[ESMA71-99-2097 ] Decision of AMF/ACPR and BaFin regarding actions relating to their domestic participants in Indian CCPs

The European Securities and Markets Authority (ESMA) published a statement on the Decision of AMF/ACPR and BaFin regarding the termination of membership towards 6 Indian central counterparties.
According to EMIR 2.2, ESMA was obligated to assess third-country CCP recognitions and to finalize, by 22 March 2022, suitable cooperation agreements with the necessary authorities to assist information sharing and forwarding regarding cross-border clearing activities. ESMA made numerous attempts without success to negotiate such agreements with the Indian authorities.
As a result, on 31 October 2022, ESMA was forced to implement decisions under Article 25 of the EMIR, as modified, to no longer recognize six CCPs founded in India. (eventid=17878):
+ The Clearing Corporation of India (CCIL), supervised by the Reserve Bank of India (RBI);
+ Indian Clearing Corporation Limited (ICCL), supervised by the Securities and Exchange Board of India (SEBI);
+ NSE Clearing Limited (NSCCL), supervised by SEBI;
+ Multi Commodity Exchange Clearing (MCXCCL), supervised by SEBI;
+ India International Clearing Corporation (IFSC) Limited (IICC), supervised by the International Financial Services Centre Authority (IFSCA); and
+ NSE IFSC Clearing Corporation Ltd (NICCL), supervised by the IFSCA.
The decisions stipulated a six-month delay in the application deadline (i.e. 30 April 2023).
ESMA acknowledges the significant impact on some EU market participants and, as a result, the intention of ACPR/AMF and BaFin to defer enforcement actions for the time being in respect of domestic credit institutions‘ participation in CCPs established in India that are no longer recognised under EMIR in order to facilitate the implementation of adaptation plans by the credit institutions concerned, which should be completed as soon as possible.
Statement from the French AMF and ACPR
Statement from the German Bafin
The list of third-country CCPs currently permitted to operate in the EU may be found HERE.