Shanghai Clearing House (SCH) and the China Foreign Exchange Trade System
(CFETS) said on June 18 they will introduce an FX repo optimization service from
June 22, 2026 to improve foreign‑currency repo trading and clearing and support
market collateral management and diversified settlement. During the life of
pledged FX repos, counterparties may initiate pledged‑security substitutions for
unsettled trades via SCH’s integrated business system or CFETS’ FX trading
system; substitutions take effect after counterparty confirmation. Before the
trade settlement date, counterparties may initiate cash delivery in SCH’s
system; SCH will complete buy‑out repo maturity settlement per cash‑delivery
instructions. CFETS will publish its specific rollout timetable separately.
