RITS Legal Framework
The legal framework of RITS is contractual, based on the RITS Regulations and associated RITS Membership Agreements. The RITS Regulations set out the rules for the operation of RITS and the rights and obligations of Members and the Reserve Bank of Australia. Reciprocal Purchase Transactions entered into with the Reserve Bank are governed by SIFMA/ICMA Global Master Repurchase Agreement (2011 version), as amended and supplemented by Annexure A of the RITS Regulations.
A standard agreement is executed between each Member and the Reserve Bank to bind the Member to the Regulations. A template RITS Membership Agreement is contained in Annexure E of the RITS Regulations.
If a Member has any additional conditions of membership, these will be contained in an Attachment A to the Member’s RITS Membership Agreement. Conditions of membership may relate to: operational or liquidity requirements; use of an agent for RTGS transactions; members that do not hold an ESA; membership as a Batch Administrator; or any other condition imposed by the Reserve Bank.