State of the art primary issuance process with electronic bidding and straight through processing capabilities, an efficient, completely dematerialized depository system within the Central Bank, Delivery-versusPayment (DvP) mode of settlement, Real Time Gross Settlement (RTGS), electronic trading platform (Negotiated Dealing Systems – Order Matching) (NDS-OM) and a separate Central Counter Party (CCP) in the Clearing Corporation of India Ltd (CCIL) for guaranteed settlement are among the steps that were taken by the Reserve Bank over the years towards this end.
The system makes G-Sec trading practically risk free and efficient. 21. The system of Primary Dealers (PDs) was established to provide support to the market borrowing programs of the Government and also to impart liquidity in the secondary markets.