Emir adopted, but still more questions than answers

Author: Gemma Varriale | Published: 3 Apr 2012

The European Parliament has approved draft legislation of the European Market Infrastructure Regulation (Emir) that will force trading of some over the counter (OTC) derivatives contracts through central counterparties (CCPs), however lawyers have warned regulators not to rush the rulemaking process. 
Although commissioner Michael Barnier has said that the EU has now also fulfilled its G20 commitments in this field, much work remains to be done on the details that will determine the legislation’s operation. 
The European Securities and Markets Authority’s (Esma’s) technical standards will provide this detail. European regulators are now racing to meet the G20 deadline and produce these rules by the end of September. 
"There is pressure on both the European supervisory authorities and on market participants to do a lot of work quite quickly," said Julian Velarde, head of derivatives, London, CIB legal, at BNP Paribas. "A lot of what the industry will care about is...