Clearstream suffers T2S testing issues

Community testing issues hits Clearstream in its third set of client tests.
By Jonathan Watkins

Clearstream’s client testing for its T2S implementation has suffered a setback in its third consecutive set of community tests, multiple sources have told Global Custodian.

Community testing was initially set to take place on the weekend of the 9 July, however this was pushed back to 11 July due to ‘configuration issues’ according to a note Clearstream sent to its clients.

The subsequent testing which then took place did not end successfully due to technical problems.

In its initial note – seen by Global Custodian – about the delay, Clearstream said it would ‘build upon the lessons learned’.

One source suggested that the issue was on the European Central Bank’s side of the testing. However, another said that if there were issues it would have been ‘on both sides’.

T2S has had its fair share of setbacks in its 10-year history, including delays and uncertainty over the benefits of the billion-euro initiative aimed at creating a single European settlement platform. 

Clearstream is planning to go live with T2S in February 2017 as part of wave four of the initiative. The final wave will be in September 2017.

There is no indication that this will lead to a delay.

Clearstream declined to comment; saying clearer results from the testing would not be available until next week.

The ECB did not respond to a request for comment.