The Reserve Bank of India (RBI) on Friday (December 1) said it has signed a Memorandum of Understanding (MoU) with the Bank of England (BoE) centred around collaboration and the exchange of information related to the Clearing Corporation of India Ltd (CCIL).
The MoU, signed by RBI Deputy Governor T. Rabi Sankar and BoE Deputy Governor for Financial Stability Sarah Breeden in London, establishes a robust framework.
Deputy governors of RBI and BoE signing the MoU.This framework allows the Bank of England to rely on the regulatory and supervisory activities of the RBI, thereby ensuring the stability of the UK financial landscape.
The agreement underscores the significance of cross-border collaboration in facilitating international clearing activities and reflects the BoE's commitment to respecting the regulatory regimes of other authorities.
A key aspect of the MoU is its role in the assessment of CCIL's application for recognition as a third-country central counterparty (CCP). This recognition is a prerequisite for UK-based banks to engage in transactions cleared through CCIL.
The signing of the MoU solidifies the shared interests of both authorities in enhancing cooperation while adhering to their respective laws and regulations.
(Edited by : Shoma Bhattacharjee)
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
Mark Mobius reveals how markets will react if NDA wins 400+ Lok Sabha seats
May 15, 2024 8:09 PM
Wine shops and bars to remain shut for 4 days in Mumbai in 4 weeks, check details
May 15, 2024 7:52 PM
INDIA bloc will win majority seats in Bihar, says Tejashwi Yadav
May 15, 2024 4:20 PM