These innovations can provide significant benefits, but by themselves are not enough, in the Bank’s view, to deliver the policy goals set for the Payments System Board in its mandate. The setting within which innovation occurs also matters.
The MIBOR-OIS is the only liquid interest rate derivative market in our country (apart from MIFOR) with, as I mentioned earlier, an open interest of ₹ lakh crore in the current financial year. The MIBOR is also the benchmark for INR OIS trades in the global markets (ND-OIS).