The depository of the National Bank of Ukraine from April 2, 2018 launches the model for outstanding government foreign loan bonds (eurobonds) in own depositary system.

"The relaxation of licensing of these transactions for Ukrainian residents would occur within and in terms of the global currency liberalization project," the NBU said in a presentation posted on its website last week.

According to the presentation, a correspondent account for clients of NBU's depository in Clearstream will be opened. This would allow Ukrainian investors to invest in eurobonds and take them into account for storing in the NBU's depository.

As for the calculation models, the regulator said that the current model Delivery Versus Payment (DVP) with payments only in "T+0" will be extended by two new: Free of Payment (FOP) and Receive Versus Payment (RVP) or Payment Versus Delivery (PVD), while the clearing center is preparing for the introduction of "T+2" payments.

"In fact, the Clearing Center's monopoly on government bonds settlements is being canceled. Market participants receive an alternative when performing transactions with government bonds with the ability to guarantee settlements from the market infrastructure or without a guarantee," the NBU said. The regulator said that these innovations will entail an alternative to the full preliminary deposit of assets.

In addition, the National Bank announced new opportunities for segregation of investors' accounts at the depositary level of the NBU and a new approach to tariffs at the depository services of the NBU and the Clearing Center.