As the deadlines approach for the new EMIR reporting changes in the EU and the UK, set for April 29, 2024, and September 30, 2024, respectively, it is paramount for stakeholders to grasp the complexities of the upcoming requirements.
Map FinTech, a RegTech platform helping companies meet compliance with EMIR, MiFID II, RTS 28 and more, recently delved into what firms need to know about EMIR REFIT.
From the reporting start date, all reports submitted by Reporting Counterparties and Entities Responsible for Reporting to the TRs must adhere to the updated regulatory standards. This encompasses not just derivatives agreed upon post the reporting initiation date but also any changes or terminations reported post that date, even if the derivative had been concluded prior.
Significantly, there is a 180-day transition period allocated for reporting entities to update their existing derivatives to the new regulations. They can do so by using an event type labelled ‘Update’. If, however, they’ve previously submitted a comprehensive message report labelled ‘Modify’ or ‘Correct’, the full details in line with EMIR REFIT’s updated Regulatory and Technical standards must be included.
One cannot overlook that the EU and UK EMIR REFIT introduce 87 and 88 new fields, respectively. Many of these fields have seen transformations in their title, description, and acceptable values, among other attributes, it said.
This signifies the in-depth preparatory tasks that the Reporting Counterparties and Entities Responsible for Reporting need to undertake. They have to modify all relevant fields for existing trades to the new norms. Notably, while they shouldn’t generate new Unique Trade Identifiers (UTIs) for existing derivatives, any other fields modified by EMIR REFIT should be in line with the revised standards when reported.
Highlighting the essence of the transition phase, it doesn’t influence the duty to report relevant occurrences by T+1. Events post the reporting initiation date should be reported by the close of the subsequent working day. This is unquestionably a formidable task for reporting entities.
With the new standards, some entities might need to recalibrate their reporting approach or modify how they report collateral and valuation details. Therefore, a detailed action plan is crucial for reporting entities to ensure their trades swiftly align with the refreshed standards. Any laxity could make them susceptible.
Additionally, it’s vital that reporting entities not engaged in delegated reporting, and with counterparties with the same reporting responsibility, begin dialogue about the treatment of existing trades. This is to synchronise the necessary modifications and ensure compliance with EMIR REFIT norms.
MAP FinTech boasts expertise in managing transition phases and addressing outstanding trades. Their methods have been applied successfully in past regulatory updates. Their all-encompassing toolkit simplifies updating existing trades to the new standards, reducing the workload on the reporting entity’s side.
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![Temenos (SIX: TEMN) today announced that National Bank of Iraq (NBI), part of the Capital Bank Group, has successfully gone live with Temenos core banking and payments. NBI, which has 27 branches across Iraq, offers a comprehensive range of services to individuals and businesses in the country. Since 2005, NBI has been majority owned by Capital Bank, one of the top financial institutions operating in the Jordanian and regional markets, with assets of approximately JOD 7.6 billion[1]. With this implementation, NBI moved from its legacy systems onto the same core banking platform as other entities in the Capital Bank Group. This will enable NBI to operate more efficiently and integrate seamlessly with other systems to develop new products faster and deliver an improved customer experience. Capital Bank Group is a long-standing Temenos customer with other entities in the Group including Capital Bank of Jordan, Bank Audi, Société Générale Bank Jordan and NBI Saudi Arabia, already on the Temenos platform. NBI also becomes the first part of the group to adopt Temenos Payments, which enabled the bank to process more than 100,000 transactions of incoming and outgoing domestic and international payments in the first 15 days of operation, with a 99% straight-through processing rate. The migration to the Temenos platform for core banking and payments at NBI was completed in under 12 months thanks to Temenos’ pre-configured banking and payments capabilities and APIs which reduced the need for complex customizations, as well as close collaboration between Temenos, NBI, Capital Bank and delivery partner ITSS. This success was recently recognized in the IBS Intelligence Innovation Awards, with Capital Bank winning ‘Best Implementation of Core Banking Services'. The implementation at NBI follows several other successful transformation projects with Temenos for Capital Bank in the last few years, including the launch of NBI’s branch operations in Saudi Arabia in just 45 days, as well as the integration of Bank Audi and the former Jordanian operations of Société Générale, each of which was achieved in under four months. Collectively, these projects helped Capital Bank to increase operational efficiency by more than 50% within three years, bringing significant cost savings and an improved customer experience. With faster, more accurate processing and immediate service requests, the bank has maintained high customer retention rates and a reputation for service excellence. Izzidin Abusalameh, Chief Operations Officer, Capital Bank Group, commented: “This achievement marks a significant milestone in our digital transformation journey and positions us as a leading player in the banking industry. We have seamlessly transitioned the National Bank of Iraq to a cutting-edge core banking system which will not only enhance operational efficiency but also support providing our customers with a superior digital banking experience. Our continued partnership with Temenos has not only provided us with an advanced technological platform but has also facilitated a culture of flexibility and adaptability, enabling us to execute our ambitious growth plans.” Lee Allcorn, Managing Director, Middle East & Africa, Temenos, said: “Congratulations to National Bank of Iraq and the Capital Bank team on this successful implementation that gives NBI business agility and the same modern technology platform and ability to deploy fast with pre-configured banking capabilities as the rest of the group. With Temenos, Capital Bank Group is future-ready, and we are proud to support them as they continue to innovate and leverage our platform to grow sustainably and enhance the banking experience for customers.”](https://fintech.global/wp-content/uploads/2024/04/rupixen-Q59HmzK38eQ-unsplash-2-218x150.jpg "Flutterwave teams up with Acquired.com to streamline outward remittances in EU and UK")
