Moscow Exchange switched to the RUONIA index in the SPFI market

2023: Transition to RUONIA in the SPFI market

On April 27, 2023, the Moscow Exchange announced the completion of the transition from the use of the MosPrime Rate to RUONIA for operations in the SPFI market (standardized PFI). SoftWell provided technological support in the transition to the RUONIA rate.

The need for the project is due to the termination by the National Financial Association of the publication of the MosPrime Rate indicator from July 1, 2023

SoftWell specialists have developed a module in accordance with the rules and requirements of the Moscow Exchange, with the help of which the transactions of all Russian SPFI market participants were converted - swaps for Mosprime Rate were transferred to the RUONIA indicator. The transition was carried out on the basis of the adapted methodology of the Bank of Russia ISDA Fallbacks, adjusted for the spread.

The transition procedure has been carried out in full compliance with the requirements and planned dates of the project. We are satisfied with our cooperation with SoftWell, ― said Roman Loktionov, director of OTC derivatives at the Moscow Exchange.

The transfer of transactions to RUONIA was a continuation of the global trend to abandon the focus on reference interest rates - such as LIBOR. The interbank rate RUONIA is calculated and published by the Bank of Russia based on the reporting of the country's largest banks.

The transfer was made in the Navigator system, which stores all transactions of the Moscow Exchange on the SPFI market. The Navigator platform, developed by SoftWell, provides a full STP Treasury lifecycle across all markets - FX, Money Markets, Capital Markets, Financing, Interest Rate Derivatives and more. The integrated solution allows you to register transactions, manage items, calculate revenues, control limits, and form payment items.

We have been developing cooperation with the Moscow Exchange for 10 years. The core of the Navigator platform, our flagship product, is at the heart of the Moscow Exchange's trading and clearing system on the SPFI market, ― said Anatoly Karpov, CEO of SoftWell.