Coal India's shares jumped more than 6% after the company opened its e‑auctions to buyers from Bangladesh, Bhutan and Nepal.
What Triggered the Surge?
The board approved a change that lets foreign coal importers directly participate in the Single Window Mode Agnostic (SWMA) auctions starting 1 January 2026.
New Rules for Foreign Buyers
- One‑time registration and digital bidding are mandatory.
- Payments must be made electronically; Nepal‑based bidders can use Indian rupees or US dollars, others must use dollars.
- All transactions follow FEMA guidelines, ensuring transparency.
Why This Matters
Allowing foreign buyers increases competition, brings more transparency to the auction process, and aligns India’s coal market with global practices while protecting domestic supply.
Potential Impact on Investors
- Higher auction activity could improve Coal India's revenue outlook.
- Increased transparency may reduce price volatility of the stock.
- Retail investors might see more stable or rising share prices if the move boosts profitability.
Remember, this is just an overview, not a prediction. Do your own research and consider consulting a financial advisor before making any investment decisions.