Clearing corporation of India has developed a new platform which will be available for users by early August this year according to RBI communication.
During 2017, RBI had proposed a foreign exchange trading portal for retail participants with an idea that would provide customers access to an online electronic trading platform on which they can purchase or sell foreign currency at market – clearing prices.The proposed electronic platform will be operationalised from early August 2019 which unifies existing fragmented market microstructure and provides customers an access to online electronic trading through which they can buy and sell foreign currency at market clearing prices. This platform therefore promote competion among market makers which would lead to better pricing for all customers regardless of order size. At present buyers of small lots of currency pay a mark-up of anywhere between 1% to 3% depending upon from whom they buy it.So price conscious customers may move to online platform from unorganized forex market.
According to the information available, FEDAI (Foreign Exchange Dealers Association of India) has informed its members that the customers registration process for the new platform will commence from July 1, 2019.