The group recommended that the buying and selling window ought to stay open until 7 p.m. as an alternative of the present 5 p.m.
This transfer goals to assist banks handle their funds higher in step with the wants of the real-time cost system.
Nonetheless, the group didn’t recommend any change in buying and selling hours for different monetary markets similar to authorities securities, rate of interest derivatives, or overseas alternate markets.
The working group was chaired by Radha Shyam Ratho, who’s an Government Director on the RBI. The RBI had introduced the formation of this group throughout its financial coverage evaluation in February this yr.
The group’s report famous that standalone main sellers (SPDs) had requested longer buying and selling hours within the name cash market.
In addition they recommended that the reporting window, together with for cancelled transactions, must be open until 7.30 p.m.
The report highlighted important progress within the in a single day cash market over the past decade.
Between 2014-15 and 2024-25, the annual turnover on this market jumped from Rs 281.37 lakh crore to Rs 1,324.05 lakh crore.
In the meantime, the day by day common turnover elevated from Rs 1.17 lakh crore to Rs 5.52 lakh crore. This sharp rise was primarily as a result of progress within the collateralised phase of the market.
The turnover on this phase rose from Rs 245.27 lakh crore to Rs 1,296.62 lakh crore throughout the identical interval.
In distinction, the turnover within the uncollateralised name cash market went down from Rs 36.10 lakh crore to Rs 27.42 lakh crore.
The report additional mentioned that the decision cash market is open solely to banks and standalone main sellers.
These contributors have entry to the RBI’s liquidity adjustment amenities. Co-operative banks are the principle lenders on this market, whereas SPDs are the principle debtors.
