ABN AMRO says it has been awarded the third party CLS services mandate for the Clearing Corporation of India Limited (CCIL).
CCIL has chosen ABN AMRO’s Advanced Third Party CLS service, enabling it to go live with all of the organisation’s members as Fourth Parties.
“I’m delighted that CCIL has chosen to extend their relationship with ABN AMRO; it’s a great honour for us to work with a premier organisation such as this, to help them achieve their business goals,” says John Gibbons, Managing Director, Working Capital Cash Flow Advisory at ABN Amro. “This mandate is of immense significance – both to ABN AMRO, in terms of further consolidating our leading position in CLS, and also in terms of the adoption of CLS in India.”
ABN Amrio reckons the mandate, which sees the organisation and its sixty-plus members adhering to the global FX settlement standard, is a milestone for CLS too. CCIL aims to become the cross-currency aggregator for trades in India via CLS.
“CCIL aims to become the one-stop shop for settlement of FX and debt market transactions in India; choosing the right partner for CLS services was vital to achieving this goal,” says Indirani Rao, Vice President, Clearing Corporation of India. “Our experience of working with ABN AMRO in areas such as USD clearing and the quality of their technology gave us the confidence to further our relationship with ABN AMRO by awarding the CLS Third Party Services contract. Flexibility of their product and the customisation to suit our needs was one of the unique selling points that helped them win the deal.”
CCIL is India’s first centralised clearing and settlement facility for the financial services sector. It guarantees settlement of debt and FX transactions by becoming the central counterparty to trades and providing multilateral netting services to its members.
The CCIL mandate rounds off an excellent year for ABN AMRO’s market leading CLS services. Numerous financial institutions have signed for CLS services including Anglo Irish Bank, Bear Stearns, Capitalia and most recently Indover Bank. Last month ABN AMRO was voted ‘Best Bank for CLS’ in the FX Week annual poll.