Temporary equivalence extended until 31 June 2021

Nov 30, 2020

The European Commission has extended temporary equivalence to facilitate the continued operation of UK based Central Securities Depositories (CSDs) for EU entities until 30 June 2021. This will allow the European Securities and Market Authority (ESMA) to begin a formal recognition process of Euroclear UK & Ireland, which services Euronext Dublin (formerly the Irish Stock Exchange). ESMA recognition will allow Irish securities to continue to be settled through Euroclear UK & Ireland until this market transfers to Euroclear Bank Belgium in the first quarter of next year.

Minister for Finance, Paschal Donohoe TD welcomed the European Commissions announcement in a press release, noting the extension will allow contingency for market participants to complete their work in the first quarter of 2021, so as to ensure successful migration of the Irish markets to Belgium.