RBI, vide circular dated October 18, 2024, has issued the RBI (Access Criteria for NDS-OM) Directions, 2024 ("Directions") revising the access criteria for the Negotiated Dealing System-Order Matching ("NDS-OM") platform. Direct access to NDS-OM has been extended to a broader set of regulated entities such as banks, standalone primary dealers, non-banking financial companies including housing finance companies, provident funds, pension fund and insurance companies. Further, the process for seeking direct access to NDS-OM under the Directions or through the procedure stipulated under the Master Directions on Access Criteria for Payment Systems dated January 17, 2017, has been streamlined. Entities can now either gain direct access, allowing them to execute transactions on the NDS-OM platform, or opt for indirect access by partnering with an entity that holds direct access. Entities seeking direct access to NDS-OM must meet specific criteria laid out by RBI. The prerequisites include maintaining a subsidiary general ledger account with RBI, holding a current account with either RBI or a designated settlement bank, and being a member of the Clearing Corporation of India Limited's securities settlement segment.
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