The Hungarian Banking Association, the Association of Investment Services Providers, the National Bank of Hungary (NBH) and Hungary's Central Depository and Clearing House KELER Group has established the Hungarian Target2-Securities (T2S) National User Group, KELER announced on Monday.
The purpose of T2S, a European Central Bank project, is to create a standard crossborder European securities settlement process with the involvement of European depositories and the use of an information technology platform. The Target2 platform, to be operated by the T2S system, would in fact convert cross-border transactions within Europe into domestic transactions, thus increasing the competitiveness of depositories.
The national user group, set up at the initiative of KELER and the NBH, held its first meeting on June 1, electing KELER CEO György Dudás as president and NBH NBH leading advisor Gergely Kóczán as secretary.
European national clearing houses, among them KELER, signed a Memorandum of Understanding with the ECB in 2010, which made KELER as well as the NBH active partners in the project.
A second meeting to be called later in June will be open to all affected market participants who can join the group on a voluntary basis. Potential members include those having a securities account with KELER or are clearing members of the clearing systems operated by KELER's central counterparty unit KELER KSZF, KELER told MTI.
The National User Group will meet quarterly, KELER said. The aim is to strengthen communication between capital market players and the NBH/KELER related to the project, to represent the interest of Hungarian capital market players to the ECB and to the operators of the system, assess and communicate national characteristics, major obstacles to the leaders of the project and to introduce T2S to all market segments.