India's leading gold refiner has started trading gold futures on India INX, a move that suggests the exchange is becoming a key hub for hedging against gold price volatility.
New Delhi, May 8 (PTI) BSE's arm India International Exchange (India INX) on Wednesday said India's leading gold refiner, which brings in up to 20 per cent of the country's gold, has started trading gold futures on its platform.
This suggests that India INX, set up at GIFT City (Gujarat International Finance Tec-City), is becoming the main place for Indian jewellers and gold importers to hedge against the risk in gold prices.
"Today, one of India's top gold refineries, which brings in 15 per cent to 20 per cent of the country's gold, has started trading gold futures to hedge against gold price volatility," India INX said in a statement.
However, the bourse did not disclose the name of the refiner.
In December 2022, the Reserve Bank of India (RBI) allowed Indian companies (except individuals) to manage their gold price risk on recognised exchanges within the International Financial Services Centre (IFSC). The move provided more options for Indian companies to hedge against volatility in gold prices through India INX.
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