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Guide
Financial System Legislation Amendment (Resilience and Collateral Protection) Bill 2016: a quick guide
Publisher
Finance
International trade
Legislation
Law
Australia
Resources
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 Financial System Legislation Amendment (Resilience and Collateral Protection) Bill 2016: a quick guide
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341.56 KB |
Description
This Bill seeks to ensure that Australian entities will be able to comply with new international margin requirements for non-centrally cleared over-the-counter (OTC) derivative transactions, which are due to come into force from September 2016.
The purpose of the Financial System Legislation Amendment (Resilience and Collateral Protection) Bill 2016 (the Bill) is to amend the Payment Systems and Netting Act 1998 (the Act) to:
- ensure Australian entities can comply with new internationally agreed margin requirements for non-centrally cleared derivatives, which are expected to be phased in from 1 September 2016
- resolve inconsistencies in Australian law about the circumstances in which an Australian regulated entity may exercise its termination rights (that is, when it can close-out transactions related to a contract), and enforce security, in resolution proceedings and
- provide more certainty about the operation of key financial market infrastructure (that is, certain payment systems, settlement systems, exchanges and central counterparties) under the Act.
Publication Details
Copyright:
Commonwealth of Australia 2016
Access Rights Type:
open
Post date:
8 May 2016
