The group suggested that the business window should remain open until 19:00 as a substitute of the current 17:00
This movement goals to assist banks higher manage their funds based on the needs of the payment system in real time.
However, the group didn’t suggest any changes in business hours to other financial markets, corresponding to government securities, rates of interest or currency markets.
The working group was presided over by Radha Sham Ratho, who’s the executive director at the RBI. RBI announced the creation of this group during the monetary policy review in February this 12 months.
In the group’s report, he noticed that independent foremost dealers (SPD) demanded longer business hours on the Call Money market.
They also suggested that the reporting window, including canceled transactions, needs to be open until 19:30
The report emphasized a big increase in the money market overnight over the past decade.
In the years 2014-15 and 2024–25 the annual turnover on this market increased from 281.37 Lakh Crore to 1,324.05 Lakh Crore.
Meanwhile, the average each day turnover increased from 1.17 Lakh Crore RS to five.52 Lakh Crore. This violent growth was mainly attributable to the growth of the secured market segment.
Turning on this segment increased from 245.27 Lakh Crore to 1 296.62 Lakh Crore in the same period.
Unlike this, the trading on the unexpected money market has dropped from 36.10 Lakh Crore to 27.42 Lakh Crore.
The report also stated that the money market is barely open to banks and independent foremost dealers.
Participants have access to RBI liquidity adjustment facilities. Cooperative banks are the foremost lenders on this market, while SPDs are the foremost borrowers.
 has recommended extending the trading hours for the call money market. Get more Markets News and Business News on Zee Business.){kind=link}