Market Link Guide - Uruguay


Key features

CSD link as defined under CSDRa


Type of link

Indirect link through Banco Itaú Uruguay SA to :

Central Bank of Uruguay as Central Depository for government debt.

a. CSD Regulation (EU) No 909/2014 art. 2 (29)




Central Bank of Uruguay, “CBU”

Banco Itaú Uruguay S.A.


Not available



Not available


Country of incorporation



Account type

Omnibus account

Omnibus account

Legal Account name / holder

Banco ITAU Uruguay SA

Account opened for third parties and known as “Non Resident” assets

Banco Itaú as the participant in the Central Bank of Uruguay does not hold an individually segregated account for CBL.

Clearstream Banking S.A.

Operational arrangements

Settlement free of paymentYes 
Settlement against paymentYes 
Settlement against payment in central bank money account of CBL/CBL customersNoCBL holds a cash account at the custodian. Against payment settlement takes place on the custodian’s account at at the local central bank.
Bridge settlementNo 
Shaping facilityNo 
Partial settlementNo 
Settlement penalty feesNo 
Back-to-back processingNo 
Automatic compensationNo 
Registered securitiesYes 
Multi Market SecuritiesNo 
Lending and borrowingYesFor debt securities only.
Proxy votingNo 
Investment FundsNo 
Liquidity Hub ConnectNo 
Sale and purchase of rightsNo 
Repo servicesYes 
Market restrictionsNo 
Daily reconciliationYes 

Bilateral cancellation


Settlement finality

Settlement in the Central Bank of Uruguay system is final and irrevocable.

Legal arrangements

The below section is based on the legal opinion that was issued on 26 March 2019. 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


Liability for negligence


Book-entry regime with in rem rights

CBL has a contractual right against the custodian regarding the securities held in custody by the custodian on behalf of CBL. A contractual right is not similar to a right in rem. On the contrary, the right in rem confers a direct right over the securities while the contractual right confers a "personal" or "contractual" right that, in this case, will be against the custodian.

Recognition of nominee concept

Confirmed. CBL will be recognised as account holder of the account(s) held in its name but on behalf of its underlying customers. However, precision that under local law does not recognise the nominee concept, as beneficial owners do not have a direct claim over the securities. Beneficial owners only have a contractual right against the nominal owner (the custodian in this case) to recover their securities deposited with the custodian or to receive the proceeds thereof.

No right of retention to the custodian


Segregation of assets at the Custodian


No right of use


No upper-tier attachments

Local law does not address the upper tier attachment of securities involving entities such as the custodian. Upper tier attachment does not exist in Uruguay.

Insolvency of the custodian with no impact on CBL's rights 


Shortfall pro-rated among holders

Shortfall is not regulated under local law.

Settlement finality in case of insolvency

The Insolvency Act does not provide for the irrevocability and unconditionality of non-provisional transfers and that in certain scenarios a transfer of securities could be challenged in the context of a bankruptcy. However, Law 18573 provides some protective wording as regards to irrevocability of instructions in case of insolvency only to instructions made within the scope of a compensation and liquidation system of payment and securities. Said protection can only be analysed on a case-by-case basis.