MIFC: Key Facts

A source of basic facts about the International Financial Centre in Moscow

Task Assignments

06.12.2011 / Moscow

Task Assignments given by the President of the Russian Federation following the MIFC International Advisory Board session
on 28 October 2011.

Events Calendar

March 2019

Media Coverage

29.01.2014 / Interfax

Russia #3 Worldwide in Foreign Direct Investment

FDI in developing and transitional economies hit record highs in 2013, according to United Nations Conference on Trade and Development (UNCTAD) report.

06.04.2013 / Kommersant

Central Bank Builds Financial Center

FFMS merger with the CB will significantly improve regulation – as expected by reform participants and instigators alike. Yesterday the Bank of Russia, FFMS and Minfin reps made a public presentation of the financial megaregulator, as the process has entered implementation stage. In the meantime, MIFC mastermind Alexander Voloshin sees the future unification of oversight as a key milestone for Moscow as International Financial Center.

29.01.2013 / Interfax

MIFC Location to be Determined by Workgroup

Russian Prime Minister Dmitry Medvedev is planning to establish a workgroup to determine the location of Moscow International Financial Center (MIFC) infrastructure.

Our progress / Hot Topics

Trading infrastructure

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Clearstream and NSD Open Russian Corporate Bonds Market to International Investors on 30 January

30.01.2014 15:52 / Interfax

Clearstream and National Settlement Depositary (NSD) open foreign investor access to the Russian corporate bonds market on 30 January, according to a joint press release.

Clearstream opens up settlement to Russian corporate bonds today via its direct link to the National Settlement Depository (NSD).

In addition, Clearstream will work with its international central securities depository (ICSD) counterpart to ensure an effective linkage – known as the Bridge – between the two ICSDs. The Bridge enables customers to easily settle transactions between accounts at the two ICSDs and will thus help increase liquidity flow in the Russian market.

According to the press release, the introduction of settlement for corporate Russian bonds, coupled with a firm commitment to establish the Bridge between the ICSDs in the Russian market will help further develop the market infrastructure needed to offer investors and issuers an enhanced offering in the Russian capital market.

Illustrating the increased foreign investor appetite in the Russian market, the share of foreign investment in OFZ government bonds has gone up by circa 25 percent, according to the Bank of Russia, since the establishment of new financial market infrastructure in Moscow.

As a next step, Clearstream will look to offer settlement for equities via its direct link to the NSD, due for summer 2014, in line with expected changes to Russian legislation. Meanwhile, Clearstream continues to settle equities in Russia via its indirect link to the NSD, through Clearstream’s local agent bank, Deutsche Bank Moscow.

Sergey Shvetsov, First Deputy Chairman of the Bank of Russia, Head of the Bank of Russia Financial Markets Service, said: “Access to the corporate bonds market granted to Clearstream is a great event for the Russian market. Entry of international clearing and settlement organizations to the OFZ market already provided a positive impact by decreasing the cost of borrowings for the government. Now we continue our commitment to open access to the stock market for ICSDs on the 1st of July 2014”.

He said, “we are considering Clearstream’s access to the corporate bonds market an indicator of our successful work in collaboration with NSD and international infrastructural organizations”.

Alexander Afanasyev, CEO of Moscow Exchange, called opening the Russian bonds market to international clearing organizations “an important milestone in the continued development of the Moscow Financial Centre initiative”, and a reflection of the interest of international investors in Russian corporate rouble-denominated debt.

He expressed hope that, just as it had happened with state debt, the arrival of international clearing houses into the Russian corporate bond market should boost trading volumes and reduce cost of borrowing for Russian companies, which will benefit both market participants and issuers alike.

Eddie Astanin, Chairman of the Executive Board, National Settlement Depository, commented that there is “still a long way to go in legislation and infrastructure of the Russian post-trading services market – we have to improve accessibility of corporate actions information, develop new products like collateral management and serve investors from around the world in line with best practice”.

The international central securities depository Clearstream, with headquarters based in Luxembourg, is a supplier of post-trading services in the Eurobonds market with a global network that extends across 53 markets.

Clearstream maintains relationships with around 2,500 customers in over 110 countries. The company serves IPOs, provides settlement and safekeeping of securities, offers investment fund and global securities investment services.

Clearstream is one of the major settlement depositaries processing local and international securities, with over 12 trillion Euro worth of assets in safekeeping.

As a Frankfurt-based CSD, Clearstream provides post-trading infrastructure to the German securities industry, offering access to a growing number of European markets.

Clearstream offers services in the Russian market to customers since 2006, including government bonds (OFZ) since January 2012 via its indirect link to the Russian Central Depositary.

National Settlement Depository (NSD) is the central securities depository of the Russian Federation since November 2012, a part of the Moscow Exchange Group. In December 2012, the Bank of Russia assigned National Settlement Depository payment system operator status.

NSD is Russia`s national numbering agency and the substitute numbering agency for the CIS, authorized to assign the international ISIN and CFI codes.

The international rating agency Thomas Murray has assigned NSD an AA- rating as a central securities depository.

Total value of securities on deposit with NSD amounted to RUB21.8 trillion as of 31 December 2013.

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