"We have kept options open on joining the GEM when it comes up. It would allow us to link with international exchanges attracting more foreign investors," BSE president Anand Rathi told PTI. Earlier at a conference on Indian economy and capital markets organised by the Birla Institute of Management Technology, he said "we are currently negotiating with NYSE, Nasdaq and Hong Kong Stock Exchange for alliances."

BSE had recently signed a Memorandum Of Cooperation (MoC) with the London Stock Exchange (LSE), entitling BSE to quote prices and allow investors in UK to trade in BSE scrips directly. GEM, proposed by the NYSE in June this year, also includes stock exchanges of Paris, Amsterdam, Brussels, Hong Kong, Tokyo, Australia, Mexico and Sao Paolo.

Assumed to have a trading volume of about 20 trillion dollars, GEM would be in line with the tie up between Nasdaq, London and Franfurt stock exchanges earlier this year.

Explaining the rationale behind BSE's proposed global alliance, Rathi said "foreign investors are not confined to price movements in local bourses..however, if our markets are globalised, there would be greater linkage with international markets attracting more foreign investors."BSE currently has an average daily turnover of Rs 15,000 crore, he added.BSE moots task force for capital markets.

BSE moots task force
The Bombay Stock Exchange (BSE) has suggested setting up of a task force for charting out a "long-term integrated vision" for the country's capital market and utilising it as an engine of growth for the economy. "We have asked finance minister Yashwant Sinha to set up a task force for the capital markets. He has favourably responded to the proposal of charting a long-term integrated vision," BSE president Anand Rathi said at the Birla Institute of Management Technology yesterday. The proposal was first placed before the prime minister during the 125th anniversary function of BSE on July 9.