Regulatory Alerts2023-09-08 | Circular 7/2023Added · Updated
Circular 7/2023 — Modifications to Circular 4/2012
The Bank of Mexico amends the Rules for the Execution of Derivative Operations to restrict the use of Interbank Equilibrium Interest Rates (TIIE) with terms greater than one banking business day as underlying assets for new standardized derivative operations. Specifically, entities must cease using the 91-day and 182-day TIIE rates for new operations starting January 1, 2024, and the 28-day TIIE rate starting January 1, 2025, while recognizing the one-day TIIE (TIIE de Fondeo) as a valid underlying asset. Existing operations may continue using these rates until maturity, and limited exceptions allow their use for closing out prior positions.
More like this from BANXICO
We email you every new BANXICO publication the day it's published.