ESMA publishes guidelines to harmonise CCP supervisory reviews and evaluation under EMIR

Feb 24th '21

The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, has  published the final report on Guidelines aimed at assisting competent authorities in the application of EMIR provisions that deal with the review and evaluation of central counterparties (CCPs).


The guidelines address common procedures and methodologies for the review of arrangements, strategies, processes and mechanisms implemented by CCPs. This includes the evaluation of risks, covering requirements for CCPs to address financial, organisational, operational, and prudential risks as laid down in EMIR.


The objective of these guidelines is to ensure consistency in format, frequency, and depth of CCP supervisory reviews and evaluation processes.


In particular, they cover review and evaluation of:


  • capital requirements
  • organisational requirements
  • business continuity
  • conduct of business
  • prudential requirements, and
  • interoperability arrangements


Next steps

The Guidelines will be translated in the official EU languages and published on ESMA’s website. The publication of the translations will trigger a two-month period during which national competent authorities must notify ESMA whether they comply or intend to comply with the Guidelines.


Source: ESMA