We conclude our discussion on Repo Guidelines by highlighting Sections XIV to XX of the Sales and Repurchase Agreement Guidelines. We will also provide data on the current size of the local repo market, as at June 30th, 2020.
After a repo transaction takes place, a written or electronic confirmation of the transaction should be issued two business days, following the day on which it takes place. Section XIV states that this confirmation shall include;
- description of the collateral securities, including the type, the name of the issuer, the maturity date, the coupon rate, the nominal amount and the market price of the securities;
- purchase price, the price at which the collateral securities are bought by the buyer;
- transaction date, the date on which the buyer and seller agree to enter into the repo transaction;
- repurchase price; and
- repurchase date, the date on which the seller is to repurchase the collateral securities from the buyer.
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