Chinese banks failing to post collateral on repos


Chinese banks are not meeting mark-to-market collateral demands under the terms of a global master repurchase agreements (GMRA) contract developed by the Securities Industry and Financial Markets Association (Sifma) and the International Capital Market Association to govern conduct in the global repo markets.

Collateral disputes between foreign banks and their Chinese counterparts have been simmering for more than a year, notably for over-the-counter derivatives transactions. While failing to po