The Financial Supervision Commission (FSC) approved the amended Rules of the CDAD and they enter in force as of 2 December 2017.
The main amendments are as follows:
- New provisions are introduced with the purpose to regulate securities settlement in EUR via TARGET2. So far, DVP/RVP settlement of securities at CDAD was only against BGN via RINGS. These amendments are related to the project of the CDAD to become an ESROT participant to facilitate the settlement of government bonds listed for trading on the Bulgarian Stock Exchange. BGN-denominated government bonds settle in BGN and EUR-denominated government bonds settle in EUR. The ESROT participation of CDAD is not yet finalized;
- The cut-off time for reporting the mandatory requisites for repo deals has been shortened from 3 days after matching of the initial instructions to 17:00 hours on the settlement date.
Impact on investors: Possibility to settle government securities via CDAD in BGN and EUR upon establishment of the ESROT participation of the CDAD.
Kristina Spasova, Relationship Manager
Tel. +359 2923 2542, Fax +359 2923 2501