On Sep. 8, 2026, CFTC published final rule in federal register, effective Oct. 8, 2026.
On May 12, CFTC issued proposal re Canadian swap clearing obligation
CFTC proposed to modify swap clearing requirement for clearing to DCO/exempt DCO.
Swap Clearing
The proposal removes the requirement to clear interest rate swaps referencing the Canadian Dollar Offered Rate and the Interbank Equilibrium Interest Rate (TIIE).
Replaces it with the requirement to clear Canadian dollar (CAD) and Mexican peso (MXN) denominated interest rate swaps referencing overnight, nearly risk-free rates.
Amends 17 CFR 50.4(a) to change the stated termination date range for certain swaps denominated in CAD, and overnight index swap (OIS) denominated in Mexican pesos.
Removes swaps denominated in CAD that reference CDOR as a floating rate index and swaps denominated in MXN that reference TIIE from the fixed-to-floating swap class.
Updates 17 CFR 50.25(b) to update compliance dates for swaps required to be cleared.
Request for Comments
Comment period will be open for 30 days after publication in the federal register.
Sep. 2026 CFTC Final Rule
On Sep. 2, 2026, CFTC published final rule to modify its interest rate swap clearing requirement; final rule effective 30 days after publication in the federal register.
Amended regulations to remove requirement to clear interest rate swaps referencing Canadian Dollar Offered Rate and the Interbank Equilibrium Interest Rate (TIIE)
Replace it with a requirement to clear Canadian dollar (CAD)- and Mexican peso (MXN)-denominated interest rate swaps referencing overnight, nearly risk-free rates.
Sep. 2026 CFTC Final Rule
On Sep. 8, 2026, CFTC published final rule in federal register, effective Oct. 8, 2026.
