Foreign exchange trading in India has become increasingly popular in recent months, with banks reporting significant demand for the commodity.
While a lot of banks have begun to offer foreign exchange trading services in the country, most banks and financial institutions do not currently have a website dedicated to foreign exchange trade.
While most financial institutions have a presence in Mumbai, the financial capital, Mumbai’s biggest banks do not offer any online trading services.
But foreign exchange is a commodity with very strong demand in India, said Kannan Prakash, managing director, trading services, HSBC India.
“With a growing population and a large number of traders and investors, there are huge demand for foreign exchange at all levels of the business.
We have seen demand rise from banks to corporates, corporates to retail, corporators to institutional investors, and institutional investors to small and medium-sized enterprises,” he said.
HSBC India also said that demand for trading services has been on the rise in the last few months, and the financial services company expects to see a steady increase in foreign exchange volume and value over the next few months.
“We expect foreign exchange volumes to continue to increase over the coming months as we continue to see demand for these commodities,” Prakast said.
“There are also increasing indications that foreign exchange will be the new hot-button currency in the Indian market.
We expect the market to be a very competitive one in the coming quarters.”