The Reserve Bank of India is allowing clearinghouses to apply for approval from the European Securities and Markets Authority. The decision allows European banks to continue trading in India and using the country's clearinghouses for about six months, while applications are reviewed by ESMA. "ISDA commends RBI and ESMA for coming to an understanding on a challenging issue of cross-border regulation," said Keith Noyes, ISDA's regional director for Asia-Pacific. "Given the potential for regulatory conflict to cause market disruption, ISDA believes that it is vital for regulators to identify such issues and work jointly to resolve them."

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