Question
Under the RBI circular titled âParticipation of
Standalone Primary Dealers in Non-deliverable Rupee Derivative Marketsâ, Standalone Primary Dealers are permitted to transact in NDDCs only when they are authorised as:Solution
According to the circular, expands eligibility to Standalone Primary Dealers (SPDs) authorised as AD CategoryâIII. Earlier, only AD Cat-I banks with IFSC Banking Units could transact in NDDCs. The amendment inserts references to AD Cat-III SPDs across multiple paragraphs of the Master Direction, formally adding them as eligible participants.
Which of the following statements is/are correct?
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