RBI reform plan for derivatives: Central bank proposes new norms for novation of OTC derivative contracts, draft guidelines seek to streamline market operations
The Reserve Bank of India (RBI) on Wednesday released draft directions to regulate the novation of over-the-counter (OTC) derivative contracts, aiming to streamline and rationalise the regulatory requirements for such transactions.Novation, under the draft guidelines titled Reserve Bank of India (Novation of OTC Derivative Contracts) Directions, 2025, refers to replacing an existing market maker in […]