Eurex Clearing connects to Target2 European payment transaction system

On 1 December 2008, Eurex Clearing successfully connected to the Target2 European payment transaction system.

  0 Be the first to comment

External

This content is provided by an external author without editing by Finextra. It expresses the views and opinions of the author.

This connection enables all clearing customers based in a euro zone country to maintain cash accounts required for clearing through Eurex Clearing AG at a euro zone national bank of their choice. The service allows Eurex Clearing customers to pool their liquidity and provides enhanced refinancing opportunities within their home market. Clearing payments via TARGET2 also contributes to greater settlement security and market efficiency. Until now, Eurex Clearing customers have had to maintain an account at the Bundesbank for euro payment transactions.

Thomas Book, Eurex Executive Board member responsible for clearing, said, "The connection to the European TARGET2 system strengthens the integrity of the clearing house. Settlement in central bank money of payment transactions offers maximum security for all participants. TARGET2 supports this approach with an automated cross-border euro zone real-time system."

Clearstream Banking Frankfurt (CBF), which also belongs to Deutsche Börse Group, successfully migrated its cash settlement process to TARGET2 as of 17 November 2008.

 

Sponsored [Webinar] PaaS, Cloud and Instant Payments in the Spotlight: Overcoming Outsourcing Challenges

Related Company

Comments: (0)

[Webinar] The final countdown: What’s next for Verification Of Payee?Finextra Promoted[Webinar] The final countdown: What’s next for Verification of Payee?