Draft guidelines on credit default swaps

Draft guidelines on credit default swaps

Question : On which date RBI issued Draft Guidelines on Credit Default Swaps ?
(a) Feb 16, 2021
(b) Feb 06, 2021
(c) Feb 11, 2021
(d) Feb 13, 2021
Ans.(a)
Related facts

  • RBI issued Draft Guidelines on Credit Default Swaps on Feb 16, 2021.
  • Guidelines are issued under Section 45 W of the RBI Act, 1934.
  • Credit Default Swap(CDS)
  • It is a financial derivative or contract that allows an investor to “swap” or offset his credit risk with that of another investor.
  • Recent issued guidelines will standardize derivatives trading in the CDS in over-the-counter(OTC) markets and on recognised stock exchanges in the country.

By — Pankaj Pandey.

Link:
https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx
https://www.livemint.com/news/india/rbi-issues-draft-guidelines-on-credit-default-swaps-11613501789741.html