OREANDA-NEWS. The value of assets involved in the Bank of Russia’s OTC repo transactions with a basket of securities, in respect of which National Settlement Depository (NSD) as an agent provides collateral management services, exceeded RUB120 billion as of 4 September 2013. Since the launch of the service, over 1,000 transactions have been held; more than 110 banks have joined the system.

On 15 April 2013, NSD together with the Bank of Russia and Bloomberg began providing services allowing commercial banks to conclude the Bank of Russia’s repo transactions with a basket of securities. As part of servicing these transactions, NSD provides collateral management services, clearing services and securities and cash settlement services to market participants.

The unique collateral management system created by the Bank of Russia and NSD allows to select securities used as collateral for repo transactions automatically, to assess them regularly, to submit and pay margins, and to replace collateral securities. Owing to these features of the Bank of Russia’s repo transactions, the banks can increase their asset management efficiency and decrease costs associated with the receipt of the Bank of Russia’s liquidity.