NSE IFSC-SGX Connect launch postponed due to flood situation in Gujarat

The launch of NSE International Financial Service Centre (IFSC) SGX Connect has been postponed indefinitely with both the National Stock Exchange (NSE) and Singapore Exchange (SGX) informing trading members and vendors. 

“Members may note that the operationalisation of the NSEIFSC-SGX Connect is deferred. The revised date for operationalisation of the Connect shall be informed shortly through a separate circular,” NSE IFSC said in a circular on Wednesday. 

The launch, which was to bring SGX Nifty trading at Gift City IFSC, was due to get operationalised on Friday by Prime Minister Narendra Modi. However, Modi decided to cancel all his programmes at Gift City due to the flood situation in Gujarat. Trading in Nifty derivatives contracts are very popular on the Singapore bourse and account for 16 per cent of the trading volume at the SGX. The launch of SGX Connect is expected to give a fillip to Gift City as these trades will now be routed through NSE IFSC. The proposed SGX Connect is modeled on the lines of Shanghai-Hong Kong Stock Connect.

On July 10, several parts of Ahmedabad were inundated with the city receiving a record 115 mm rainfall in three hours.