Romanian CSD is preparing for EUR settlement

UniCredit Bank S.A.
Tue, 01/08/2017

The Romanian Central Depository Board has approved rules to introduce the EUR settlement facility.                                                                                                                                 

The Romanian Central Depository (CSD) has informed its participants that the CSD Board of Directors approved some changes and updates to the Depository Code of Rules, in order to create the regulatory framework for the registration and the euro settlement of trades concluded within the trading systems and OTC transactions. Before they enter into force, the amendments need to be approved by the National Bank of Romania (BNR) and by the Financial Supervisory Authority (ASF).


The main changes approved by the Board of Directors have the following purposes:

•           to give participants the ability to keep the financial instruments of their clients in separate accounts (for example, segregating financial instrument holdings according to the country of residence of the owners);

•           to introduce the risk management rules for trades settled in euro;

•           to introduce the risk management measures which will apply to the deal trades concluded in trading systems with gross settlement;

•           to allow participants to settle cross border instructions in T2S with other participants of foreign CSDs with which the local CSD is linked/connected; 

•           to introduce specific provisions for the recording and settlement in euro of transactions concluded within the trading systems, allocated transactions for custodians’ accounts and linked OTCs;

•           to ensure that the payments related to the corporate events for the financial instruments denominated and settled in euro are processed only through T2S.


In addition to the amendments to the Depository Code of Rules approved by the Board of Directors, the CSD has disclosed drafts of some technical specifications regarding the registration and the euro settlement of trades that will be subject to discussion with CSD participants.

Contact Details
Irina Savastre
Global Securities Services Relationship Manager