The agreement builds on the Memorandum of Understanding signed by the two institutions in November 2020, which placed a specific focus on advancing green finance in India, India INX said in a statement.
Today’s announcement marks the next important step undertaken by the two international exchanges to bridge the gap between India and international capital markets and strengthen cross-border cooperation in sustainable finance, it added.
Also, the parties announced the admission on LuxSE of a green bond issued by Power Finance Corporation. The EUR 300 million green bond, which is already listed on India INX, is now registered on LuxSE’s Securities Official List and displayed on the Luxembourg Green Exchange, the world’s leading platform for sustainable securities.
Speaking at the event, Injeti Srinivas, chairman of the International Financial Services Centres Authority (IFSCA), India’s financial regulator, said that the signing of this co-operation agreement between India INX and LuxSE is another step towards developing IFSC as the hub for sustainable finance.
It is expected that strong cooperation between the two exchanges will increase the investor base for the issuers listed on India INX by enhancing the visibility of such securities to international investors.
“The green corridor opportunity established with this dual listing cooperation agreement between India INX and LuxSE will go a long way in attracting more issuers from India and the region and provides access to green capital from international investors. We are delighted that Power Finance Corporation has dual listed its EUR 300 million green bond through this arrangement,” Venkataramani Balasubramaniam, MD and CEO of India INX, said.
LuxSE is the leading exchange for the listing of international debt securities serving 2,000 issuers from 100 different countries. It established Luxembourg Green Exchange (LGX) in 2016 to advance the sustainable finance agenda. LGX currently encompasses 1,300 green, social, sustainability and sustainability-linked bonds raising a total of EUR 727 billion for specific green and social projects and sustainable development across the world.
India INX commenced its trading activities in January 2017 and is India’s first International Exchange set up at Gujarat International Finance Tec (GIFT) City.