Euroclear Signs UniCredit to Eurosystem Triparty Platform

Euroclear has secured UniCredit as the first institution to sign up for its Eurosystem liquidity service through its triparty platform.

Through an agreement with Euroclear Bank and the National Bank of Belgium (NBB), Euroclear, as its triparty collateral agent, will facilitate the pledging of securities collateral to Eurosystem central banks, allowing UniCredit to secure its credit operations and access Eurosystem liquidity.

The agreement follows recent changes in Eurosystem rules that allow central banks to provide Eurosystem liquidity through a triparty platform.

“Our resilient collateral management platform will serve as the gateway for UniCredit to pledge securities collateral to the National Bank of Belgium in favour of Banca d’Italia, without the need for complex cross-border realignments,” says Jo Van de Velde, head of product management, Euroclear. “Furthermore, by being part of the global Collateral Highway eco-system, UniCredit will also be able to seamlessly track and mobilize their securities collateral in a timely manner, irrespective of geographic location.”

With Euroclear’s partnership with the NBB, UniCredit will also take advantage of the European Central Bank’s (ECB) review of the Correspondent Central Banking Model (CCBM), which grants firms lower costs associated with obtaining domestic liquidity from European central banks (such as NBB).