Under Law 2198/1994, Section B (Government Gazette 43/A/22 March 1994), as currently in force, the Bank of Greece was appointed Manager of the "System For Monitoring Transactions in Book-entry Securities" (hereinafter referred to as “the System”) through which, according to Articles 5 to 12 of the above law, Greek government and other agencies’ securities shall be issued, registered and monitored, and clearing and settlement of transactions in book-entry securities held in participants’ accounts shall be carried out.
The Bank of Greece, as Manager of the System, from 22 June 2015 has joined TARGET2-Securities (hereinafter «T2S»), the Eurosystem’s technical platform for securities’ settlement. The Eurosystem is responsible for the governance and operation of T2S.
The settlement of transactions in securities kept with the System shall be conducted in accordance with the provisions of this Operating Regulation of the System and the mentioned rules governing the operation of T2S.
In the context of T2S, the settlement of the cash leg of securities transactions is effected through Dedicated Cash Accounts (DCAs), which are specifically created to serve the cash settlement of these transactions in central bank money.
In securities transactions with a cash leg, T2S operates according to the Delivery Versus Payment principle, in central bank money.
The System is compliant with the ECB user assessment framework, i.e. it is a Securities Settlement System, which fulfils the standards for the settlement of collateral used to secure the credit operations carried out by the Eurosystem in accordance with art. 18.1 ESCB/ECB Statute. For the above purposes, the System a) is involved in the settlement of transactions, for securities held in the System, performed in the context of the Correspondent Central Banking Model (CCBM) and b) has established links with other euro area (I)CSDs/SSSs.
The operating procedures of the System are detailed in its Operating Regulation.