Compression for outstanding IRS (MIFOR Benchmark) trades carried out on 28th
On 28th July
2022, CCIL successfully carried out the 3rd cycle of the Portfolio Compression
exercise in the Interest Rate Swaps market for MIFOR Benchmark, aimed at
reducing the overall notional outstanding and the number of outstanding
contracts by identifying economically redundant trades for early termination.
17 large foreign, private and nationalized sector Banks participated in this
exercise. Of the 675 trades between 17 members which were found to be eligible
for being considered for compression, 451 trades were identified for early
termination achieving a compression of over 66.81%. 348 trades were terminated
fully while 103 trades were partially terminated. The reduction in market-wide
Notional Outstanding of Rs. 20,326.17 crores was achieved through this
portfolio compression exercise. The compression exercise included both trades
cleared by CCIL and non-cleared trades.