The T+2 settlement cycle is a term used in the Indian capital market to refer to the time taken for a trade to settle after the trade date. In the T+2 settlement cycle, the settlement of trades takes place on the second business day after the trade date. The T+2 settlement cycle was introduced in India in 2003 to reduce the settlement risks and to align the Indian market with international standards. The settlement cycle is used to calculate the date on which the seller must deliver the securities and the buyer must make the payment for the securities. Hence, option A is correct.
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