Author: Anna Kulik

Euroclear Finland received a licence to operate under EU CSDR

Euroclear Finland received a licence to operate under EU CSDR

On 21 August 2019, Euroclear Finland, ECSDA Member, received a licence to operate under the European regulation n° 909/2014 on settlement and central securities depositories (CSDR) from the Finnish Ministry of Finance.

More information can be found here.

The list of CSDs authorised under the CSDR is provided on CSD Facts page of the website.

ECSDA raises concerns on EDDI & suggests a solution to increase depth of issuance in EU

ECSDA raises concerns on EDDI & suggests a solution to increase depth of issuance in EU

On 9 July 2019, ECSDA responded to the ECB public consultation on EDDI (European Distribution for Debt Instruments) initiative.

ECSDA welcomes the ECB market consultation on its possible European Distribution of Debt Instruments (EDDI) initiative. ECSDA is committed to further foster the Capital Markets Union (CMU) initiatives and underlines its commitment to increased efficiency in the issuance of debt instruments. CSDs strongly support harmonisation, particularly when enabled by market-led initiatives. Although following discussions and workshops with the ECB and based on the content of the market consultation document, ECSDA believes that several concerns need to be addressed before any decision is made with regard to EDDI.  In particular, ECSDA would like to highlight the following points:

  1. Substantiation and quantification of market demand;
  2. Definition of scope and value proposition;
  3. Compatibility with the ongoing and planned EU CMU and post-trade policy agenda implementation;
  4. Need for a further investigation of the compatibility of different ECB roles;
  5. Compatibility of the need of a “neutral” party with competitive pre-issuance and post-trade markets;
  6. Compatibility of CMU objectives with potential weakening of the infrastructure efficiency for equity, local issuers and local investors;
  7. Compatibility of EDDI with T2S objectives and priorities; and
  8. Complex legal, contractual, and regulatory challenges.

Due to the above-mentioned concerns, ECSDA believes that in the shape it is currently designed, EDDI is not the appropriate solution for the problem indicated in the Eurosystem’s consultation. We recommend considering the above-mentioned concerns before any further decision on EDDI is proposed.

ECSDA believes that the path to further scalability for issuers and enhancing efficiency and depth of issuance across different EU markets is a coherent legislative and fiscal environment across EU. Efficient market practices established at national level may meet specific needs of relevant actors and support issuance of securities in the local market according to the local requirements and expectations. The tax framework applicable to debt issuance remains an element of significant divergence. Though governments use withholding tax applied to debt proceeds for their national budget, ECSDA recommends that the new European Commission identify a path in this area for further harmonisation (without imparting to this national area of responsibility, if there is no such political will). A similar reasoning is applicable to the securities law domain, where harmonisation would be a major catalyst to cross-jurisdictional issuance.  Without such harmonisation, actions undertaken by commercial or public actors will not bring substantial benefits.

We are persuaded that a coherent and harmonised legislative and fiscal framework would be central to the success of the Financial Market and CMU. ECSDA will remain a proactive contributor to the dialogue with policymakers.

ECSDA’s full response can be found here.

Season’s Greetings and best wishes from ECSDA

Season’s Greetings and best wishes from ECSDA


Thank you for sharing great moments with us in 2018!

The European Central Securities Depositories Association wishes you and your families a merry holiday period and a wonderful 2019!

Looking forward to restarting to work with you back again in 2019.

ECSDA Secretariat

Brexit: ESMA ready to recognise UK CSD

Brexit: ESMA ready to recognise UK CSD

European Commission has published today a communication, allowing ESMA to recognise, on the temporary and conditional basis, the UK CSD in case of Brexit no deal. ESMA expressed its support to this decision.

In more detail:

ECSDA appreciated the publication by the European Commission of the communication for Brexit no-deal contingency plan, as issued on the Commission website.

We also note that ESMA Board of Supervisors expressed support to “continued access to the UK Central Securities Depository (CSD), in order to allow the UK CSD to serve Irish securities and to avoid any negative impact on the Irish securities market.” For more please see ESMA website.

Settlement in DKK is now possible on T2S

Settlement in DKK is now possible on T2S

On 27 October, Danmarks Nationalbank has connected its real-time gross settlement and collateral management system to the ECB T2S platform. The same week-end, VP Securities, the Danish Central Securities Depository and ECSDA member, has facilitated the first settlement in Danish Krone. DKK is the first, other than euro, currency available for settlement on T2S.

Congratulations to our Danish colleagues for having contributed to making settlement in DKK on T2S possible!


Please read the full VP Securities press release


More CSDs get authorised under CSDR

More CSDs get authorised under CSDR

Updated 19 September 2018

We are truly happy to see that the list of European Central Securities Depositories Association (ECSDA) members that have been authorised under the new pan-European Union regulation is increasing. The CSDs that have received the authorisation to function under the CSD regulation are:

1. Austian CSD – OeKB CSD.  Press release.

2. Danish CSD – VP Securities. Press release.

3. Latvian CSD covering Baltic states – Nasdaq CSD. Press release.

4. Portugese CSD – Interbolsa. Press release.

5. Bulgarian CSD – CDAD. Press release

ECB publishes TIBER-EU Framework

ECB publishes TIBER-EU Framework

On 2 May, the European Central Bank has published the Threat Intelligence-based Ethical Red Teaming (TIBER-EU) Framework. It aims at providing a view on how to ensure controlled  tests against cyber-attacks for financial institutions of all sorts.

The ECB says with regard to TIBER-EU that:

  • it “is the first European framework for controlled cyber hacking to test resilience of financial market entities
  • Framework facilitates testing for cross-border entities under oversight of several authorities
  • Goals are to help entities gain insight about their protection, detection and response capabilities and to help them fighting cyber attacks”

You can find more information on the ECB website.