DTCC and Central Depository Company of Pakistan sign MoU
12 July 2007 | 1814 views | 0
Source: Depository Trust & Clearing Corporation
The Depository Trust & Clearing Corporation (DTCC) in New York has signed a Memorandum of Understanding (MOU) with the Central Depository Company of Pakistan Limited (CDC), designed to forge closer ties between the two organizations.
Under the terms of the MOU, CDC and DTCC agree that their respective senior management and staff of both sides could meet on a regular basis to increase mutual understanding and exchange market updates and discuss improvement opportunities and information on business operating models.
The MOU also noted that "the parties anticipate developing a closer working relationship in the future and wish to maintain channels of communication for exchange of information and to promote visits for reasons of friendship and other business purposes."
"Pakistan has seen an exponential growth in the level of investment, especially foreign investment, and capital market growth in the past few years, and we are delighted to work more closely with CDC through the execution of this new agreement," said Donald F. Donahue, DTCC Chairman-elect and Chief Executive Officer. "This agreement will provide a more formal structure to exchange ideas, share market insights and develop coordinated ways of working with each other in the new global environment, ultimately benefiting investors through development of a safe and reliable global securities infrastructure."
"Central Depository Company of Pakistan Limited is pleased to sign the Memorandum of Understanding with the Depository Trust and Clearing Corporation," said Muhammad Hanif, CDC CEO, who is also chairman of the Asia-Pacific CSD Group (ACG), an informal international organization of more than 30 depositories in the region. "This memorandum is the first step towards extending cooperation between the two organizations in securities' depository-related matters. The idea is to apprise each other about the developments in respective markets and to learn from each other's experience. We have enjoyed a very cordial relationship with DTCC in the past, and this memorandum will further boost our relationship.
"CDC strongly believes in innovation in terms of providing efficient solutions to maximize customer convenience," he said. "This conviction has positioned us as a strong and vibrant national institution in Pakistan. The signing of the MOU with DTCC would provide CDC an opportunity to learn from the advanced market of the United States in the area of technology, operational activities and customer care. We sincerely hope that this initiative will be beneficial for both the institutions and the respective markets."
The pact with Pakistan marks the latest in a series of agreements signed by DTCC with depositories in Asia. It currently has agreements and ongoing cooperation and information sharing with the depositories of Taiwan, Japan, Korea, India and China.