2018年-ECB欧洲央行_Disclosure_Report_-_TARGET2_Summary_of_the_self-assessment_against_the_principles_for_financial_market_infrastructures_22页_254kb

TARGET2 Self-Assessment Summary against SIPS Regulation (May 2018)

Core Content

TARGET2 is the real-time gross settlement (RTGS) system operated by the Eurosystem, which settles euro-denominated payments in central bank money with immediate finality. It serves as a critical infrastructure for the euro area, connecting approximately 1,000 direct participants and 52,000 addressable banks globally. The system processes around €1.7 trillion in daily value and 344,000 transactions, making it one of the three largest wholesale payment systems in the world.

Main Risks and Management

TARGET2 is exposed to various risks, including legal, credit, liquidity, operational, and general business risks. The management of these risks is structured as follows:

• Legal Risk: Managed through national legislation and the Settlement Finality Directive, with each central bank operating its own TARGET2 component.
• Credit Risk: Handled using the Eurosystem’s monetary policy framework, with liquidity provided via intraday credit or auto-collateralisation, both of which must be reimbursed daily.
• Liquidity Risk: TARGET2 itself does not face liquidity risk as it operates as an RTGS system. However, it provides liquidity management tools to participants.
• Operational and Information Security Risk: Addressed through detailed emergency plans, backup systems, and regular testing.
• Custody and Investment Risk: Managed through secure procedures and restrictions on collateral usage to prevent losses in case of default.
• General Business Risk: Covered by maintaining sufficient liquid net assets funded by equity to ensure continued operations in case of losses.

Governance Structure

TARGET2 is governed through a three-level structure:

1. Level 1: The Governing Council of the ECB is responsible for the overall management and control of TARGET2, ensuring its public function and aligning with the Eurosystem’s objectives.
2. Level 2: Eurosystem central banks (including the MIB and MIPC) handle the day-to-day operations and oversight of TARGET2.
3. Level 3: The 3CB (Deutsche Bundesbank, Banque de France, Banca d'Italia) provide and operate the single shared platform (SSP) for the Eurosystem.

Participation and Services

TARGET2 offers multiple participation models:

• Direct Participants: Hold accounts in the Payments Module (PM) and/or dedicated cash accounts (DCAs) on the T2S platform.
• Indirect Participants: Use direct participants to settle their payments.
• Addressable BICs: Are correspondents or branches of direct participants and access the system through them.

In addition to payment services, TARGET2 provides settlement services for approximately 80 market infrastructures, including securities settlement systems and central counterparties, via the T2S platform.

Legal and Regulatory Framework

• TARGET2 is legally structured as a "system of systems", with each central bank operating its own component under national law.
• The system is designated under the Settlement Finality Directive and complies with all relevant EU regulations, including the SIPS Regulation.
• The TARGET2 Guideline, available in all national languages, outlines the legal terms, conditions, and procedures for participation and settlement.

System Design and Operations

• TARGET2 operates on a technically centralised platform, the single shared platform (SSP), which is modular and offers tailored services to different market infrastructures.
• The system is open from 07:00 to 18:00 CET, with a cutoff at 17:00 CET for customer payments and a night-time window for cross-system settlements.
• The system has a two-region/four-site architecture to ensure high resilience and business continuity.

Key Indicators and Performance

• As of 2016, TARGET2 was accessible by over 1,000 direct participants and more than 52,000 credit institutions worldwide.
• Daily average transaction volumes were around €1.7 trillion, with a decline observed due to the migration to SEPA instruments.
• The system has been regularly enhanced through technical and functional releases, including the introduction of the "ASI-6 real-time" model in 2017.

Public Resources

• Comprehensive documentation on TARGET2, including the TARGET2 Guideline, pricing structure, and technical specifications, is publicly available on the ECB and national central bank websites.
• The system’s governance, risk management, and operational procedures are transparent and accessible to participants and stakeholders.

Conclusion

TARGET2 is a robust and reliable RTGS system that plays a crucial role in the euro area’s financial infrastructure. It is governed by a clear three-level structure, operates under a legal framework that ensures consistency and enforceability, and employs advanced risk management and business continuity measures to ensure stability and efficiency. The system provides a wide range of services and is continuously improved to meet evolving market needs.