YEREVAN, October 24. /ARKA/. The Central Bank of Armenia, with technical support from the European Bank for Reconstruction and Development (EBRD) and financial support from the Government of Japan, is implementing the Armenian Standard Derivatives Agreement (ASDA), which is governed by Armenian law and complies with international standards.
According to the regulator’s press service, the agreement can be applied to repo, derivatives, and securities lending transactions.
The ASDA is in line with international best practice and has been adapted to the requirements of Armenian legislation. The document is based on the ISDA (International Swaps and Derivatives Association) Master Agreement of 2002, as well as the ISDA Supplement on Securities Financing Transactions, introduced in 2022.
The ASDA Agreement is:
– flexible – can be governed by both Armenian and foreign legislation,
– universal – applicable to repo, derivatives, and securities borrowing transactions,
– high-quality – ensures clarity, predictability, and trust between the parties, serving as an example of an agreement recognized globally and compliant with international standards.
The implemented standard agreement can provide the following benefits to financial market participants:
– will help effectively contain financial risks,
– will reduce lengthy and complex transaction approval processes,
– will reduce additional legal costs associated with negotiating the terms of individual agreements,
– will ensure legal clarity and predictability,
– will simplify the implementation of reliable and large-scale transactions with international partners.-0-
