Delegated Regulation (EU) No 153/2013 is amended as follows:
(1)
in Article 39, the following second paragraph is added:
‘Until 29 November 2023, for the purposes of Article 46(1) of Regulation (EU) No 648/2012, public guarantees that meet the conditions set out in Annex I shall be considered as highly liquid collateral.’;
(2)
in Article 62, second paragraph, the following sentence is added:
‘However, Section 2, paragraph 1, point (h), of Annex I shall not apply in respect of transactions on derivatives, as referred to in Article 2(4), points (b) and (d), of Regulation (EU) No 1227/2011 from 29 November 2022 to 29 November 2023.’;
(3)
Annex I is amended in accordance with the Annex to this Regulation.
This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union .
ANNEXSupplementary provisions
ANNEX
In Annex I to Delegated Regulation (EU) No 153/2013, the following Section 2a is inserted:
‘
SECTION 2a
Public guarantees
Until 29 November 2023, a public guarantee that does not meet the conditions for a central bank guarantee set out in Section 2, paragraph 2, shall meet all of the following conditions to be accepted as collateral under Article 46(1) of Regulation (EU) No 648/2012:
(a)
it is explicitly issued or guaranteed by any of the following:
(i)
a central government in the EEA;
(ii)
regional governments or local authorities in the EEA, where there is no difference in risk between exposures of regional governments or local authorities and the central government of that Member State because of the specific revenue-raising powers of the former, and the existence of specific institutional arrangements the effect of which is to reduce their risk of default;
(iii)
the European Financial Stability Facility, the European Stability Mechanism, or the Union, where applicable;
(iv)
a multilateral development bank as listed under Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council ( *1 ) and established in the Union;
(b)
the CCP can demonstrate that it has low credit risk based upon an internal assessment by the CCP;
(c)
it is denominated in one of the following currencies:
(i)
a currency the risk of which the CCP can demonstrate to the competent authorities that it is able to adequately manage;
(ii)
a currency in which the CCP clears transactions, in the limit of the collateral required to cover the CCP’s exposures in that currency;
(d)
it is irrevocable, unconditional and the issuing and guaranteeing entities cannot rely on any legal or contractual exemption or defence to oppose the payment of the guarantee;
(e)
it can be honoured within the period of liquidation of the portfolio of the defaulting clearing member providing it without any regulatory, legal or operational constraint or any third party claim on it.
For the purposes of point (b), the CCP shall employ, in performing the assessment referred to in that point, defined and objective methodology that shall not fully rely on external opinions.
( *1 ) Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012 ( OJ L 176, 27.6.2013, p. 1 ).’
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