The Common Central Securities Depository started work on July 31. The new institution is responsible for the registration, clearing and settlement of securities issued by entities in Moldova, IPN reports, with reference to a press release of the National Bank of Moldova.
At the initial stage, the Depository will work with the securities issued by the Ministry of Finance and the financial instruments of the National Bank of Moldova. The operations will be performed by entities that act as participant in the Depository. Among these are the National Bank of Moldova, the Ministry of Finance and licensed banks. As of December 31, 2018, the Depository will serve corporate securities and investment societies.
The creation of the Depository is one of the reforms of the financial market of Moldova that is done within the program with the IMF with the support of USAID. The new clearing and settlement mechanism provided by the Central Securities Depository will ensure a high level of transparency, safety and efficiency in operations with securities.
The functioning model of the Depository is based on international standards and practices in the field of settlement systems. The relevant national legislation was adjusted to the EU regulations.
