New Delhi, March 22 (IANS): Market regulator Securities and Exchange Board of India (Sebi) on Sunday approved a new set of norms for setting up of stock exchanges and other capital market infrastructure in India's first International Financial Services Centre (IFSC) in Gujarat's GIFT City.

"Stock exchanges and clearing corporations would be provided concessions for setting up ventures in the IFSC. All existing exchanges would be allowed to set up their subsidiaries in the IFSC under the relaxed regimes," its chairman U.K. Sinha said after a meeting of the Sebi board.

The BSE and NSE have already signed MoUs for setting up international exchanges at Gujarat International Finance Tec-City (GIFT City) in the state capital Gandhinagar.

Under the new regime, rules and regulations differ and are more relaxed from those applicable outside the IFSCs.

The move is expected to generate an estimated Rs.1,334 crore per day -- or Rs.200,000 crore per year -- worth of trading in rupee derivatives that currently goes to exchanges outside India.

GIFT City chief execitive Ramakant Jha said the new guidelines would provide a much-needed fillip to the new IFSC regime and would save billions of dollars worth financial services business that India is losing out to other global hubs.