MillenniumIT was awarded the contract for implementing the technology platform for the Indiabulls Financial Services (IBFSL) commodity exchange. The exchange, which has now been christened the International Multi-Commodity Exchange (IMX), has six partners promoting India’s fourth national commodity bourse and will primarily engage in commodity derivatives trading.
The exchange has as its largest shareholder IBFSL, one of the largest brokerages in India and a part of Indiabulls Group, a highly diversified listed blue-chip company and MMTC Limited, the largest commodity/metal trading importer and exporter in India. IMX have now started operationalising the multi-commodities exchange and one of the first steps in this process was the appointment of MillenniumIT to set up and implement the technology platform for IMX.
A spokesman for MillenniumIT said the company will implement a fully integrated end-to-end solution for IMX. “We used our unique selling points of flexibility of the system to adapt to changes in business requirements, superior performance as well as an entire portfolio of products to present an end to end solution. This gave us the edge over some leading international and Indian vendors to win the contract. We also have an in depth comprehension of the Indian market and hence the ability to cater to all regulatory and business needs.” The MillenniumIT platform will include trading, risk management and market surveillance systems, trader front ends, CCP (Central Counterparty Clearing and Settlement) and collateral and delivery management.
An official statement released by Indiabulls says, "The exchange is expected to go live in the first quarter of the next financial year, subject to regulatory approvals.”
Initially, the commodity exchange was billed as a joint venture between IBFSL and MMTC sharing equity of 74% and 26% respectively. However, revised government guidelines proposed single shareholder limits to not exceed 40% of the equity, forcing IBFSL to search for other partners. Trading company India Potash Limited is among the six partners. The turnover in the commodity market surged 28% in the last year paving the way for new players to enter the fray.
For more information please contact Shameema Akberally of MillenniumIT on 0777789777