There has been published a letter from the OTC Derivatives Regulators’ Group (the Group) to the Financial Stability Board (FSB) chairman, Mark Carney. The letter relates to the existence of barriers, including data protection laws, blocking statutes, state secrecy laws and bank secrecy laws, which can prevent reporting of counterparty-identifying information to trade repositories. The Group calls for urgent changes, which may include legislative changes, to remove these barriers.
In particular, the Group calls for:
- the FSB to make a clear and unambiguous statement that jurisdictions need to remove all barriers that prevent reporting of counterparty-identifying information;
- a role for the Standing Committee on Standards Implementation in helping to identify where the barriers may exist and to determine and assess the process for the removal of such barriers; and
- where barriers may arise under the laws of states that are not G20 or FSB members, the FSB should consider seeking G20 leaders’ agreement to take the necessary steps to ensure the removal of these barriers.