The Business Bytes
TBB BUREAU
MUMBAI, JAN 11, 2024
The National Securities Depository Limited (NSDL) will start offering LEI (Legal Entity Identifier) service including new LEI registration, LEI renewal and LEI transfer to business entities from January 16.
The Legal Entity Identifier code has been conceived of as a key measure to improve the data quality accuracy of financial data system for better risk management post the global financial crisis. The LEI is a 20-character, alpha-numeric code based on the ISO 17442 standard developed by the International Organization for Standardization (ISO). It connects key reference information that enables clear and unique identification of legal entities participating in financial transactions and contains information about an entity’s ownership structure.
The LEI is not only a regulatory requirement for the business entities engaged in various kind of financial transaction, but it also helps entities to Improves transparency and reduces risk in financial transaction, facilitates cross-border trade and builds trust with customers and partners.
“We are pleased to announce that NSDL has received the accreditation from GLEIF to start LEI services. NSDL, having a proven track record of providing seamless depository services in financial market, will facilitate business entities obtain LEIs smoothly besides enabling them to meet their regulatory requirements. NSDL in collaboration with GLEIF will strive to expand and strengthen LEI network in India,” said NSDL MD & CEO Padmaja Chunduru.
GLEIF CEO Stephan Wolf said, “GLEIF’s accreditation process involves a comprehensive assessment of organizations seeking to function as LEI issuers and custodians of LEI reference data within the Global Legal Entity Identifier (LEI) System. The achievement of Global LEI System membership through GLEIF accreditation serves as a globally recognized symbol of a firm’s unwavering commitment to data accuracy and exceptional customer service. GLEIF eagerly anticipates a collaborative and fruitful partnership with NSDL in their accredited role as an LEI issuer.”
