Collateralised borrowing and lending obligation (CBLO)
Collateralised borrowing and lending obligation (CBLO), a money market instrument is the borrowing and lending of funds to market participants who are admitted as members in CBLO Segment in a collateralized environment. It is the largest overnight segment in India.
Who developed CBLO?
CBLO is conceived and developed by CCIL (The Clearing Corporation of India Ltd.). CBLO Dealing system, an anonymous order matching platform, is hosted and maintained by Clearcorp Dealing Systems (India) Ltd, a fully owned subsidiary of CCIL
CBLO facilitates borrowing and lending for various tenors, from overnight up to a maximum of one year
Eligible securities as collateral are Central Government securities including Treasury Bills as specified by CCIL from time to time.
The type of entity eligible for CBLO Membership are Nationalized Banks, Private Banks, Foreign Banks, Co-operative Banks, Financial Institutions, Insurance Companies, Mutual Funds, Primary Dealers, Bank cum Primary Dealers, NBFC, Corporate, Provident/ Pension Funds etc