BSE’s international arm, India International Exchange (India INX) and the Luxembourg Stock Exchange (LuxSE), on Wednesday signed a cooperation agreement through which the two exchanges will improve the visibility of listed Indian securities for international investors by allowing such securities to be listed at the LuxSE.
The agreement builds on the memorandum of understanding signed by the two institutions in November 2020, which placed a particular focus on promoting green finance in India, India INX said in a statement.
Today’s announcement marks the next important step taken by the two international exchanges to bridge the gap between India and international capital markets and strengthen cross-border cooperation in sustainable finance, she added.
The parties also announced the listing of a Power Finance Corporation green bond on the LuxSE. Already listed on India INX, the €300 million green bond is now registered on LuxSE’s Securities Official List and will be listed on the Luxembourg Green Exchange, the world’s leading sustainable securities platform.
Injeti Srinivas, Chairman of International Financial Services Centers Authority (IFSCA), India’s financial regulator, said at the event that the signing of this cooperation agreement between India INX and LuxSE is a further step in the development of IFSC as a center for sustainable finance.
Strong cooperation between the two exchanges is expected to increase the investor base for issuers listed on India INX by increasing the visibility of these securities for international investors.
“The green corridor opportunity created by this dual listing cooperation agreement between India INX and LuxSE will be instrumental in attracting more issuers from India and the region and provide access to green capital from international investors. We are pleased that Power Finance Corporation has two listed its €300 million green bond under this agreement,” said Venkataramani Balasubramaniam, MD and CEO of India INX.
LuxSE is the leading exchange for the listing of international debt securities for 2,000 issuers from 100 different countries. She founded the Luxembourg Green Exchange (LGX) in 2016 to advance the sustainable finance agenda. LGX currently comprises 1,300 green, social, sustainable and sustainability-linked bonds, raising a total of EUR 727 billion for specific green and social projects and sustainable development around the world.
India INX started trading operations in January 2017 and is India’s first international exchange established in Gujarat International Finance Tec (GIFT) City.
