The debate over CCP central bank liquidity

The liquidity access debate

The push to move a portion of the over-the-counter derivatives market on to central counterparties (CCPs) has thrown up a number of technical and controversial issues, often with no obvious solution. As legislators around the world have drafted rules that will require contracts to be cleared through CCPs wherever possible, virtually every element of the clearing process, from margin requirements and default fund contributions to governance and supervision, has been exposed to scrutiny and debate