Trichet calls for single European post-trading market

21 April 2008

Opening the conference on post trading arrangements in Frankfurt, ECB President Trichet warns against the lack of integration in Europe characterised by fragmentation and high costs.

 

Compared to the US market, Trichet notes that the cost gap is particularly large for cross-border transactions. “This gap for Europe must be closed and clearly demonstrates that concrete actions are needed to make Europe significantly more competitive and a more attractive place for issuers and investors”, Trichet said.

 

“The aim of the European post trading market must therefore be to create one single market across Europe which is as secure, efficient and cheap as domestic markets are today”, he said.

 

The TARGET2-Security (T2S) project therefore provides borderless core infrastructures for real-time settlement in central bank money, he said. Further support for the single market will come from the streamlining of collateral management systems through the CCBM2 (Collateral Central Bank Management) project.

 

“We firmly believe that these concerted initiatives will speed up the long awaited market integration and foster competition”, Trichet stated.

 

Full speech

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