Information on the second meeting of the KELER User Committee and the CSDR compliance

Dear Clients,

 

This is to inform you on the second meeting of KELER User Committee and the CSD Regulation (CSDR) compliance.

The second meeting of the KELER User Committee was held on 20 June 2017.

Item on the agenda was the status of KELER’s CSDR recovery and resolution plan and the CSDR’s regulations on preventing settlement failures (so-called ‘Settlement Discipline’).

In connection with the regulations of the Settlement Discipline, KELER plans to set up a working group through which market participants will be provided with information regarding the impact of the regulations. Furthermore, any questions arising during the implementation of the regulations will be handled by the working group.

KELER invites to join the working group the members of the User Committee, the representatives of the Government Debt Management Agency and the Settlement Committee of the Budapest Stock Exchange.

In connection with the postponement of the BaNCS system introduction, originally planned for 3 July 2017, KELER would like to emphasise that it plans to submit its application for CSDR licences within the original deadline, independently from the re-planning of the project for introduction. Therefore, KELER is going to submit its application by the end of September 2017. As a result, KELER is expected to receive its CSDR licences in the first quarter of 2018.

In the past six months, KELER prepared a back-up plan for submitting the application for CSD licences with the scenario of not implementing the BaNCS system. Hence, the postponement of the go-live date does not affect the submission of KELER’s application for CSDR licences, as the submission documentation will be based on currently used core system and functionalities. KELER provides detailed information shortly in this topic.

You can find more detailed information on CSDR and the User Committee in our information published in December.

 

Sincerely,
KELER Ltd.