On 10 July 2014, the European Central Bank (ECB) published an opinion on the European Commission's proposal for a Regulation on reporting and transparency of securities financing transactions (SFTs).

The ECB broadly welcomes the proposals, and makes a number of specific observations on the following areas:

  • Exemption for central bank transactions from transparency and reporting obligations;
  • Clarification of the Commission’s power to amend the list of exemptions;
  • Rehypothecation; and
  • Modalities for the reporting of data on SFTs.

The ECB sets out drafting proposals in an annex to the opinion.