Updated depository system of Ukraine alongside single National Depository and single Settlement Centre ready to start work on 14 October 2013, as required by adopted in 2013 Law "On the Depository System," assured Director General of the Department of the monetary policy of the NBU Olena Shcherbakova
"All the rules and regulations are adopted. The launch is set for 14 October 2013", she said.
Shcherbakova stated that the National Bank is widely represented in both elements of the revised depository system as it has an interest in stock market in the country and market participants trust the central bank and its technology.
She said that Depository of the National Bank also will continue to maintain the circulation of government bonds, which will also be joined by municipal ones.
Director of the Department informed that the SС, which is, in essence, a system of electronic payments in the stock market, has received a banking license and permission to conduct foreign exchange transactions.
"This is a fully functioning bank that will service the stock market", Shcherbakova said.
She also said that the National Commission on Securities and Stock Exchange has issued a renewed license to 184 keepers, and another 120 applications are pending. According to her, NSSMC informed the National Bank that this process takes place as planned, and all the keepers who timely applied for a license, will receive it, and the market will run smoothly.
When asked about fears of disruption in markets after the launch of the revised depository system that has no place for central counterparties of trade organizers themselves, Shcherbakova stated that the National Bank sent a request to the SС: in the time remaining before 14 October 2013, to test and sign regulations of interaction.
According to her, the SС announced that regulations have been worked out, banks have been identified alongside two exchanges and several traders, pension fund of the National Bank, all of which are engaged in testing of the technology proposed by settlement center.
As reported, the law "On the depository system" provides for the division of clearing and settlement functions and depository accounting that were previously combined in a commercial depository - the AUSD, and its rival - state controlled NDU. The law provides for the creation of a single central depository on the basis of NDU, although the AUSD was superior in terms of serviced assets.
