The Rwanda Capital Markets Authority (CMA) announced that a new Law Governing Central Securities Depository, Qualified Financial Contracts and Netting Agreements has been published in the Official Gazette, repealing and replacing the 2010 law on the holding and circulation of securities. The framework updates Rwanda’s market infrastructure and contract enforceability rules, including enhanced oversight of Central Securities Depository (CSD) activity and explicit recognition of close-out netting. Under the law, CMA is empowered to license and supervise CSD operators and to authorise CSD participants, while the National Bank of Rwanda is exempted from CSD operator licensing requirements. The law also adopts the International Swaps and Derivatives Association (ISDA) standard and the Global Master Repurchase Agreement (GMRA) as recognised frameworks for Qualified Financial Contracts, particularly repurchase agreements, and provides for the enforceability of close-out netting on default. In addition, it allows CSD operators to act as registries for financial collateral arrangements and establishes a CSD council to support stakeholder engagement in CSD governance and development.
Rwanda Capital Markets Authority 2025-06-05
Rwanda Capital Markets Authority announces publication of new law licensing central securities depositories and recognising close-out netting under ISDA and GMRA
The Rwanda Capital Markets Authority announced a new law for Central Securities Depository (CSD), Qualified Financial Contracts, and Netting Agreements, replacing the 2010 securities law. It enhances market infrastructure, empowers the CMA to license and supervise CSD operators, adopts ISDA and GMRA standards, establishes a CSD council for stakeholder engagement, and exempts the National Bank of Rwanda from CSD operator licensing.