Market Link Guide – Ukraine
Key features
CSD link as defined under CSDRa | Yes |
Type of link | Operated link |
a.CSD Regulation (EU) No 909/2014, Article 2(29).
CSD | Operator | |
Name | National Bank of Ukraine | JSC Citibank |
FATCA GIIN | Non-reporting FI: Not available | NXUTG8.00375.ME.804 |
LEI | 254900V6U1GCBZZAUS26 | 549300E0ROTI7ACBZH02 |
Country of incorporation | Ukraine | Ukraine |
Account type | Omnibus account under a nominee structure | Omnibus account under a nominee structure |
Legal Account name / holder | Clearstream Banking S.A. | Clearstream Banking S.A. |
Operational arrangements
| Yes/No | Remarks | |
| Settlement free of payment | Yes | |
| Settlement against payment | No | |
| Settlement against payment in central bank money | No | |
| Bridge settlement | No | |
| Shaping facility | No | |
| Partial settlement | No | |
| Settlement penalty fees | No | |
| Pre-matching | No | |
| Back-to-back processing | No | |
| Allegements | No | |
| Automatic compensation | No | |
| Registered securities | Yes | Securities are fully dematerialised and held onto the account of Clearstream Banking S.A. at the National Bank of Ukraine and recorded under the name of Clearstream Banking S.A. in the books of the National Bank of Ukraine. |
| Multi Market Securities | No | |
| Lending and borrowing | No | |
| Proxy voting | No | |
| Investment Funds | No | |
| Liquidity Hub Connect | No | |
| Sale and purchase of rights | No | |
| Repo services | No | |
| Market restrictions | No | |
| FTT | No | |
| Daily reconciliation | Yes | |
| Link eligible for use in Eurosystem credit operations | No |
| Bilateral cancellation | No |
| Settlement finality | Transactions settled in the books of the CSD are final and irrevocable |
Moment of entry of instructions | Instructions are considered to be entered into SSD NBU's depository system after successful validation. |
Irrevocability of instructions | Matched instructions are irrevocable in SSD NBU's depository system. |
Settlement finality of instructions | Instructions settled in SSD NBU's depository system are final. Local custodians are obliged to record every transaction in their books on client accounts in order to finalise the transaction. |
Legal arrangements
The below section is based on the legal opinion obtained by CBL that was issued on 13 July 2023. The information is provided for guidance only and should not be considered in isolation or as constituting a complete or definitive legal advice on any specific matter.
No insolvency proceedings against the custodian | Confirmed |
Custodian’s liability for negligence of CSD | Foreseen under statute and contractually |
| Liability for negligence of account operator | Contractually foreseen |
Book-entry regime with in rem rights | Precision from the local counsel is that Clearstream is only conferred a contractual right on the securities credited to the Direct CSD Account. |
| No entitlement of the account operator/CSD | Confirmed |
| Recognition as direct CSD account-holder | Confirmed |
| Recognition of nominee concept | Confirmed |
No right of retention to the account operator/CSD | Confirmed. Precision from local counsel that security interest with respect to the securities credited to the Direct CSD Account(s) may arise from transactions (eg purchase) between the owners of these securities, on the one hand, and the account operator or the CSD (in each case, acting on its own account), on the other hand. |
Segregation of assets at the CSD | Precision from the local counsel that local law does not establish the framework for insolvency or similar procedures affecting the enforcement of the CSD's creditors' right generally. A fair interpretation of the CSD Rules is that the CSD should segregate its own securities from the securities held for its account holders |
No right of use for account operator/CSD | There is no specific procedure on upper-tier attachments under local law and upper-tier attachments are not expressly forbidden |
No upper-tier attachments | Confirmed |
Impact of insolvency of the account operator on CBL's rights | No impact on securities, except for cash, which will be part of the account operator’s liquidation estate. |
| Impact of insolvency of the CSD on CBL's rights | Precision from the local counsel that local law does not establish the framework for insolvency or similar procedures affecting the enforcement of the CSD's creditors' rights generally. |
Shortfall pro-rated among holders | No. Precision from local counsel that neither the CSD Rules nor local law provide for specific shortfall allocation arrangements |
Record keeping of at least 10 years | No, 5 years |
Settlement finality in case of insolvency | No. Precision from local counsel that local law does not provide for settlement finality. |