Clearstream has said it is in discussions with Indian and Saudi Arabian authorities to expand its services to these new internationalising markets.
According to a document summarising its 2015/2016 strategy, Clearstream says: “We are currently in discussion with the local authorities and central banks respectively in order to work towards models that deliver the full benefit of an ICSD to support local market development.”
Last week Saudi Arabia opened its doors foreign investment, much to the excitement of custodians that hope to tap the new lucrative market.
Clearstream has already made Saudi Arabia Riyal and Qatari Riyal a full settlement currency, in response to growing demand from investment banks and issuers to settle securities denominated in the Middle East.
The move for Clearstream into India is no surprise, given that Euroclear, its main competitor, has also stated its intentions to expand to the subcontinent.
In addition, Clearstream plans to further develop its ICSD business day extension in order to cover the entire processing day within the North and Latin America region. It will also introduce new enhancements to its Chinese A-shares offering, with services such as pre-delivery of securities and improved cut-off times.