The settlement of Forex transactions by CCIL started from November 8, 2002. This segment accepts the inter-bank Cash, Tom, Spot and Forward USD-INR transactions for settlement through a process of multilateral netting. The multilateral netting system provides a netting benefit of well over 95%. Every eligible foreign exchange contract, entered into between members, will get novated and be replaced by two new contracts - between CCIL and each of the two parties, respectively. CCIL has since moved to a settlement on a Payment V/S Payment basis from April 2015.The Corporation has been granted an 'Authorized Person' License under FEMA 1999 by the Reserve Bank of India for conduct of foreign exchange clearing and settlement operations and activities related thereto.