Belgium-based securities settlement company Euroclear has agreed to a model suggested by the Reserve Bank of India (RBI) to settle Indian government debt papers in overseas market, finance ministry sources said. The model will ensure that clearing of the debt happens in India using Indian brokers and custodians. The government expects overseas settlement of Indian debt to be operational in the next financial year, according to the sources. Foreign institutional investors using Euroclear platform to trade in Indian debt securities will not have to register in India for clearing and settlement of their investments, they added. Finance minister Arun Jaitley in the Union Budget 2014-15 proposed allowing international settlement of Indian debt securities. Euroclear is in final negotiations with the finance ministry and the RBI to make Indian government debt securities Euroclearable in 2016-17, the sources said.