ESMA Circular on the Guidelines for Reporting Under Regulation (EU) No 648/2012 – the European Market Infrastructure Regulation (‘EMIR’ or the ‘Regulation’)

10 November 2023 – The Circular is addressed to all market participants, particularly entities who enter into derivative contracts, and financial counterparties and non-financial counterparties as defined under EMIR.

The Circular draws attention of the guidelines published on the 23 October 2023 by the European Securities and Markets Authority (“ESMA”) on reporting under EMIR. The guidelines can be accessed here. The guidelines, which will come into force on 29 April 2024, will apply in relation to the derivatives reporting obligation laid down by Article 9 of EMIR, as well as the obligations for Trade Repositories (“TR“) under article 78 and 81 of EMIR. The purpose of the guidelines is to harmonise and standardise EMIR reporting requirements, which is key to ensure the quality of data required for the effective monitoring of systemic risk. The guidelines provide clarifications on the following aspects:

  1. Transition to reporting under the new rules;
  2. The number of reportable derivates;
  3. Intragroup derivatives exemption from reporting;
  4. Delegation of reporting and allocation of responsibility for reporting;
  5. Reporting logic and he population of reporting fields;
  6. Reporting of different types of derivatives;
  7. Ensuring data quality by the counterparties and the TR’s;
  8. Construction of the Trade State Report and reconciliation of derivatives by the TRs and
  9. Data access.

The full circular can be accessed here.

For more information on EMIR, and its regulatory implications, feel free to contact us.