Regulatory Alerts2025-10-03
FSCA Equivalence Framework for Financial Markets
The Financial Sector Conduct Authority has published a consultation report finalizing an Equivalence Framework and licensing requirements for external central counterparties, trade repositories, credit rating agencies, and over-the-counter derivative providers operating in South Africa. The framework establishes a streamlined process for recognizing foreign regulatory regimes, clarifies the definition of interested parties, and aligns with the Joint Roadmap to mandate central clearing while outlining specific exemption criteria. Following public consultation, the FSCA incorporated stakeholder feedback to operationalize existing legislation, ensuring foreign entities can obtain equivalence recognition and licenses without unnecessary regulatory duplication.