NSD Repository Receives Repository Operations License from the Bank of Russia

On 28 December 2016, the NSD Repository received the license for repository operations issued by the Bank of Russia. It became the first entity in Russia to receive this type of license. In compliance with the Russian law on the securities market, all repositories which register OTC transactions (of the types established by the Bank of Russia’s regulatory acts), shall receive the appropriate license by the end of 2016. The Bank of Russia also approved numerous documents regulating NSD Repository’s activities:

• Rules of Providing Repository Services;
• Rules of the Repository’s Internal Audit;
• Rules of Internal Control over the Repository;
• The Repository’s Risk Management Rules.

In addition, the Bank of Russia approved the Regulations on the Repository Services Customer Committee of NSD’s Executive Board. The NSD Repository is the first and the largest repository on the Russian financial market with more than 1,100 clients. The Bank of Russia assigned it the status of a systemically important repository. For the first 11 months of 2016, the NSD Repository registered reports on more than 2.5 million transactions with an aggregate value in excess of RUB 363 trillion. The NSD Repository registers data on OTC repos and derivative transactions. The implementation of trade repositories on financial markets was initiated in 2009 at the G20 summit (Pittsburgh) in response to the Lehman Brothers Bank collapse and the subsequent financial crisis.