RBI releases Circular on Unique Transaction Identifier for OTC Derivative Transactions
RBI has released Circular on Unique Transaction Identifier for OTC Derivative Transactions. The Unique Transaction Identifier (UTI) has been identified as one of the key data elements globally for reporting over-the-counter (OTC) derivative transactions, with the aim of enabling policymakers to obtain a comprehensive view of the OTC derivatives market.
At present, all transactions in OTC markets for Rupee interest rate derivatives, forward contracts in Government securities, foreign currency derivatives, foreign currency interest rate derivatives, and credit derivatives are reported to the Trade Repository managed by Clearing Corporation of India Limited (CCIL-TR). It has now been decided to mandate UTI for all such transactions.
The directions shall come into effect from January 01, 2027 and shall be applicable to OTC derivative transactions entered into on or after the date the directions come into effect.
Important Points
Unique Transaction Identifier (UTI), a unique identifier assigned to an OTC derivative transaction, shall be generated / reported for all transactions in OTC derivatives market undertaken in terms of the Governing Directions. The directions shall be applicable to OTC derivative transactions entered into on or after the date the directions come into effect.
UTI shall be generated in accordance with the UTI Technical Guidance issued by the Committee on Payments and Market Infrastructures (CPMI) – International Organisation of Securities Commissions (IOSCO) in February 2017. It shall have a maximum of 52 characters comprising the Legal Entity Identifier (LEI) of the generating entity followed by a unique identifier and shall be unique to a derivative transaction throughout its lifecycle.
RBI Circular on Unique Transaction Identifier for OTC Derivative Transactions
Loading…
Reload document 
Open in new tab 
