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The Overnight Reverse Repurchase Agreement is a critical instrument in the Belgian financial markets, used for short-term liquidity management and secured lending operations. This document is essential when parties wish to engage in overnight repo transactions under Belgian law, providing a structured framework for the temporary transfer of securities against cash with a commitment to reverse the transaction the next business day. It includes detailed provisions for collateral management, pricing, default scenarios, and operational procedures, all aligned with Belgian Financial Collateral Law and EU regulations. The agreement is particularly relevant for financial institutions seeking to manage their liquidity positions, access short-term funding, or deploy excess cash while maintaining security through collateralization. The document addresses specific Belgian legal requirements while following international best practices in repo trading.

1. Parties: Identification of the seller and buyer, including their registered details and regulatory status

2. Background: Brief context explaining the purpose of the agreement and the parties' intentions to enter into overnight reverse repo transactions

3. Definitions: Comprehensive definitions of terms used throughout the agreement, including financial, operational, and technical terms specific to repo transactions

4. Purchase and Repurchase Obligations: Core provisions detailing the mechanics of the initial sale and subsequent repurchase, including pricing mechanisms

5. Payment and Transfer: Procedures for payment of purchase price and transfer of securities, including timing and settlement arrangements

6. Income Payments: Treatment of income or distributions on the purchased securities during the transaction period

7. Margin Maintenance: Provisions for valuation of securities and any margin calls or adjustments

8. Representations and Warranties: Standard and transaction-specific representations from both parties

9. Events of Default: Definition of default events and consequences, including close-out procedures

10. Tax Provisions: Treatment of tax obligations and withholding requirements

11. General Provisions: Standard clauses including notices, amendments, assignments, and governing law