The system of limits should include procedures for the reporting and approval of exceptions to limits. 54. Several measures have been taken in the past to improve the efficiency and reliability of the OTC market.   First, the Bank had strengthened the oversight of OTC derivatives transactions through institution of mandatory reporting system for the trade transactions.
The OTC Rupee derivatives in India comprise Interest rate swaps, Forward Rate Agreements, FX forwards, Currency swaps, Currency options. The banks have been mandated to report the inter-bank IRS trade data on-line to CCIL since August 2007. The client level trade data are also now collected from the banks. As and when the system stabilizes, market could be provided with the information.