Close to normal situation with DKK settlement on T2S
After the migration weekend 29 October 2018, when DKK settlement on T2S became a reality, there has been several weeks of correcting a high level of unmatched instructions.
Great cooperation when things get tough
“The T2S implementation is first of all a success for a result-driven and cooperating Danish financial community,” says Product Manager Kristoffer Kjelsø Sønderlev from VP. “As we were facing difficulties in the migration weekend the financial community worked together, and we managed to solve the issues in partnership. It was a rough ride, but nevertheless we have reached the destination of introducing DKK on T2S”.
Since the migration weekend, the system and functionality has proven stability in the settlement of DKK on T2S, while the actual implementation process during the go-live weekend performed below expectations. With the issues solved, the situation is now stable and close to normal. Naturally, with a project of this size, we have identified areas where we can improve the settlement flow, which we will evaluate together with the market participants during the beginning of 2019.
Transparent project management
The Danish approach to handle the go-live of DKK on T2S receives positive remarks from external parties because of its openness and sense of urgency from all parties involved.
“Every market joining T2S has experienced disturbances and an unusual set of challenges,” says Market Infrastructure Manager Erik Westerling, EuroCCP, member of the Danish National Stakeholder Group. “The introduction of the first non-EUR currency has been pulled off by the Danish financial community in a spirit of transparency and openness. By handling issues professionally and with a high sense of urgency in calls, conferences and meetings the Danish project has set a high standard for project management in such a crucial go-live.”
Time to do business
Since the Danish community decided to enter T2S in 2016, VP has been an active participant in the forming of T2S as a multi-currency system along with other markets and the ECB. VP Securities joined T2S in 2016 with settlement in EUR, and since then the entire Danish financial community has been working in cooperation to be ready for DKK on T2S.
“We have reasons to congratulate one another,” says Chief Commercial Officer Birger Schmidt from VP. “All involved parties, customers and Data Centers have made a tremendous effort in a spirit of transparency and teamwork. It took place at a time where compliance processes like CSDR, Kronos2, MiFID and GDPR also were competing for attention and resources. At the end of the day it is time to utilize this new Nordic and European infrastructure. With all technical issues solved and the migration in the rearview mirror it is time to do business and follow new international opportunities.”