The European Central Bank (ECB) published a press release setting out its approach to implementing the FX global code.
The FX Global Code is a set of global principles of good practice in foreign exchange markets, developed by central banks and market participants from 16 jurisdictions around the globe in order to promote a robust, fair, liquid, open and appropriately transparent market.
The ECB’s approach is to:
- Invite foreign exchange trading counterparties to publicly commit to the principles set out in the FX global code by endorsing the statement of commitment annexed to the code by the end of May 2018.
- Encourage counterparties to reaffirm their commitment to these principles after any substantial future update of the FX global code.
The ECB also reaffirms its own intention to commit to the FX global code when participating in the FX market.