The importance and principles of functioning of the Central Securities Depository and Clearing House of Serbia

Central Securities Depositories (CSDs) are special financial institutions crucial for the successful functioning of financial markets. Initially, these institutions were limited to performing the tasks related solely to the registration of issued securities, however, over time their scope of activities has grown and today these institutions also act as clearing houses and provide clearing and settlement services. In order to achieve their core functions efficiently, Central Securities Depositories follow the prescribed international standards and principles. It is vital to network these institutions and have them join international organizations and associations focusing on the development of mutual cooperation and stronger integration. Integration processes involve the harmonization of regulations relating to the functioning of this particular segment of the financial market. By undergoing a process of consolidation, the Central Securities Depository and Clearing House of Serbia (a joint stock company) managed to harmonize its operations with the relevant EU, as well as the international standards and regulations, and is actively involved in a number of European and international organizations and associations that are relevant for its operations.