The Clearing Corporation of India Ltd (CCIL) was established in 2001 to provide clearing and settlement services for money, government securities, and foreign exchange markets. CCIL guarantees settlement of all trades through novation and manages risk through margin requirements and collateral. It has launched several platforms and products over the years to increase efficiency, liquidity, and reduce counterparty risk in India's financial markets.

1. (CCIL)

6. CBLO INTRODUCTION Collateralized Borrowing and Lending Obligation (CBLO), a money market instrument as approved by RBI, is a product developed by CCIL. An obligation by the borrower to return the money borrowed, at a specified future date; An authority to the lender to receive money lent, at a specified future date with an option/privilege to transfer the authority to another person for value received; An underlying charge on securities held in custody (with CCIL) for the amount borrowed/lent.

8. Collateral and margin Introduction CCIL manages its risk exposure vis-à-vis its members through a comprehensive risk management process. Upon admission and completion of membership documentation formalities, prior to activation of their membership, all Members are required to contribute their margin requirements as required for each business segment to which they have been admitted. Member margin contributions in respect of CCIL’s various business segments are received, maintained and administered in terms of the provisions of its Bye Laws, Rules and Regulations .

9. Members of CCIL’s Securities Segment are required to deposit their margin contributions into CCIL’s Settlement Guarantee Fund (SGF) maintained for this business segment SGF is received in the form of both cash and securities. SGF cash contributions are received in CCIL’s Current Account maintained with Reserve Bank of India Mumbai. SGF security contributions are received and maintained in CCIL’s Constituent SGL (CSGL) Account maintained with Reserve Bank of India, Mumbai SGF For Securities Settlement

14. List of Eligible Securities CCIL prescribes a list of securities that are eligible for margin contributions by members to their SGF. This list is periodically reviewed based on trading volumes, tenor, market volatility etc. CCIL values member security holdings in SGF at prescribed intervals and/or at every instance of SGF deposit/withdrawal by a member .