Treasury arm of finance firms can invest in global assets through IFSC

The treasury can be used to raise credit facilities and equity for group entities from the global markets

A financial firm’s treasury will be free to undertake virtually any activity in recognised stock exchanges globally from the International Financial Services Centre (IFSC), norms released by its authority showed on Friday.

Only in specified cases, prior approval has to be taken, but the whole idea of the location being an free international finance centre would be protected, showed the details.

A global or regional corporate treasury centre, after being granted registration, will be permitted to carry transactions, including investing the funds of the group entities in bank deposits globally, inter-company deposits in multi-currency cash pooling, global bonds, run virtual accounts, etc. 

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