7 February 2017 As from now, KELER Ltd. is participant of the unified European securities settlement system (Target2-Securities, T2S). KELER joined in Wave 4 of the international project, following successful migration over the weekend of 3-5 February. The goal of T2S is to increase the security and efficiency of securities transaction settlement by unifying European settlement systems.

The European Central Bank (ECB) created the T2S platform to harmonize European settlement systems and to unify and thus increase the efficiency and the security of securities transaction settlement.


Following several years of preparation, the system went live in June 2015, with European central securities depositories and central banks joining in 5 waves; thus, annual transaction volume exceeding EUR 300 000 billion will be channeled to the platform gradually. The essence of the ECB central infrastructure is making available the securities of participating securities markets in a concentrated manner; thus even cross-border transactions with complex, long settlement chains can be settled real time, in high-powered money (for the time being in Euro only). This form of settlement guarantees the highest level of security, and concentration of volume is expected to drive down settlement costs in the long run.

„Taking the opportunities offered by European market regulation and infrastructure development, KELER intends to play a more active role in the international markets. Our strategy strongly relies on the functionalities available in T2S; therefore, joining the platform is a key milestone in the business plans of KELER. The creation, operation of the unified securities settlement system and the migration over the weekend show the success of an enormous international project, with central securities depositories, central banks and nearly all participants in the securities market taking an active part in the effort. We intend to become a leading player in the region, and successful T2S entry is a great step towards reaching this goal”, commented György Dudás, Chief Executive Officer of KELER Ltd.

In the past 5 years, KELER and the participants of the Hungarian and international securities market worked hard and cooperated intensely to get ready for T2S entry. Following the successful migration over the weekend of 3-5 February, the Hungarian central securities depository, together with the central securities depositories of Germany, Austria, Slovenia, Slovakia and Luxembourg, as the participants of migration wave 4, became member of the European securities settlement system. As a result of joining T2S, KELER ensures settlement of the securities transactions made in EUR on the platform based in Frankfurt.

„Joining T2S is the result of an extended and deliberate process, but only the first step towards KELER being capable of offering value-added services, as part of the unified European infrastructure, that is the basis of its regional/international strategy. In addition to increasing the security and efficiency of securities transaction settlement, another benefit of joining T2S is the improved international availability of Hungarian securities. T2S has a medium and long term impact on markets, in which KELER intends to take an active role,” emphasized Kristóf Matuszka, KELER T2S Project Manager.


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KELER Group

The Magyar Nemzeti Bank and the Budapest Stock Exchange are the owners of KELER Central Depository Ltd. (KELER) that was founded in 1993. With KELER CCP Ltd., its subsidiary, (jointly: KELER Group), they form the infrastructure to ensure the smooth operation of the Hungarian capital and energy markets. KELER, as the only central securities depository of the Hungarian capital market, provides the infrastructure for Hungarian securities issuance, the settlement of Hungarian securities transactions. KELER CCP as clearing house ensures secure and transparent trade clearing: it substitutes the clients involved in the contracts concluded in one or several financial markets: it acts as buyer to all sellers and as seller to all buyers by acting as the only counterparty to all of them and guaranteeing trade settlement. KELER CCP as clearing house complies with the strictest European requirements, and provides clearing services to the Budapest Stock Exchange, MTS Hungary government trading platform, CEEGEX Central Eastern European Gas Exchange and the TP Hungarian balancing gas market, and provides general clearing member services on HUPX, the Hungarian organized power trading market, the German, French, Czech and Serbian energy markets, and the Austrian gas market.

An innovative service provider with reliable professional and IT background, corresponding international practice, Hungarian and international regulations, the KELER Group builds on its stable shareholder background and capital position when serving its clients, takes into account the present and future needs of market participants and forms an interest group with market players. Its objective is to become a key player in the regional and the European markets by relying on market and service innovation.