U.S. Treasury Department ("Treasury") final rules on reporting certain information in the U.S. repurchase agreement market to the Office of Financial Research ("OFR") were published in the Federal Register. The final rules are effective on April 22, 2019.
As previously covered, the final rules will obligate certain U.S. central counterparties ("CCPs") to report daily on repo transactions. The primary purposes of the final rule are to (i) enable the Financial Stability Oversight Council and the OFR to identify and monitor risks to financial stability, and (ii) improve the calculations of certain reference rates, such as the Secured Overnight Funding Rate (SOFR).
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