Market Link Guide - Georgia
CSD link as defined under CSDRa
Type of link
Indirect via JSC Bank of Georgia to:
a.CSD Regulation (EU) No 909/2014 art. 2 (29)
National Bank of Georgia (NBG)
JSC United Securities Registrar of Georgia (USRG)
JSC Bank of Georgia
USRG: Not available
Country of incorporation
NBG: Omnibus account
USRG: Omnibus account
Legal Account name / holder
JSC Bank of Georgia. There is no individually segregated account at NBG or USRG
Clearstream Banking SA
|Settlement free of payment||Yes|
|Settlement against payment||No|
|Settlement against payment in central bank money account of CBL/CBL customers||n/a|
|Settlement penalty fees||No|
|Allegements||Yes||Only for Government-issued securities settled with the Central Bank of Georgia.|
There is no registration of securities in Georgia as a separate process; an automatic and simultaneous registration process instead applies upon the purchase or sale of securities under the Bank of Georgia client nominee account.
|Multi Market Securities||No|
|Lending and borrowing||No|
|Liquidity Hub Connect||No|
|Sale and purchase of rights||No|
|Link eligible for use in Eurosystem credit operations||No|
Moment of entry of instructions
The rules of National Bank of Georgia as operator of a CSD system or the rules of JSC United Securities Registrar of Georgia do not define the moment of entry within the meaning of the Settlement Finality Directive.
Irrevocability of instructions
Settled transactions are irrevocable.
Settlement finality of instructions
Transfer of securities from the seller to the buyer (delivery) occurs is simultaneous and final.
The below section is based on the legal opinion obtained by CBL that was issued on 12 April 2018. 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
Custodian’s liability for negligence
Book-entry regime with in rem rights
Recognition of nominee concept
No right of retention for the custodian
Segregation of assets at the custodian
No right of use
Confirmed, it being noted that deviations from the client's instructions if it can be presumed that the client would have approved the deviation.
No upper-tier attachments
There is no express prohibition under local law concerning upper-tier attachments.
Insolvency of the custodian with no impact on CBL's rights
Confirmed (other than for cash)
Shortfall pro-rated among holders
Local law is unclear in this respect.
Record keeping of at least 10 years
Settlement finality in case of insolvency