ECSDA meeting in Bucharest, this week
Thursday and Friday, ECSDA representatives will discuss about the Pan-European system on the settlement of securities in euro central bank money – Target2 Securities – set to become operational mid-2013.
In July, the Central Depository signed the Memorandum of participation in Target2 Securities platform, for the settlements in euro alongside the European Central Bank, 16 central banks in the euro zone and other 26 depositories.
The Central Depository is the sole institution of this type in a non-euro country, in South-East Europe, which signed the Memorandum of Understanding with the Euro-system. Target2 Securities (Trans-European Automated Real-time Gross Settlement Express Transfer System) is a project initiated by the Euro-system in 2006, in the aim to implement a Pan-European technical platform in charge with the settlement of transactions with financial instruments in central bank’s money.
Euro-system will operate this platform from the technical point of view and has as the main goal the reduction of afferent cots to cross-border transactions with financial instruments in the euro zone.
According to DC Director general, ECSDA meeting in Bucharest is a recognition of the important steps made by DC in the development of the available services. DC is the fourth depository (institution which supplies depository, registry, clearing and settlement services) in Europe offering the settlement service for international transactions, with instruments not listed on the respective country’s stock exchange.