SEBI clears e-trade in corporate debt paper

The Securities and Exchange Board of India has issued entities no-objection certificates to set up electronic systems for the order matching of corporate bond papers. This means companies and investors can transparently trade bonds on exchange platforms to arrive at the best possible prices. The move will also create conditions for the listing of bonds on exchanges. SEBI has already allowed BSE, NSE and other recognized stock exchanges with a nationwide network to set up corporate bond trading platforms. This is part of the overall plan to widen and deepen the debt market.