Proposals Paper: Central clearing of OTC AUD interest rate derivatives

This consultation process has now been completed. Submissions available
Date
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Consultation Type
Proposals Paper

Key Documents

In February 2014 the Australian Government released a proposals paper seeking stakeholder views on a requirement for internationally active dealers to centrally clear interest rate derivatives denominated in four global currencies (US dollars, euros, Japanese yen and British pounds). This consultation closed on 10 April 2014. The submissions received have been placed on the consultation webpage (link provided under Related Content).

The paper also sought preliminary views on a similar requirement for interest rate derivatives denominated in Australian dollars. Subsequent to the release of the paper the Australian Prudential Regulatory Authority, the Australian Securities and Investments Commission and the Reserve Bank of Australia published a Report on the Australian OTC Derivatives Market in April 2014. In the report the three regulators recommended the introduction of a central clearing mandate for interest rate derivatives denominated in Australian dollars, also limited to internationally active dealers.

Given the recommendation by the regulators, the Government would like to consult stakeholders on a proposal to combine the requirements to centrally clear interest rate derivatives denominated in four global currencies and in Australian dollars. It is recommended that this Proposal Paper be read in conjunction with the report by the regulators.

For this consultation Treasury has published a consultation website that will allow you to post comments. These comments will be added to the website and made publicly available immediately. Treasury will moderate the comments after they are submitted on the website. Please refer to the moderation policy for more information.

This paper is also available for you to download from this page and you can still provide your submission via the Treasury website online form or by post as detailed below in the Making a Submission box.

Submissions

18 submissions were received for this consultation, including 4 confidential submissions.