New reporting requirements for derivative contracts pursuant to Article 9 of EMIR

24 April 2024
Ref.: 2404032

Circular no.: 15/2024
To counterparties in derivative transactions

Subject: New reporting requirements for derivative contracts pursuant to Article 9 of EMIR

On 18 May 2021, Act No. 56/2021 amending the Act on derivative transactions, central counterparties and derivative transaction registers, No. 15/2018 (reduction of regulatory burden) entered into force. Thereby, Regulation of the European Parliament and of the Council (EU) 2019/834 of 20 May 2019 amending Regulation (EU) No. 648/2012 as regards the clearing obligation, the suspension of the clearing obligation, the reporting requirements, the risk-mitigation techniques for OTC derivative contracts not cleared by a central counterparty, the registration and supervision of trade repositories and the requirements for trade repositories (EMIR Refit) was implemented into Icelandic law. The reporting obligation is further specified in the Central Bank's rules No. 1300/2023 on derivative transactions, central counterparties and derivative transaction registers.

With EMIR Refit, substantial amendments were made to the provisions of Article 9 of the EMIR Regulation (EU) No. 648/2012 regarding reporting for derivative transactions, and those amendments are further specified in the following delegated regulations (the delegated regulations):

• Commission Delegated Regulation (EU) No. 2022/1855 supplementing Regulation of the European Parliament and of the Council (EU) No. 648/2012 as regards regulatory technical standards specifying the minimum details of the data to be reported to trade repositories and the type of reports to be used;

• Commission Implementing Regulation (EU) No. 2022/1860 on implementing technical standards for the application of Regulation of the European Parliament and of the Council (EU) No. 648/2012 as regards standards, formats, frequency and methods and arrangements for reporting.

Upon the entry into force of the aforementioned delegated regulations within the European Union (EU) on 29 April next, there will be a change in the templates that must be used to submit reports on derivative transactions to trade repositories in the EU states. The aim is for the acts to be implemented into Icelandic law by the Central Bank's rules as soon as possible after they have been incorporated into the EEA Agreement.

With this circular, the Financial Supervisory Authority of the Central Bank of Iceland therefore directs the recommendation to Icelandic counterparties in derivative transactions to begin adaptation to the new requirements of EMIR Refit on reporting for derivative transactions at the earliest opportunity.

After 29 April next, the Financial Supervisory Authority of the Central Bank will consider that reporting entities can also fulfil the above-mentioned reporting obligation, which is provided for in Article 9 of EMIR and the Central Bank's rules No. 1300/2023, by submitting reports in the new template in accordance with Delegated Regulations (EU) No. 2022/1855 and (EU) No. 2022/1860. If the above arrangement results in the submission of any reports on derivative transactions not being achieved before the statutory deadline (T+1), the recommendation is directed to reporting entities to submit those reports retroactively in the new template as soon as possible.

If questions arise regarding this circular, they can be sent to emir@sedlabanki.is.

Yours faithfully,
CENTRAL BANK OF ICELAND

Linda Kolbrún Björgvinsdóttir
Managing Director
Conduct Supervision

Hörður Tulinius
Specialist
Conduct Supervision