such other contracts traded on a recognised stock exchange as is permissible under the said Act, rules and bye-laws of such stock exchange, or c) any other contract specifically permitted in this regard by the Reserve Bank of India, from time to time." The above amendment shall come into force on the date of its publication in the Official Gazette. DIMPLE BHANDIA, Chief General Manager [ADVT.-III/4/Exty./973/2024-25] Note:- The notification dated 8th January, 2010, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii), vide number S.O. 2192(E).

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