Mandatory clearing in Korea slated for June 2014

lanterns in South Korea

Korea's twice delayed over-the-counter derivatives clearing service will officially begin life in the first quarter of next year on a voluntary basis, with mandatory clearing deferred until June 30, 2014 to allow European banks to participate. Korea, like other jurisdictions in Asia, originally planned to start mandatory clearing in October this year but delayed its introduction due to uncertainty over whether the Korea Exchange's (KRX) central counterparty would be recognised as conforming t