In a significant step toward strengthening cross-border financial connectivity, the Cyprus Stock Exchange (CSE) and India’s NSE International Exchange (NSE IX), based in GIFT City, Gandhinagar, have signed a memorandum of understanding (MoU) that paves the way for deeper collaboration between the two countries’ capital markets.
The agreement was formalized during Indian Prime Minister Narendra Modi’s recent state visit to Cyprus and was witnessed by Cyprus President Nikos Christodoulides at a high-level roundtable titled “Advancing a Strategic Economic Partnership” held in the coastal city of Limassol.
The MoU marks a major turning point in India–Cyprus financial cooperation, creating new pathways for cross and dual listings, cooperation in financial research, fintech development, and joint investor outreach efforts. The collaboration is expected to accelerate knowledge sharing, build institutional capacity, and support the co-development of innovative financial instruments.
What the MoU delivers for investors and markets
Through dual listings, companies based in Cyprus will be able to tap into Indian capital markets via NSE IX, gaining broader visibility and access to one of the world’s largest investor bases. At the same time, Indian investors will gain exposure to Cypriot companies and international products, expanding their global investment horizons.
Speaking at the signing ceremony, Ashishkumar Chauhan, Managing Director and CEO of the National Stock Exchange of India (NSE), stated that the partnership opens the door to a wide array of future engagements in areas of mutual interest. “It marks a new chapter in India–Cyprus financial cooperation, involving India’s GIFT City as an international financial services center and promoting capital market innovation and global investor access for both countries” he said.
Ashishkumar Chauhan, Managing Director and CEO of the National Stock Exchange of India (NSE) (Credit: Ashishkumar Chauhan official X account @ashishchauhan)
V. Balasubramaniam, MD & CEO of NSE International Exchange, echoed this sentiment, calling the agreement a strategic move to build robust cross-border market infrastructure. “With our shared vision of enhancing international financial connectivity, this MoU will drive long-term value for investors and institutions across Europe and India,” he noted.
India’s financial powerhouse: A look at NSE and NSE IX
Headquartered in Mumbai, the National Stock Exchange of India (NSE) plays a central role in the modernization and expansion of India’s capital markets. As of December 2024, the NSE, alongside the Bombay Stock Exchange (BSE), has helped India become the fourth-largest stock market globally by combined market capitalization. NSE alone accounts for more than $5 trillion in market cap and is recognized as the world’s largest derivatives exchange by the number of contracts traded. Its benchmark index, the NIFTY 50, reflects the performance of 50 of India’s largest and most influential companies and serves as a barometer for the country’s economic health.
NSE International Exchange (NSE IX), established in 2017, is a wholly owned subsidiary of NSE and operates from the International Financial Services Centre (IFSC) at GIFT City. Regulated by the International Financial Services Centre Authority (IFSCA), NSE IX offers a diversified range of products, including Indian single stock derivatives, index and currency derivatives, depository receipts, and global stocks. It also facilitates primary listings of equity shares, SPACs, REITs, InvITs, debt securities, and ESG-focused instruments.
This new alliance between Cyprus and India reflects a broader trend in global finance, where emerging international financial hubs are forging deeper ties to facilitate innovation, liquidity, and accessibility in capital markets. For both nations, the agreement represents not only a step toward technical collaboration but also a symbol of their growing strategic partnership.
Privatisation of the Cyprus Stock Exchange signals broader reform
The MoU with India comes at a pivotal moment for Cyprus, as the government moves forward with plans to privatise the Cyprus Stock Exchange. Deputy Minister to the President Irene Piki announced during the Bloomberg investment conference in Limassol that the Ministry of Finance will soon launch an international tender process to identify a strategic investor. The goal is to complete the sale by 2026.
A draft bill enabling the privatisation has already been submitted to Parliament. The government envisions that private ownership will enhance the CSE’s operational flexibility, increase listings, and attract more capital from both domestic and international institutional and retail investors.
