OTC interest rate derivatives like IRS/ FRAs were introduced. • Outright sale of Central Government dated security that are not owned have been permitted, subject to the same being covered by outright purchase from the secondary market within the same trading day subject to certain conditions. • Repo status has been granted to State Government securities in order to improve secondary market liquidity.
34  BIS Review 8/2008  One endeavor undertaken to achieve the fundamental goals of API, with its lengthy complexity, is the restructuring of the banking industry as set forth in API Pillar 1. This objective requires the fulfillment of many preconditions in the strategic environment, including the banking industry, and also the support and participation of all parties.