ECB axes collateral project 19 June 2012Europe Reporter: Georgina Lavers
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The Governing Council of the European Central Bank (ECB) has decided to put the brakes on preparations for the Collateral Central Bank Management (CCBM2) project in its current form.
Singificant obstacles were identified in harmonisation, leading to acknowledgment that these needed to be addressed before the project carried on. The existing Correspondent Central Banking Model (CCBM) for cross-border collateral management remains in place.
In the immediate future, the Eurosystem will concentrate on implementing the previously announced enhancements to Eurosystem collateral management services, namely the removal of the repatriation requirement from the CCBM and the support of cross-border triparty collateral management services within the CCBM.
Both enhancements will be introduced in the Eurosystem collateral management framework in the course of 2014. The Eurosystem will prepare for the support of T2S auto-collateralisation procedures.
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