- GPW Benchmark will publish WIBID and WIBOR for the first time on 30 June 2017
- Take-over of the functions of WIBID and WIBOR fixing organiser is the first phase of harmonisation with the requirements of the Regulation of the European Parliament and of the Council imposed on institutions which calculate reference rates
GPW Benchmark starts the publication of the WIBID and WIBOR fixings after taking over the function from ACI Polska and following the entry into force of the new WIBID and WIBOR Fixing Rules effective as of 30 June 2017. The new Rules name a new organiser of the reference rate fixing as well as a new calculation agent. Both functions will be performed by GPW Benchmark.
ACI Polska, the previous organiser of the reference rate fixing, has decided to discontinue the function in view of the provisions of Regulation (EU) 2016/1011 of the European Parliament and of the Council of 8 June 2016 on indices used as benchmarks in financial instruments and financial contracts or to measure the performance of investment funds.
“It is important to note that GPW Benchmark takes over the role of organiser of WIBID and WIBOR reference rate fixings as well as the functions of calculation agent. Acting within its powers under the Fixing Rules, the WIBID and WIBOR Fixing Council monitors current operations and approves modifications to the organisation of fixings. In my opinion, the participation of a GPW Group member ensures a smooth transition and facilitates the harmonisation of the organisation of fixings with the regulatory requirements,” said Sławomir Panasiuk, Chairman of the WIBID and WIBOR Fixing Council, Vice-President of KDPW.
While GPW Benchmark takes over as fixing organiser and calculation agent, the change does not affect the methodology and the times of publication of the reference rates. The current reference rates as well as historical data will be available on the website www.gpwbenchmark.pl.
GPW Benchmark takes steps to ensure that the methodology of reference rates on the Polish money market complies with Regulation (EU) 2016/1011 of the European Parliament and of the Council of 8 June 2016, which takes effect on 1 January 2018. The process is implemented in partnership with banks – participants of WIBID and WIBOR fixings. This is relevant in view of the role of the banks in the process, as well as the scope of application of the reference rates in the activity of the banks.
“The transfer of the function of WIBID and WIBOR fixing organiser and calculation agent to GPW Benchmark is a key event for the process in the last few years. We are very glad that the transfer of the fixing functions takes place smoothly from the perspective of the participating banks and data vendors,” said Dariusz Kułakowski, President of GPW Benchmark.
WIBID and WIBOR reference rates
WIBOR and WIBID have been calculated since 1991 and 1995, respectively. Published at 11:00, the rates represent the average trade quotes of banks on the money market. ACI Polska (previously: Polish Association of Bank Dealers FOREX Polska) was the organiser of rate fixings since the very beginning. Each rate is calculated for nine different periods of time. WIBID and WIBOR are among the most relevant and most frequently used reference rates in the Polish financial system. It is estimated that they are benchmarks used in lending and deposit agreements totalling ca. PLN 850 billion, floating-rate Treasury bonds, as well as bonds of 147 issuers listed on Catalyst. They are also used to price a range of financial instruments and to measure the performance of funds.
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GPW Benchmark S.A. is a member of the GPW Group, founded in Q1 2017. The core business of GPW Benchmark is to organise and, in the future, administer WIBID and WIBOR fixings. GPW Benchmark will also perform the function of calculation agent.
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The Warsaw Stock Exchange (GPW) is the biggest securities exchange in Central and Eastern Europe. GPW operates a regulated market of shares and derivative instruments and the alternative stock market NewConnect for growing companies. GPW is developing Catalyst, a market for issuers of corporate and municipal bonds, as well as commodity markets. Since 9 November 2010, GPW is a public company listed on Warsaw Stock Exchange. For more information, visit http://www.gpw.pl/.
