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NEW DELHI: The NSE and the Singapore Stock Exchange (SGX) are likely to unveil a new Nifty50 product in IFSC of Gift City in coming months, government sources told ETNow today.
The index product is likely to be finalised by October this year and trading may begin by December, the sources said.
The new entity would require Sebi approval.
Both exchanges have been at loggerheads after Indian bourses in February announced that they would stop licensing indices to their foreign counterparts from August.
In a countermove, SGX was about to launch successor products to its flagship Indian equity derivative products on June 4.
Last month, SGX and the NSE in a joint statement said they have deferred the ongoing arbitration proceedings pending outcome of their talks and resumed discussions on a potential collaboration in GIFT City.
NSE MD and CEO Vikram Limaye had last week said he was confident that some more clarity on the SGX issue would emerge in 3-4 weeks.
"If we can work it out among ourselves, arbitration won’t be needed," he had said at an event in New Delhi that marked the 25th anniversary of the National Stock Exchange.
The Bombay High Court's injunction against SGX's new product launch has been extended until completion of the arbitration proceedings.
The officials of Monetary Authority of Singapore met their Sebi counterparts on July 24 to discuss an amicable resolution to the licensing issue.
On June 14, the Singapore Exchange was allowed to continue the listing and trading of SGX Nifty contracts beyond the current deadline of August by the arbitrator.
