Statement
The Bank of England (the BoE) and the Reserve Bank of India (RBI) today signed a Memorandum of Understanding (MoU) concerning cooperation and exchange of information in relation to the Clearing Corporation of India Ltd. The MoU establishes a framework for the BoE to place reliance on the RBI’s regulatory and supervisory activities while safeguarding UK financial stability. The MoU also demonstrates the importance of cross-border cooperation to facilitate international clearing activities and the BoE’s commitment to deference to other regulators’ regimes where justified.
This MoU satisfies the requirement under Article 25(7) of the UK European Market Infrastructure Regulation which will allow the BoE to assess the Clearing Corporation of India Ltd’s application for UK recognition. The MoU was signed by Bank of England Deputy Governor for Financial Stability Sarah Breeden and RBI Deputy Governor T. Rabi Sankar. View a copy of the signed MoU.