After BSE, leading bourse National Stock Exchange (NSE) on Thursday said it will launch cross-currency derivatives next week, a move that will help increase liquidity in the market.
The announcement comes after NSE, earlier this week, received SEBI’s approval for introducing cross-currency derivatives (future and options) on pairs such as Euro (EUR)-$, Pound Sterling (GBP)-$ and $-Japanese Yen (JPY).
It has also obtained permission to introduce option on EUR-Rs , GBP-INR and JPY-Rs , in addition to existing $-Rs options.
Additionally, the regulator has allowed trading in cross-currency derivatives contracts for a longer period between 9:00 am and 7:30 pm.
In a circular issued on Thhursday, NSE said it will introduce cross- currency futures and options contracts from February 27.
On Wednesday, BSE had also announced the same move. The measure will help companies to hedge their forex exposure and increase liquidity in markets.