CFEC recommendations on dating conventions for foreign exchange contracts in light of new national holiday

In light of the newly-introduced National Day for Truth and Reconciliation holiday, and the closure of payment clearing and settlement systems, the Canadian Foreign Exchange Committee (CFEC) recommends that any existing forward foreign exchange contracts scheduled to settle on September 30, 2021 should be renegotiated to settle on September 29, 2021 instead. Any new forward foreign exchange transactions should also be booked to settle on 29 September instead of 30 September, unless otherwise agreed to between counterparties.

Notes

CFEC is an industry group composed of senior representatives from financial institutions actively involved in the foreign exchange market in Canada and the U.S. dollar/Canadian dollar market globally. Formed in 1989, its objective is to provide a forum for the regular discussion of issues and developments pertinent to the foreign exchange market, including the review of market practices and procedures. The Bank of Canada chairs CFEC and provides secretariat services to the Committee.


Chair, CFEC
Managing Director, Financial Markets Department
613-782-8257