ABN Amro authorised as primary dealer in G-Secs

Foreign lender, ABN Amro Bank has been authorised to undertake primary dealer business in government securities market with immediate effect.

With this, the authorisation that has been given to ABN Amro Securities India as primary dealer stands withdrawn, the Reserve Bank of India (RBI) said in a statement today.

Primary dealers are allowed to carry out certain core and non-core activities like dealing and underwriting G-Secs, dealing in interest rate derivatives, investments in units of equity oriented mutual funds and underwriting public issues.

In its annual policy statement, the RBI had announced that the permitted structure of primary dealership business would be expanded to include banks, which fullfill certain eligibility norms.