Euroclear SA/NV and Central Depository Services (India) Limited (CDSL) have announced today, the signing of a Memorandum of Understanding (MoU) establishing a basis of cooperation in anticipation of developing a closer working relationship in the future.
Both organisations aim at promoting cross-border investment to foster the prosperity of their respective clients and markets. Euroclear and CDSL will explore the timing and possibility of establishing an operational link between the central securities depositories. regular meetings between senior management to increase mutual understanding of business developments, operating models and related improvement opportunities;exchange of staff and training to increase understanding and knowledge of the respective securities markets;joint studies on topics related to securities depository operations; andjoint conferences, seminars and workshops on topics of mutual interest.
The agreement includes:
Vijay V. Raut, Managing Director and Chief Executive Officer of CDSL, commented: "The MoU with Euroclear creates a channel for free flows of ideas and information on topics of mutual interest. I am positive that this agreement will benefit both our organisations and the markets and investors we serve. We can learn about each other's operational innovations, risk-management practices and other efficiency-promoting initiatives. This will be of help in globalising our market reach and defining our future goals."
Ignace R. Combes, Deputy Chief Executive Officer of Euroclear SA/NV, said:
"The Indian market has tremendous potential, is developing rapidly and attracting interest from global investors. The exchange of ideas and best practices between CDSL and Euroclear is critical to continuously improve business operating models and service offerings to the benefit of our respective customers."
Separately, Euroclear SA/NV and National Securities Depository Limited (NSDL) have signed today a Memorandum of Understanding (MoU) to build a close cooperative relationship between the central securities depositories.
The parties anticipate exploring how best to promote cross-border investment, including the possibility of establishing a cross-border operatioiional link between the depositories. The MoU also aims at exchanging information on operational statistics and market trends, as well as opportunities to strengthen the efficiency, stability and reliability of their respective depository systems.
The agreement includes:regular meetings between senior management to increase mutual understanding of business developments;exchange of information on business operating models and related improvement opportunities;exchange of staff and training to increase understanding and knowledge of their respective securities markets; and joint studies on topics related to securities depository operations.
Mr. Gagan Rai, Executive Director of NSDL, commented: "The depth and breadth of Euroclear's experience in both domestic and cross-border transactions is of interest to NSDL and our clients. We place great value in developing a cooperative relationship to further the growth and prosperity of our respective markets."
Ignace R. Combes, Deputy Chief Executive Officer of Euroclear SA/NV, said: "We believe that closer cooperation with NSDL, a critical infrastructure in one of the world's fastest growing economies, will lead to great benefits and enriched knowledge for both parties. Together, we will discover ways to further improve our business operations and service offerings to clients interested in the Indian capital markets."